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Gold/Mining/Energy : Lundin Oil (LOILY, LOILB Sweden)

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To: Tomas who wrote (2646)7/20/2001 10:18:40 PM
From: Tomas  Read Replies (1) of 2742
 
Sudan: State-owned South African oil company plans to extend its operations into Sudan
Mail & Guardian, July 20
By Thuli Nhlapo

Company Embroiled in Sudan Oil Row
The Department of Foreign Affairs has warned the Department of Mineral and Energy Affairs that plans by Soekor, a state-owned oil and gas exploration and production company, to extend its operations into Sudan, could have embarrassing consequences for South Africa and incur the wrath of international human rights bodies.

This controversy comes shortly before a visit by Sudanese Foreign Minister Dr Mustafa Osman Ismail to South Africa. According to the Sudanese embassy in Pretoria, the visit is part of ongoing bilateral relations between the two countries.

The Department of Foreign Affairs has confirmed that a meeting was held this month, where senior officials briefed mineral and energy affairs and Soekor representatives on the ongoing civil war, and of the damage that South Africa's reputation may suffer as a result of the company's involvement in the oil sector there.

But matters appear to be pressing ahead. Soekor representative Rima Tshishonga this week brushed aside foreign affairs concerns. She confirmed the briefing had taken place on the political situation in Sudan, but added that it was "all about profits".

This is not the first time oil exploration has been discussed with the Sudanese government. According to reports from the Sudan News Agency, a high-level African National Congress delegation, including Deputy Minister of Mineral and Energy Affairs Susan Shabangu, visited the Sudanese capital, Khartoum, earlier this month.

Although attending the country's 12th National Salvation Day -- celebrating the military's coup 12 years ago -- as an ANC official, Shabangu was widely reported in the local press as saying the visit wanted to look at possibilities of cooperation between the two countries "in all fields". Shabangu also lauded Sudan's "great economic accomplishments", especially in oil production, saying it could bolster joint relations. The deputy minister said a technical South African delegation would soon be dispatched to Sudan to invest in the fields of energy and mining.

A coalition of human rights organisations and aid agencies has been spearheading a "Peace First" campaign that has been applying pressure on governments and oil companies against investing in Sudan's oil sector.
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