Nekkar

Oil

Sudan is still studying the possibility of joining OPEC, but for the time being prefers to keep an observer status since 2004. Sudan is afraid OPEC would oblige to production quotas and hinder its oil development projects (ST 07 03).

Tender for Nile Blend Crude was 3.2 million in April and only 2.6 million in May (Reuters 18 03).

Sudan 's oil revenues for the month of January 2008 has reached US $ million 582. 464 million came from crude oil exports. The federal government share was $million 350 and the GoSS share was $ million 231. According the Under Secretary of the GoSS Ministry of Finance, The Joint Committee on Determination and Allocation of Oil Revenues works with transparency.

The Norwegian Tom Vraalsen, chairman of the Assessment and Evaluation Commission (AEC) created by CPA to monitor CPA implementation, has completed a report last month on oil issues. Aside from issues related to Abyei border which have not been agreed upon, oil issues are regarded as carried out in good faith, and significant progress has been achieved by the parties (Alsir Sidahmed, ST 19 11 07).

Swedish Lundin Petroleum AB has started drilling operations in Block 5B, at a planned depth of 2,100 metres (ST 13 02) but abandoned the well at 2,363 metres as no oil was recorded (ST 10 03). Drilling a new well in Block 5B had started with a planned depth of 1,700 metres (ST 17 03).

Total has started preparations to resume its activities in Jonglei state after more two decades break (St 19 03).

Thani ( Dubai ) shares in Petrodar (3%) had been sold to Al Kharafi Group (Koweit) (ST 16 03).

Sanctions

Washington intends to clamp down on companies that have violated sanctions imposed on Sudan . (ST 17 02) The name of companies penalized since 2003 for not complying with Sudan sanctions has been disclosed (ST 7 02).

The Arizona state has adopted a bill requiring the state pension funds to sell off any investments linked to Sudan (ST 7 02).

The actual implementation of sanctions by the US government had not yet begun. Is it because the financial turmoil? Is it because a shift in the American policy after the meeting of US special envoy Richard Williamson with the Sudanese foreign minister? The State Department had said that Sudan “take the kind of concrete steps to halt violence by the Janjaweed (militias) and others in Darfur ”. The Sudanese foreign minister expects the US to restore an U.S. ambassador, lift some or all sanctions and remove Sudan from the list of sponsors of terrorism before maximum six months (Wasil Ali, ST 17 03).

Arms

China provided Sudan with some 90 % of its small arms during 2004-2006 said Human Rights First, a New-York City –based group. For these arms, China stepped in to fill the void created by the decrease of arms sales from other countries. This report can be downloaded at :

http://www.humanrightsfirst.info/pdf/080311-cah-investing-in-tragedy-report.pdf .

A Chinese foreign minister spokesman said China had not broken the UN embargo, the arms sold are limited in number and Sudan imports from others countries ! ( AP 03).

China has exported more advanced weapon systems to Sudan . TV video of a military parade during the anniversary of independence last year showed new generation of Chinese tanks (T 96, T59D, T92). T92 were fitted with Russian 2A72 30mm cannon guns. It is the first time China exports such equipments whose technological standard is far superior to equipment China had previously exported to Africa (UPI 15 02).

Sudan and Iran signed a military cooperation agreement in order to booster weapon imports in Sudan . Iran official said there is no UN decision to ban Sudan from importing weapons. He seems to ignore UN resolution 1591 imposing arms embargo on Darfur region (ST 7 03).

According Vigilance Soudan private sources, the governmental army would have received, on February 22 in Darfur (Nyala, Zalingei, El Fasher, El Geneina), 100 tanks, 300 land cruisers and 300 Renault trucks. Renault assembles these trucks near Khartoum , after what they are fitted out with canons. Thank you France !

North Sudan

Denmark said it will oppose any debt relief deal for Sudan in response to the Sudan president decision to boycott Danish goods because of the publication of Prophet s' cartoon. Denmark will continue to bring aid to Sudan development (AP 28 02). Sudanese Vice president asked European countries to make a “political payment for the colonialism in the past” (ST 10 03).

Japan is considering offering debt relief to Sudan as an incentive for Khartoum to take action to end the Darfur conflit. The debt relief would be Euros 20 million, 7 per cent of debt to Japan value. (AFP 6 03)

A top aid of president Al-Beshir visited Tokyo where he expressed the hope of Japanese investments in Sudan . The Japanese replied Japan is anxious about security conditions and human rights (AFP 5 03). At the Organisation of the Islamic Conference in Dakar , Sudan explores how to strengthen economic ties with Bangladesh (ST 12 03).

