Highlights
– Darfur rebels attack Chinese-run oilfield
– Attacks could have significant economic impact on Sudan
– Rebels warn of future attacks against oilfields, especially Chinese owned ones
The Justice and Equality Movement (JEM), a tribal militia that opposes Khartoum’s authority, attacked a Chinese-run oil field on October 25, 2007. Five oil workers were kidnapped in the attack, including three Sudanese, an Iraqi, and an Egyptian. The Defra oil field is located in neighboring Kordofan region and produces nearly half of all oil produced in Sudan. The attack on one of the most important oil fields outside of the groups’ usual area of operations highlights its ability to launch significant attacks.
Economic Impact
JEM warned foreign oil companies to leave the country within a week or face further attacks. JEM released a statement on November 4, 2007, stating they would release the hostages within days to the United Nations (UN). The statement again warned of further attacks on Chinese-run oilfields. JEM and other rebel groups appear to be changing targeting preferences away from a traditional focus on government security assets towards the country’s energy infrastructure.
However, an increasing focus on oil fields could lead to a situation similar to those ongoing in Nigeria, Niger, and Ethiopia. The Movement for the Emancipation of the Niger Delta (MEND) has cut oil production in Nigeria by 20 percent since they began their attacks in early 2006. Rebel movements in both Niger and Ethiopia have targeted foreign owned companies, though to a lesser extent than MEND. With oil playing a significant role in Sudan’s economy, a reduction in oil output due to rebel attacks would have a large negative impact on Sudan’s economy.
The China Connection
The targeting of a Chinese-run oil field is an important development in the ongoing conflict. The Sudan government relies on Chinese investment and oil profits to purchase weapons that fuel the war in Darfur. Sudan’s oil output is approximately 500,000 barrels per day (bpd). It is estimated 70 percent of oil revenues goes towards funding the army. By targeting oil fields, JEM is attempting to limit Khartoum’s income and its ability to purchase weapons.
The specific targeting of a Chinese-run oil field may demonstrate that JEM has linked China to the ongoing fighting in Darfur. Despite a likely increase in targeting of Chinese-run oilfields, it is unlikely China will cease operations since Sudan is one of China’s most important oil suppliers.
Further Oil Attacks Likely
As China continues to play an increasingly important role throughout Africa, further attacks targeting Chinese owned companies are likely to occur. Additionally, as African governments continue to use revenues from natural resources to fund their military operations, further attacks such as those seen in Nigeria, Niger, Ethiopia, Sudan, and elsewhere are likely to continue to occur. JEM, and possibly other Darfur rebel groups, will likely launch further attacks against oilfields, specifically those that are Chinese-run, in the near to mid-term. With peace talks failing to end the violence in Darfur, it is likely the conflict will continue in the mid-term.
