Untitled

BUSINESS PROPOSAL TO ENHANCE PERFORMANCE OF JOINT
OPERATING COMPANIES (JOCs) IN SOUTH SUDAN

A CASE STUDY IS GREATER PIONEER OPERATING COMPANY
(GPOC)
BY
YWODO JOHN NYAWELLO AKOL
INDEX NO. XXX
SUPERVISED BY: DR. BAK BARNABA CHOL

A RESEARCH PROJECT SUBMITTED IN A PARTIAL
FULFILLMENT FOR THE REQUIREMENT FOR AWARD OF
MASTER
IN
BUSINESS ADMINSTRATION
DEPARTMENT OF BUSINESS
SCHOOL OF MANAGEMENT SCIENCES
UNIVERSITY OF JUBA
2021
i
DECLARATION
I, YWODO JOHN NYAWELLO AKOL hereby declare that this Thesis is my

own work and has not been submitted to any other Academic Institution for
Academic Award.
This study is about a Business Proposal To Enhance Performance Of Joint Operating
Companies (JOCs) In South Sudan, a Case study is Greater Pioneer Operating
Company (GPOC). If anybody need it for further research, then he/she will contact
the author or University of Juba, School of management and sciences.
ii
DEDICATION
I dedicated this THESIS/work to my Parents, my father John Nyawello Akol

Ajawin and my Mother Nyakomi Adieng Deng Mojok through whom I am on this
planet today. Their role model in raising and nurturing me and for their sacrifices to
ensure the smooth flow of my education paths.
iii
ACKNOWLEDGEMENTS
I would like to acknowledge the supports offered during my research work by many
that helped in accomplishing the goal of finalizing this project. Specially those who
without their help and touches I wouldn’t be able to complete this paper. I am very
grateful to my supervisors, Dr Bak B. Chol for his magnificent role in providing me
with the needed guidance, advices and directive which makes this thesis possible. I
acknowledge with sincere appreciation great role play by Ustaza Julia Jadallah for
her role in reviewing the document’s language , structure and helping with the SPSS
software for data analysis.. She did tremendous work both technically and
academically.
I would like to acknowledge and appreciate the role of my family for morale support
offered to me in every aspect. In fact, It was not easy assignment with the family
obligations but they have made the burden lighter on me and created a conducive
environment that helped me in finishing this project. My deep appreciation goes to
my dear wife Engineer Rita Scopas Lukak and beloved children Takejwok,
Tyamo and Tejwok .
I would like also to acknowledge the role played by the family of University of Juba,
School of Management Sciences, Department of Business Administration
particularly the lecturers who has spent treasurable time to transfer knowledge unto
us and I pray that may God to give them strength and good health to continue raising
a qualified cadres for this country.
Lastly but not the least, I would like to acknowledge the role played by all colleagues
in the program of Master of Business Administration.
iv
TABLE OF CONTENTS
DECLARATION .......................................................................................................................................... ii
DEDICATION ............................................................................................................................................. iii
ACKNOWLEDGEMENTS ......................................................................................................................... iv
TABLE OF CONTENTS..................................................................................................................................... v
LIST OF TABLES ..................................................................................................................................... viii
LIST OF FIGURES ...................................................................................................................................... x
LIST OF ABBREVIATIONS AND ACRONYMS .................................................................................... xii
ABSTRACTS .............................................................................................................................................xiv
CHAPTER ONE ........................................................................................................................................... 1
Introduction to the study, Research Problem, Objectives, Significance Scope, and Structure of the study . 1
1. Introduction ......................................................................................................................................... 1
1.1. Historical overlook of oil & Gas industry in Sudan/South Sudan ................................................ 1
1.2. Background of the study ............................................................................................................... 3
1.3. The statement of the problem........................................................................................................ 6
1.4. Justification of the study ............................................................................................................... 7
1.5. Scope of Study. ............................................................................................................................. 8
1.5.1. Geographical Scope .............................................................................................................. 8
1.5.2. Time Scope ........................................................................................................................... 8
1.6. Research Main Objective .............................................................................................................. 8

