Sudan and South Sudan Oil & Gas Report Q2 2018
The threat of civil conflict poses downside risk to our oil production forecast for South Sudan. While a renewed conflict isnot our core view, we expect the political and security environment to remain highly fractured over the coming years, weighing onany recovery in output. The outlook for both Sudan and South Sudan is poor over the long term. A weak competitive landscape,lack of exploration and chronic underinvestment will combine with a maturing asset base and rapid natural decline rates to dragdown on overall output. The downstream sector will see little activity in both markets, due to domestic fiscal pressures and a lack offoreign participation.
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