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Ethiopia and South Sudan agree to construct oil route

Staff Writer |
President Salva Kiir and Prime Minister Hailemariam Desalegn have agreed to build a road linking the two countries enabling South Sudan to export its oil to the landlocked Ethiopia.

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President Kiir arrived in Ethiopia on a three-day official visit.

Kiir and Desalegn on Friday signed eight cooperation agreements to enhance economic cooperation and border security between the two neighbouring countries.

Speaking at the signing ceremony in Addis Ababa, the Ethiopian prime minister welcomed the agreement saying "We don’t need to go too far distance to import oil while South Sudan is close by here with us," the Ethiopian premier said.

Hailemariam further said Ethiopia is currently constructing a highway from Dima to Raad and intends to extend this road further to Boma as part of its plans to boost economic ties with the world’s youngest nation.

The highways due to be constructed will stretch from Gambella-Pagak-Palouge while the second one from Dima-Raad-Boma-Bor.

The minister at the South Sudanese presidency, Mayiik Ayii, Gai, said the construction of the road comes together with the building of a refinery in Upper Nile with the capacity to process up top 100,000 barrels of oil per day. This project is funded by Swiss and U.S companies.


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