1.7. Specific Objectives ...................................................................................................................... 8
1.8. Hypothesis of Study ...................................................................................................................... 9
1.9. Empirical Review........................................................................................................................ 10
1.10. Conceptual Frameworks ......................................................................................................... 11
1.11. Theoretical Frameworks ......................................................................................................... 13
1.12. Methodology of Study ............................................................................................................ 13
1.12.1. Research Design.................................................................................................................. 14
1.12.2. Sample Unit ........................................................................................................................ 16
1.12.3. Sampling methods ............................................................................................................... 16
v
1.12.4. Sample Size ......................................................................................................................... 17
1.12.5. Data Collection Methods .................................................................................................... 17
1.12.6. Data Collection Techniques ................................................................................................ 18
1.12.7. Data processing ................................................................................................................... 18
1.12.8. Data presentation................................................................................................................. 18
1.13. Data analysis Tools ................................................................................................................. 19

1.14. Limitations of the Study.......................................................................................................... 19
1.15. Organization of the study ........................................................................................................ 20
CHAPTER TWO ........................................................................................................................................ 21
A Review of relevant literature ................................................................................................................... 21
2.1. Oil Prices ........................................................................................................................................ 21
2.2. Geopolitical Situations .................................................................................................................. 24
2.3. Corporate Performance................................................................................................................ 29
2.4. Technology ..................................................................................................................................... 33
2.5. Insecurities ..................................................................................................................................... 35
2.6. Ownership...................................................................................................................................... 37
2.7. Financial Performance of JOCs................................................................................................... 40
CHAPTER THREE .................................................................................................................................... 44
RESEARCH METHODOLOGY ................................................................................................................ 44
3. Introduction ....................................................................................................................................... 44
3.1. Research Design ........................................................................................................................ 44

3.2. Research Method ...................................................................................................................... 44
3.3. Study Population ....................................................................................................................... 45
3.4. Sampling Procedures ................................................................................................................ 46
3.5. Sources Of Data......................................................................................................................... 46
3.6. Data Processing And Analysis ................................................................................................. 47
3.6.1. Research Instruments ....................................................................................................... 47
3.6.2. Pre-Testing......................................................................................................................... 47
3.7. Procedure Of Data Collection And Tools ............................................................................... 48

3.8. Data Analysis ............................................................................................................................. 49
vi
3.9. Limitations To The Study......................................................................................................... 50
3.10. Ethical Considerations.......................................................................................................... 50
3.11. Anticipated Problems ........................................................................................................... 51
Chapter Four ............................................................................................................................................... 52
Analysis of the Findings and Interpretation of the Results ......................................................................... 52
4. Study population ............................................................................................................................... 52
Chapter Five .............................................................................................................................................. 71
Summary of findings, conclusions, and recommendations ................................................................... 71
5.1. Summary of the research results ............................................................................................. 71

5.2. Contribution of the research .................................................................................................... 72
5.3. Implications for management of Joint Operating Companies JOCs ................................... 73
5.4. Further research suggestions ................................................................................................... 73
References ..................................................................................................................................................... 0
Appendix No. 01: Online Questionnaire Forum ........................................................................................... 2
Appendix No. 03: Interview Questions......................................................................................................... 2
Appendix No. 03: To whom to may concern letter from University of Juba ............................................... 2
vii
LIST OF TABLES
Table 4.1: Gender of the Participants ......................Error! Bookmark not defined.

