White Nile fights to keep Block B
UK-listed explorer White Nile is lobbying against a decision to strip the
company of south Sudan's oil Block B, adding that there have been "positive
developments".
South Sudan's Industry Minister, Albino Akol Akol, told Reuters in July a
long-standing dispute over the massive Block B had been resolved in favour
of French giant Total which held rights to the block granted by the northern
government.
"We have stopped drilling operations but we are still doing our
community work," White Nile's social and political consultant Acuil
Malith Bangol told the news agency on Saturday.
White Nile was helping build roads, health facilities and giving
scholarships to the local community in Jonglei state.
Bangol said it was lobbying against the decision, adding: "There are
positive developments."
He declined to elaborate.
The 17 June decision taken by the National Petroleum Commission (NPC), a
joint north-south body formed following a January 2005 peace deal to end a
bitter north-south war, said a committee had been formed to assess
compensation to White Nile.
The company, listed in the UK, is 50% owned by south Sudan's state oil
company Nilepet.
White Nile spent $18 million on seismic in the block before drilling its
first exploration well earlier this year in the 67,000 square kilometre
block.
On Friday Akol said the compensation team was hoping to finish work within a
month.
"(Their) report will be presented to the NPC which will decide how it
will compensate," Reuters quoted him as saying.
He said the compensation team's work was being slowed because the governor
of Jonglei state was away.
White Nile did not have to remove any of its equipment until the issue of
compensation was cleared said Akol.
Nilepet will retain 10% of the Total-led consortium under the new
arrangement for Block B.
"Nilepet is going to be an independent public company and will not be
a part of White Nile," said Akol.
05 August 2007 16:05 GMT
| last updated:
05 August 2007 18:13 GMT
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