The state-run Oil and Natural Gas Corp (ONGC) can heave a sigh of relief, with signs of a truce, at least in oil, between Sudan and South Sudan raising hopes that India’s $3 billion investment in the world’s newest nation is safe.
“It’s an (oil) agreement about all of the matters. The issues that were outstanding were charges for transportation, for processing, transit,” former South African President and African Union mediator Thabo Mbeki told reporters here.
“What will remain is to then discuss the steps as to when the oil companies should be asked to prepare for the resumption of production,” Mbeki said in this city, which houses the African Union, where the two nations are negotiating.
The development coincided with US Secretary of State Hillary Clinton’s visit to South Sudan’s capital Juba Friday, asking the country to resolve its bitter differences with its northern neighbour, a day after the expiry of a UN deadline to them to show progress.
The Indian company’s overseas arm, ONGC Videsh has a stake in Greater Pioneer Operating Company, which operates blocks in South Sudan’s Unity state. China National Petroleum Corp leads this consortium with Malaysia’s Petronas and ONGC Videsh as partners.