Table 4.2: Academic Qualifications of the participants ........ Error! Bookmark not
defined.
Table 4.3: Age of the Participants ........................... Error! Bookmark not defined.
Table 4.4: Position of the Employee ........................Error! Bookmark not defined.
Table 4.5: Years of working Experience ................Error! Bookmark not defined.
Table 4.6: Years of the Company operation in South Sudan Error! Bookmark not
defined.
Table 4.7: Numbers of employees in GPOC ...........Error! Bookmark not defined.
Table 4.8: GPOC Oil Daily production .................. Error! Bookmark not defined.
Table 4.9: Significant of Oil Prices on the Financial Performance JOCs. ...... Error!
Bookmark not defined.
Table 4.10: Effect of oil Prices on GPOC Financial Performance .................. Error!
Table 4.11: Effect of Geopolitical, owners & etc on GPOC investment Decision
................................................................................. Error! Bookmark not defined.
Table 4.12: Other external factors affecting GPOC investment decision ...... Error!
Table 4.13: Effect of the main factors on GPOC investment effeciencies ..... Error!
Table 4.14: Well Performance of JOCs when the oil prices are high ............. Error!
Table 4:15: Well Performance of JOCs when the oil prices are low .............. Error!
viii
Table 4.16: No effect of oil prices on JOCs performance .... Error! Bookmark not
defined.
Table 4.17: RSS independent 2011 effect on GPOC Business Performance .. Error!
Table 4.18: 2013 crisis mpacts on GPOC Business Performance Error! Bookmark
not defined.
Table 4.19: 2016 crisis mpacts on GPOC Business Performance Error! Bookmark
not defined.
Table 4.20: GPOC’s MC implementation of Policies and Strategies.............. Error!
Table 4.21: GPOC’s MC Policies of maintenaing the profitability ................ Error!
Table 4.22: GPOC Management Committee's is Performance .... Error! Bookmark
not defined.
Table 4.23: The Technology been used to enhances Financial Performance. Error!
Table 4.24: Level of Advance Technology used by GPOC .. Error! Bookmark not
defined.
Table 4.25: Impact of advance technology on JOCs Financial Performance.. Error!
Table 4.26: Impact of insecurities on JOCs ............ Error! Bookmark not defined.
Table 4.27: Impact of insecurities on GPOC’s Business Performance ........... Error!
Table 4.28: Effectiveness of GPOC strategies to face insecurities ................. Error!
Table 4.29: The influence of owner on GPOC’s Business Performance ........ Error!
ix
Table 4.30: Direct influence of owners on GPOC Business Performance ...... Error!
Table 4.31: Indirect influence of owners on GPOC Business Performance ... Error!
LIST OF FIGURES
x
Figure 01 Map of Oil Fields in South Sudan .......... Error! Bookmark not defined.
Figure 02 Oil Prices Supercycle ............................. Error! Bookmark not defined.
Figure 03 GPOC Production File............................Error! Bookmark not defined.
Figure 04 Factors influencing financial performance of JOCs.... Error! Bookmark
not defined.
Figure 05 Oil Prices volatility on the firm profitability ........ Error! Bookmark not
defined.
xi
LIST OF ABBREVIATIONS AND ACRONYMS
GPOC Greater Pioneer Operating Company

JOCs Joint Operating Companies
SPOC Sudd Petroleum Operating Company
DPOC Dar Petroleum Operating Company
MOP Ministry of Petroleum
OPEC Organization of Producing and Exporting Countries.
GPC Gulf Petroleum Corporation
GNPOC Greater Nile Petroleum Operating Company
CNPC China National Petroleum Company
GOSS Government of South Sudan
EPSA Exploration & Production Sharing Agreement
TA Technical Agreement
WPB Work Program and Budget
OPEX Company’s Day to Day Expenses
CAPEX Company’s Major, Long-term Expenses
S&T Strategies and Technics
KSE Khartoum Stock Trade
MC Management Committee
SVAR Structure Vector Auto Regressive
SPSS Statistical Package for Social Scientist
GDP Gross Domestic Product
FDI Foreign Direct Investment
MNC Multinational Cooperation
TIM Triple Helix Model
PPDM Professional Petroleum Data Management Association
xii
KPI Key Performance Indicator
E&P Exploration and Production
IO Industrial Organization
L&L Partnership between only large companies
L&F Collaboration between large and fringe companies
ROI Return of Investment
PRC People Republic of China
USA United Stated of America
UK United Kingdom
CPA Comprehensive Peace Agreement
IMF International Monetary Fund
UN United Nation
UNDP United Nation Development Programme
UNCAT United Nations Convention Against Torture
xiii
ABSTRACTS
Oil is considered by many countries as a commodity with the most important export
product which has a significant role and effects in countries’ economies. Therefore,
the oil price variations can have direct effects on economic sectors. Uncertainty
caused by unpredictable oil prices can have a huge impact on the economic body.
Until the mid-1990s the Organization of the Petroleum Exporting Countries (OPEC)
played a key role in oil pricing, during recent decades, rapid economic growth in
developing economies has boosted the demand for oil, making oil prices vulnerable
to a wider range of factors
This research will provide theoretical and empirical examination on the impacts of
oil pricing, geopolitical situation of the produced countries, insecurities related to
the work environment of oil companies, Board or cooperated performance of the
Joint Operating Companies in enhancing business, owners direct and indirect
influence in joint operating companies investment decisions and technologies been
used in explorations and production of the oil on the business performance and
investment decision of Joint Operating Company by by investigating Greater
Pioneer Operating Company (GPOC).
Key words: oil prices, Joint Operating Companies, Business performance,