U.N. Auditors accused peacekeeping operations in Sudan to have wasted tens millions of dollars over the three past years. U.N. peacekeeping officials contest the statement and maintain that the auditors' allegations are overblown (Washington Post 10 02).

The Sudan Consortium conference which brings together both the 2 governments and donors will take place in the first week of May in Paris , France . The main issues to be discussed will be the implementation of the Comprehensive Peace Agreement and development projects for the years 2008-2001.

The Arab league held a meeting in Cairo to implement League's aid to Darfur . Some 250 million U.S. $ has been collected by 5 Arab countries to improve Darfur conditions such as water, education and health. This aid will be implemented by national firms from the fund raisers (ST 16 03).

China will establish an agricultural technology demonstration centre in Al-Qadarif in Eastern Sudan (Xinhua 25 01). Agricultural cooperation agreements have been signed with Brazil and with Turkey (ST 26 03, ST 22 03). Netherlands expressed its willingness to increase imports from Sudan vegetables particularly from green beans and okra, 40 tons per day of each (ST 28 01). An ambitious plan for sugar production announced. (ST 6 03) Sudan and Saudi Arabia signed an agreement to reactivate a deal signed in 1974 on the joint exploitation of valuable mineral riches in the Red Sea (ST 25 03).

A new bridge will link Tuti island in June. 3 more bridges are planned to ease transportation in Khartoum . In this rich agricultural production island 15 000 people live. Hotel resorts and business district are planned, but nothing is planned to meet the local needs (AFP 23 03), who have always been opposed to this decision.

Damages to 2 submarine cables created 3 days congestion for telephone and internet in Sudan and with international connexions (Dow Jones 2 02). This incident reflect a certain weakness of the connexion network.

South Sudan

An agreement has been found to integrate South Sudan Custom in federal authority. Vacant posts will be filled with people from the south (ST 10 02).

The 3 Islamic banks in south Sudan are liquidating their assets (US dollar 45 million) to close at the end of February. Under the peace agreement, only conventional banking will be used in the south and last year, choice was given to Islamic banks to manage their banking methods or to leave (Reuters 6 02). Four microfinance agencies have been created with a funding dollar 1 million from the Multi-Donors Trust Fund (ST 11 08). This amounts looks like a drop in the ocean of needs! The services supply and services demand is still very weak in the South, as shows the examples of banking and insurance.

Jonglei province traders begin to build permanent shops in the Bor provincial capital market. They criticise the Nile commercial bank for very slow services and prefer to keep money at home (Philip Thon Aleu, ST 2 06, ST6 03). Very few vehicles are insured in the South and the number of insurance companies is very limited (Reuters 12 03).

The census planned to start in the South for 2 weeks faces to serious financial crisis : $7.2 million promised have been delayed and there is a gap of $4.5 million (Reuters 7 mars).

A contract for extensive security enhancements at Juba Airport has been signed with a British firm for US dollars 4.7 million : fence, surveillance cameras,… (ST 27 03)

The Southern branch of Sudan 's central bank will no longer provide US dollars except to foreign businesses, international NGOs and international travellers. This is to limit black market (Reuters 8 02).

A conference on Arab investment in South Sudan is on the League Arab agenda for later this year (ST 13 02).

After a vote of not confident in Auditor General by the Southern Sudan Legislative Assembly, the President of Southern Sudan Government removed the Auditor General as well as other members of the Chamber. He was accused of eleven charges including undermining power of GoSS President by replacing 3 president nominees, unprocedural purchase of a house for the Audit Chamber at US dollars 395 000, receiving double payment for international trips… (ST 20 02).

The Minister of Health of Government of South Sudan has joined the advisory board of Jarch management Group LTD, American company registered in Virgin Islands . This company alleges having signed with the SPLM contracts on Block B, on which Total hold rights (ST 27 02).

The Governors' Forum conference was held in Juba at the beginning of March. Many management troubles were presented and debated including the presentation of the president of GoSS who pointed at absence of perception of some taxes, double salaries for people offering girls. A World Bank representative highlighted the need of management transparency at every level (Isaac Vuni, ST 11 03).

Japan has granted US$ 12 million contribution to a UN project of US$ 246 million. The Japanese grant will be used to build 85 km of new roads and maintain 595 km (ST 29 01). Japan will finance teachers training (grant of US$ 8,7 million).