Conflict-torn S. Sudan to raise oil production

South Sudan seeks to increase oil production from the current 130,000 barrels per day (bpd) to over 180,000 bpd in 2018 despite threat of oil workers kidnapping and security concerns, a senior official said late Saturday.

Stephen Dhieu Dau, Minister of Finance and Economic Planning, said preparations are underway to resume oil production in Unity State and oil operators in Upper Nile region have been instructed to expand their daily output.

Oil production was halted in Unity State after the December 2013 conflict.

Dau said insecurity and fall in global oil price forced the government to scale down production to fewer than 130,000 bpd in 2017 down from 160,000 bpd in 2015 after closing of the Unity oil fields.

South Sudan depends on oil revenue for 98 percent of its budget, but production has been hampered by civil conflicts that have forced most oilfields in the country's northern region to shut down.

The East African nation is currently struggling with hyper inflation, economic crunch amid shortage of foreign reserves to support imports.

Recent abduction of oil workers by fighters allied to former deputy president Riek Machar has also raised fears that the war-torn country would be deprived of its leading source of revenue after the rebels demanded stoppage of oil production.

But Petroleum Minister Ezekiel Lol Gatkuoth said last month that the kidnapping cases would not impede oil production in the area, assuring oil operators that security will immediately be reinforced to protect oil workers. Endit