In a statement released on Saturday, the Sudanese Ministry of Energy and Petroleum said according to the arrangements reached in the resumption plan, the Govt. of Sudan lifted the majeure force declared on March 2024.
By James Chatim
The Government of Sudan has lifted the force majeure on the flow of South Sudan’s crude oil to pass through Port Sudan where it is exported to Asia via the Bab el-Mandeb strait.
In a statement released on Saturday, the Sudanese Ministry of Energy and Petroleum said according to the arrangements reached in the resumption plan, the Government of Sudan lifted the majeure force declared on March 2024.
The letter was addressed to South Sudan’s Minister of Petroleum, Pout Kang Chol, and copied to three other key oil stakeholders.
“We are pleased to hereby inform you that based on the security arrangements made by the Government of Sudan and the Government of South Sudan and the measures taken by BAPCO to ensure the flow of materials and equipment to all facilities along the route of the BAPCO transportation system, and the arrangements reached in the Resumption Plan referred to in item (3), we are hereby lifting the Force Majeure declared in per the letters reference in item (1) and (2),” the statement read in part.
Force Majeure, is a legal clause that allows a party to be released from contractual obligations when circumstances beyond their control arise, such as war or natural disasters.
In March 2024, Sudan declared force majeure on South Sudan crude oil exports due to a rupture in the country’s export pipeline in a war zone.
It is a declaration of force majeure, citing a gelling incident and major rupture that occurred in a military operations zone in Sudan, as well as the current war conditions, that prevent the Government of Sudan from meeting their obligations in delivering crude oil through the BAPCO Transportation System to the Bashayer 2 Marine Terminal.
The Government of Sudan said on March 2024, that it was unable to facilitate the transportation of South Sudan crude oil through the Jabalayn-Port Sudan Pipeline, citing interruptions from the ongoing conflict.
Sudan’s Ministry of Energy and Petroleum declared a force majeure on South Sudan crude oil in March 2024.
The Sudanese authorities said operators of the pipeline, BAPCO, reported a significant decrease in flow at Pump Station 5 in February 2024.
According to Sudan, an investigation revealed a gelling incident between Pump Stations 4 and 5, attributed to the unavailability of diesel necessary for heating crude oil.
The statement said the situation was compounded by communication disruptions caused by the war.
Although BAPCO reportedly managed to clear the gelling and restore flow temporarily, operations were halted again the next day due to a severe drop in pressure.
The Sudanese government said further investigation uncovered a major rupture 18 kilometers north of Pump Station 3, within a military operations zone.
It said teams deployed mud pumps from DPOC in South Sudan to address gelled crude oil columns between Pump Stations 4 and 5, aiming to facilitate oil flow.
However, challenges persisted in restarting the transportation system fully, necessitating functional pumping and heating stations, adequate diesel supply, and resolution of gelling issues—all hindered by the war conditions in Sudan.
This prompted the government of Sudan to invoke force majeure, suspending its obligations to deliver crude oil through the BAPCO Transportation System to the Bashayer 2 Marine Terminal at the time.
In December, key stakeholders from South Sudan and Sudan energy sector held a two-day meeting in Juba to assess the readiness of oil facilities and pipelines for the resumption of crude oil production.
The discussions, involving the Ministry of Petroleum, Sudan’s Ministry of Energy, Dar Petroleum Operating Company (DPOC), among other stakeholders, focused on overcoming challenges to achieve a smooth and timely reopening of oil operations.
Among the major hurdles addressed was the lifting of the force majeure, a critical step that would enable all partners to approve the integrated resumption plan and budget.
Further, stakeholders also called on Sudan’s government to ensure stability along the export pipeline and at all facilities to guarantee unrestricted access for staff and essential materials.
“Stability and free access to facilities are non-negotiable for achieving sustainable crude oil production. This meeting has brought us closer to a solution,” said a senior official from South Sudan’s Ministry of Petroleum, who attended the meeting.
The Government of Sudan said on March 2024, that it was unable to facilitate the transportation of South Sudan crude oil through the Jabalayn-Port Sudan Pipeline, citing interruptions from the ongoing conflict.