South Sudan moves to expand oil output as global prices surge

South Sudan is ramping up efforts to boost oil production as rising global crude prices create fresh incentives for investment in the country’s energy sector.

Officials say the government is working closely with foreign partners and joint operating companies to accelerate output, focusing on key oil blocks operated by both international and national firms.

- Advertisement -
Ad imageAd image

Chol Deng Thon Abel, undersecretary in the Ministry of Petroleum, said authorities have held a series of engagements with industry players to fast-track production. The discussions involved major operators including Dar Petroleum Operating Company and its partners such as China National Petroleum Corporation, Oil and Natural Gas Corporation and Nile Petroleum Corporation.

Speaking to reporters in Juba, Deng said recent drilling activities in the Al Nahal field, located in Blocks 3 and 7, have yielded promising results. One of the newly drilled wells is producing more than 5,000 barrels of oil per day, contributing to a steady increase in national output.

South Sudan’s oil production has risen from approximately 95,000 barrels per day to around 100,000 barrels per day following the latest developments, he added.

Ling Zongfa, president of Dar Petroleum Operating Company, said the consortium has drilled 16 wells since resuming operations in October last year, with 12 already commissioned. He noted that production has exceeded initial expectations due to improved reservoir management and the adoption of new technologies.

“We have seen encouraging results from the recent drilling programme, and continued investment will further enhance output and support the country’s economy,” Ling said.

South Sudan, whose economy is heavily dependent on oil revenues, has been seeking to stabilise and expand production after years of disruption caused by conflict and infrastructure challenges. Higher global oil prices have renewed momentum for exploration and development activities, offering the government an opportunity to boost revenues.

Analysts say increased production could help ease fiscal pressures and support economic recovery, although challenges remain, including ageing infrastructure, security concerns and reliance on export pipelines through neighbouring Sudan.

The government’s strategy focuses on revitalising existing fields while encouraging new investment to unlock untapped reserves. Partnerships with international oil companies are seen as critical to achieving these goals, particularly in providing technical expertise and financing.

Industry players say the use of modern drilling technologies and enhanced reservoir management techniques has been key to improving efficiency and output in recent months. Continued investment in these areas is expected to sustain production growth in the medium term.

However, experts caution that maintaining higher output levels will require sustained capital investment, improved governance and stable operating conditions.

As global oil markets remain volatile, South Sudan’s push to expand production underscores its reliance on the sector as a primary source of government revenue and foreign exchange earnings.

Share This Article
Leave a Comment

Leave a Reply

Your email address will not be published. Required fields are marked *