The Role of Multinational Companies Investing in Oil Exploration and Extraction in Sudan

Abstract

The purpose of this paper is to present the role of multinational companies in general then its role in Sudan with particular emphasis on oil exploration and extraction. Chinese companies of multi-nationalities currently control the newly born oil industry in the country. Needless to say that the dire needs of the government because of its international isolation and sanctions compelled it to be subjected to bellow standards conditions in all economic and environmental aspects. The government accepted the conditions for the past twelve years. However, the secession of Southern Sudan into new country gives better re-negotiations opportunity to the newly born country. Meanwhile, the North is compelled to accept whatever conditions imposed on it for those Multinational companies, as referred before as controlled by Chinese capital and administrations. It is suggested here that the improvements that occur to the Northern Sudan's oil industry shall be carried out in new concessions provided by Western companies. However, the political sanctions still lie as barriers for such logical solution.