Business

China Oil Companies Warned of Increasing Risks

National Yemen

ZPEB Yemeni and chines engineers

By National Yemen

Sources at the Ministry of Oil and Minerals said that the Chinese government gave an order last week to prompt Chinese companies working in Yemen to take extra care protecting the safety and security of its staff. The political unstability has negatively affected Yemen’s oil production. The Chinese Government owned companies, Sonopic and Seicom, produce approximately 20,000 barrels of oil a day.

The order comes as Yemeni tribesmen blew up a pipeline to export oil in Marib oil-producing east of the capital Sanaa, said a government official.

The official said the attack on the line, which carries crude oil from Marib to the export facilities at Ras Issa on the Red Sea, is the seventh of its kind in a month.

Ten days ago the technical engineers of Safer Exploration and production Operations Company (SEPOC) managed to fix the previous damaged pipe in an area between Srawah in Marib and Khawlan where the pipeline passes through. The blasts, while not big, took place at the 65 and 85 kilometer markings.  The source said that the company will suspend its oil exporting to the terminal in Ras issa and the valve at kilometer 100 remains closed.

While engineers have attempted to fix the pipeline, they have been persistently threatened by the local tribes preventing the pipelines from being fixed.

There are growing concerns that the suspension of oil from Block 18 may bring oil crises to Yemen again. People from Aden have confirmed that many petrol stations are closed and the remaining ones that are that is open have long lines. Tribal sources said that some sheikhs are carrying negotiations in Sarwah to end their threat and let SEPOC engineers fix the damaged pipeline.

SEPOC is the first local producer oil company and works in the Marib basin along with   produce Jannah Hunt Oil Company, OMV and OCY Yemen.  Part of SEPOC oil goes