A South African State-owned oil company, the Nile Orange, is set to begin oil operations in Jonglei State.

By Binia Elizabeth

South African State-owned oil company, the Nile Orange, said it is set to begin oil operations in Jonglei State.

This came following a meeting between the South African Ambassador to South Sudan, Mahlodi Sam Muofhe, and the Minister of Information, Michael Makuei Lueth on Wednesday.

Ambassador Mahlodi revealed that the company had completed the exploration process, social and environmental assessment and is now in a position to officially begin oil drilling operations.

According to him, the work is expected to kick off in November during the dry season.

On his part, Minister Makuei welcomed the announcement and implored Johannesburg to expedite the process.

He, however advised that while the company waits for the end of the rainy season, it should begin meeting legislators representing Jonglei State at the national parliament as well as the State Assembly to help them with the sensitization process.

Makuei said creating early awareness among the communities would help prevent what happened to the exploration plane last year from happening again.

South Sudan and South Africa in 2019 signed a six-year production-sharing agreement for an untapped exploration block.

The Exploration Production Sharing Agreement for Block B2 was signed by Ezekiel Lol Gatkuoth, the then South Sudan’s Minister of Petroleum and Jeff Radebe, South Africa’s Minister of Energy.

The Southern African nation had committed $50 million for exploration as well as to build a pipeline and refinery that would bring their total projected investment to $1 billion, according to the memorandum of understanding signed.

The world’s youngest nation has one of the largest reserves of crude in sub-Saharan Africa, but only a third of which have been explored.

After months of delays and destabilization from the ongoing war in Sudan, South Sudan announced resumption of oil production on January 8, 2025.

The Ministry of Petroleum (MOP) of South Sudan wrote to DAR Petroleum Operating Company Ltd (DPOC), a consortium of oil exploration and production companies, indicating that oil production in Blocks 3 and 7 and exports would resume.