S. Sudan oil exports in limbo as Sudan orders shut down of Heglig facility
Sudan has instructed its operating companies, 2B OPCO and PETCO, to begin evacuating personnel from the oilfields and activate an emergency shutdown plan following attacks by the RSF
By Binia Elizabeth
The Government of Sudan has ordered an Emergency Shutdown on Heglig oil facilities, citing threats from renewed attacks by paramilitary group, RSF, a move that casts uncertainties on the future of crude oil exports from South Sudan through Sudanese territory.
In a letter addressed to South Sudan’s Ministry of Petroleum, the Acting Undersecretary of Sudan’s Ministry of Energy and Petroleum, Dr. Fadul Mahmoud, reported that RSF launched an attack on the Heglig Operations Basecamp early Saturday morning.
The attack, which occurred around 2:30 a.m destroyed the airport terminal, with shrapnel striking the operations camp and causing panic among staff at the Heglig Central Processing Facility (CPF) and Pumping Station located in the state of Kordofan, Sudan, near the border with South Sudan.
“The continued operation of these facilities despite ongoing attacks will render them inoperable in the long run,” the letter said in part, stressing on the urgent need to safeguard personnel and critical oil infrastructure.
Heglig Airport, which has not been operating since April 2023, was reportedly targeted despite the absence of any military presence in the area. The Sudanese ministry described the attack as “unprovoked” and a “serious threat to the stability of oil flows from South Sudan.
As a result, Sudan has instructed its operating companies, 2B OPCO and PETCO, to begin evacuating personnel from the oilfields and activate an emergency shutdown plan; a critical shutdown mode in the oil and gas industry designed to immediately halt operations in the event of a severe hazard or imminent danger.
In its letter, the Sudan government also disclosed a recent attack on the facility on August 26, forcing reduced production levels, and making it impossible for PETCO to meet the crude lifting schedule for August.
“We would also like to inform you that due to the attacks on the 26th August and today’s attacks, we have reduced the manning of the facilities to minimum. As such, we expect that PETCO will be unable to meet the lifting schedule for this month,” the letter stated in part.
The disruption poses a direct challenge to South Sudan’s economy, which relies heavily on oil revenues, and underscores the vulnerability of export operations that pass through the conflict affected regions in Sudan.
Both governments have pledged continued coordination, but the shutdown marks a major setback to oil output at a time when both Sudan and South Sudan face deep economic crises.
On January 7, South Sudan’s oil production resumed after months of paralysis from external and disruptions. The Ministry of Petroleum announced resumption of production of crude oil production from Blocks 3 and 7 in Paloch oil fields in Upper Nile State, following the lifting of the force majeure that was declared in February 15th, 2024.
The news was received with renewed hopes that the move would bolster government’s initiatives aimed at revitalising the national economy.
With a current oil production capacity of 110,000 barrels per day, the country has been working to increase production and stabilize its economy. Unfortunately, the shutdown of the Heglig facility could reverse the gains.
