South Sudan is to cut oil production back by half this weekend ahead of a full shutdown as its ongoing dispute with Sudan escalates.
Sudan warned last month it would close two oil pipelines which crossed the border from South Sudan unless the latter gave up support for Sudanese Revolutionary Front rebels it claims operates across the border.
Now the South Sudanese government says it will scale back production to 100,000 barrels of oil per day, down from the usual 200,000boed level.
“It should go down to 100,000 over the weekend, and then next week it will continue to go down from there,” said Mawien Makol Arik, a spokesman for the foreign ministry in Juba.
Oil flow from the country only resumed in April, after disputes between Sudan and the South, which seceded in 2011, sparked a 16-month shutdown.
The landlocked South needs to export its oil through its neighbour to the coast.