Investment decisions.
xiv
CHAPTER ONE
Introduction to the study, Research Problem, Objectives, Significance Scope, and Structure
of the study
1. Introduction
This paper is an attempt to study the oil companies' business profile in South Sudan and to find
out the interrelationship and overlapping described by how oil price volatility influence
investment decisions, financial performance, and the operations of exploration and production.
This chapter will focus on the introduction of the study, background about oil companies,
statement of the problem, justification of study scope, objectives of the study, hypothesis,
methodology, organization, empirical review, and limitations of the study. But firstly, a historical
overlook of the Oil & Gas Industry in Sudan before 2011 and South Sudan after 2011 and the
challenges which I suggest may be helpful to understand the Key-concepts of the Subject.
1.1. Historical overlook of oil & Gas industry in Sudan/South Sudan
Exploration Sudan's oil began in 1959 by Italy's Agipo Oil Company in the Red Sea Area, (Patey,
2007) followed by other western Oil organizations like Oceanic Oil Company, Total, Texas
Eastern, Union Texas, and Chevron, which moved in to look for oil. However, no outcome was
made and most organizations pulled out.
In 1974 Chevron, got authorization to investigate for Oil and by 1978 oil was found in the Muglad
Basin extending profoundly into Western Upper Nile in South Sudan (Derks, et al., 2008). In 1981
second oil discovery was made in Adar Yale in Melut Basin, East of the White Nile. The third
discovery was made in 1982 at Heglig, 70 km North of the Unity field whereby Chevron started
to create Unity and Heglig Oilfields.
In 1984, Chevron suspended activities and retired labor, the public authority in Sudan separated
Chevron concessions into small units. In 1992, Melut Basin – Blocks 3&7 to Gulf Petroleum
Corporation - Sudan (GPC). Also, in March 1997, GPC resumes Chevron's wells, assembled an
all-seasons road from Adar Yale to Melut, and initiated the site at Adar Yale with Production of
just 5,000bbl/d. (Patey, 2007)
1
In 1992, Arakis Energy Corporation from Canada came into the scene with its accomplice State
Petroleum gained previous Chevron Blocks 1,2&4. Arakis couldn't proceed because of inadequate
money to fund the process and in December 1996 it offered a 75% premium in its venture to state-
claimed oil organizations from China, Malaysia, and Sudan, framing a consortium called Greater
Nile Petroleum Operating Company (GNPOC).
In August 1999, GNPOC's first pipeline of 1,549km from the South Sudan handle (GNPOC's
Oilfields) to the Red Sea (Marine fare terminal) in Sudan was finished and begun its initial 1,500
barrels of raw petroleum.
Since the oil creation of GNPOC, multiple discoveries have come up. In 2003, the CNPC declared
the disclosure of "A-list" oil field in blocks 3&7 east of White Nile. Oil production normal was
270,000 bbl/d and 304,000 bbl/d in 2003 and 2004 individually. In 2006 the subsequent pipeline
went ahead stream in increases to the significant stream project (Blocks 1,2&4, worked by the
Greater Nile Petroleum Operating Company – GNPOC in the Muglad Basin) which made the
country's crude Oil Production go to 434,000 bbl/d by 2006. (Gadkarim, 2010)
Additionally, there were increments in oil Production; high oil prices, a few enterprises
resuscitated and development in the fare preparing zones that came about in support GDP
development about 10% in 2006, improvement to financial approach and adjustment of conversion
standard. (Derks and Romer, 2008). With the ascent in overall oil prices in 2005, as per (IMF 2007
staff report), Sudan send out developed by 29,8% to $4,8 billion helped by oil trades, while imports
developed by 30,9% to $5,9 billion. With the rise in worldwide oil prices in 2005, according to
(IMF 2007 staff report), Sudan export grew by 29,8% to $4,8 billion boosted by oil exports, while
imports grew by 30,9% to $5,9 billion.
South Sudan oil forecast associates are made of Asian trade partners coordinated under consortium
