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Press Releases Last Updated: Dec 20, 2009 - 3:34:53 PM

Jarch Capital and Leac Company did not engage in future oil deals in southern Sudan

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Jarch Capital and Leac Company did not engage in future oil deals in southern Sudan

Public Release

Leac for Agriculture and Investment Company Limited

February, 23, 2009

The management of Leac for Agriculture Ltd would like to refute allegations raised by an article published in the Middle East Online a week ago which alleged that the agreement which Leac for Agriculture Ltd concluded with Jarch Capital, Ltd was intended to secure future oil deals. The article was authored by Guillaume Lavallee based in Khartoum. In that article, the writer also alleged that the Government of South Sudan (GoSS) was uncomfortable with the deal because the GoSS is dominated by the Dinkas while the Leac is run by the Nuers.

The leadership of Leac Company is profoundly disturbed by the unfounded allegations Mr. Guillaume Lavallee raised in his article. First and foremost, it has to be made abundantly clear that the two companies signed a joint venture agreement to open commercial agricultural schemes throughout South Sudan. The two companies will commence their schemes in the ten states of South Sudan to address the acute food shortages in the region.

Contrary to allegations Mr. Lavallee raised in his article, the intention of both companies is not for future oil deals, but to open agricultural schemes in the South that will address acute food shortages in the country. It should be noted that there is no company in the World that could award oil contracts to another company. Currently, the power to award oil contracts to foreign oil firms rests with the Government of National Unity (GONU). Should the South secede in 2011 Referendum and become an independent state, the future government of South Sudan would then determine which company shall be awarded oil contracts based on the laws of the future state.

The management of Leac also deplores Lavallee’s baseless allegation that the GoSS is dominated by the Dinka. As any objective observer would discover, the GoSS is representative of all ethnic groups of the South. Mr. Lavalle should have known that the Vice-president of the GoSS is a Nuer while the Speaker of South Sudan Legislative Assembly is a Bari. It’s unfortunate for Middle East Online to engage in a negative propaganda intended to divide the people of South Sudan on tribal lines. The unity of Southern Sudanese has been consolidated since the signing of the Juba Declaration in January, 2006. Therefore, the prophets of doom who wish to divide the people of South in order to conquer them will not succeed in their endeavors.

Besides, the management of Leac dismisses the allegation that the Company is dominated by Nuers. The Board of Directors of our company is representative of all ethnic groups of the South including foreigners who have vision to develop the South. Since the conclusion of the Comprehensive Peace Agreement (CPA) in 2005, the South has started the process of nation building. There can never be tangible change in the South unless the issue of food insecurity is resolved. The only way to propel development in the South is via opening up mechanized agricultural schemes that would feed thousands of people. That was the fundamental reason behind the joint venture deal between the Leac and Jarch Capital.

We seriously advise the media to stop labeling the Leac as a company affiliated to Deputy C-in-C of the SPLA, 2nd Lt. Gen. Paulino Matip. The CEO of Leac is Gabriel Wiethiang Matip, who is a businessman running a company whose Board of Directors is composed of diverse members of South Sudan community. Lt. Gen. Paulino Matip is neither a member of the board nor does he have any role in its management.


For Contact

Mr. Gordon Buay,

Legal and Media Affairs Advisor

Tel. (306)292-5074

Email: [email protected]



Mr. Gabriel W. Matip

CEO of Leac for Agriculture and Investment Company Limited

Tel. (952)237-0815

Email: [email protected]


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