Most EAC countries want to see South Sudan join the trading bloc giving to the resource offering it will be bringing on the table.

In crucial oil talks held last week, South Sudan adopted a hardline stance, opting to shut down the facility in two weeks. Juba has accused the North of confiscating oil shipments valued at $214 million while in transit.

This move will increase the pressure on Kenya and South Sudan to hasten construction of an alternative pipeline through Lamu.

Juba officials see the link to the Kenya Coast as more cost-effective than paying the transport and refinery fees being demanded by Khartoum. The dispute over oil and the announcement of the planned shutdown will also come as a shock for China, whose companies are deeply involved in production and logistics infrastructure.

China also consumes more than 75 per cent of the oil exported from Sudan, with the two countries together producing half a million barrels of oil daily.

The closing down of the pipeline means the flow of oil exports to China will be disrupted.

The Asian giant, with so much at stake, is thus likely to initiate diplomatic initiatives to end the stalemate and secure the transit route.

“Resources have driven instability and will continue to shape the political, social and economic character of South Sudan.

The assumption of greater oil sector responsibility will bring changes and an opportunity to revisit contracts and operating standards; it may also prompt new investment,” said the Brussels-based International Crisis Group in a report on Sudan.

Should Kenya and South Sudan opt to fast track the construction of the link to Lamu, this will spark a race among foreign governments with the financial muscle to develop infrastructure needed to export the commodity.