PetroChina International is exploring opportunities to develop a regional oil transportation corridor linking South Sudan to Djibouti through Ethiopia, a project that could provide the landlocked oil-producing country with an alternative export route while strengthening Djibouti’s ambition to become a regional energy hub.
The proposal was discussed during a meeting between the Chairman of Djibouti Ports and Free Zones Authority and a high-level PetroChina International (Middle East) Company Limited delegation led by Deputy General Manager Hu Weiqiang at the Red Sea World Centre this week.
Discussions focused on the proposed construction of a petroleum storage depot with a capacity of 300,000 cubic metres at Damerjog Industrial Park, the possible establishment of an oil refinery and the development of the cross-border transportation corridor.
The proposed route would extend approximately 1,550 kilometres from South Sudan through Ethiopia to Djibouti, crossing areas with a maximum elevation of 2,400 metres.
According to the project proposal, the corridor was selected partly because of Djibouti’s existing port facilities and the availability of supporting infrastructure, including roads and electricity, along the route.
The Damerjog Liquid Bulk Port would serve as the main maritime gateway, allowing South Sudanese crude to reach international markets through Djibouti.
The initiative could offer South Sudan an important alternative....