(Nour, 2011). For example, China, whose ventures are assessed to be excessing $6 billion which
prevalently in the oil business. Subsequently, (CNPC) South Sudan's driving Oil organization,
which claims the biggest single offer in the GPOC consortium 40%), Malaysia is the second-
biggest financial backer addressed in Malaysia's state oil firm Petronas (30%) alone having
speculation worth of $1,45 billion, India's Oil and Natural Gas Corporation (25%) and the South
Sudanese government's Nilepet organization (5%) (UNCTAD; UNDP, 2007).
2
Figure: 01 Map of Oil Fields in South Sudan
Sources: (Pragst, et al., 2016)
1.2. Background of the study
This paper attempts to address the interrelationships of the Oil Prices and the speculation
portfolio of the organizations' working in South Sudan Oilfields. The endeavor will be to portray
the immediate effect of oil prices on the organizations' essential venture choice (Exploration and
Production) with the significant spotlight on Greater Pioneer Operating Company (GPOC) which
works in Unity State and Ruweng Administrative Area. (Sources: GPOC Reports 2019)
(Hamilton, 1983) investigated the effect of a sharp ascent in oil prices since 1973 on the
American macroeconomic performances. This examination showed that the 1970s downturn in
the US caused an unexpected ascent in oil prices. The aftereffects of this investigation prompted
the affectability of numerous strategy producers about changes in oil prices. Since such oil price
varieties were perceived as quite possibly the main sources of the financial emergency among
oil-trading and bringing in nations. The price of this non-environmentally friendly power has
encountered various changes throughout the long term. This consistent increment and lessening
in oil prices made an air of vulnerability in the macroeconomic climate.
3
Unrefined petroleum prices vacillated intensely in the previous thirty years and have grown to be
more unpredictable than they were over the time frame from World War II to the mid-1970s.
Since oil prices are named in US dollars, thus their variances in homegrown monetary standards
rely intently upon the dollar trade rates, oil and non-oil economies are not influenced by the oil
price increments in a similar way. (Ulusoy and Özdurak, 2018)
Figure 02: Oil Prices Supercycle
Sources: (Baffes, 2007)
The adjustment of oil prices is a higher priority than the actual price since unpredictability makes
it hard to anticipate both for the significant players and the nations too. Oil price elements
impacted monetary movement, value markets, and the procedures of the energy organizations. In
this setting displaying and estimating, the comovements between oil prices and the dollar trade
rates are pivotal. (Ulusoy and Özdurak, 2018)
Since June 2014, Oil production has encountered a sharp fall in prices (Baffes, et al., 2015). In
the course of recent many years, five different scenes of oil price decreases of 30% or more in
seven months happened, concurring with significant changes in the worldwide economy and oil
showcases these dive in oil prices has been driven by a few factors: quite a while of upward
amazements in the creation of unpredictable oil; debilitating worldwide interest; a huge move in
OPEC strategy; the loosening up of some international dangers; and an enthusiasm for the U.S.
dollar.
4
South Sudan is perhaps the most Oil-subordinate nations on the planet, with oil representing
practically the entirety of fare, 90% of income, and more than 33% of its (GDP). The country's
GDP per capita in 2014 was $1,111 dropping to under $200 in 2017. Outside the oil area,
livelihoods are amassed in low profitable, neglected horticulture and pastoralist work.
(Woodeneh, 2020)
Strategic investment is a methodology utilized by an organization when contributing, aiming to

make the business more effective. It is perhaps the main business choices since such speculations
can prompt upper hands through expense decrease (Golfeto, Moretti, and Salles, 2009) and
production differentiation which thusly lead to esteem creation (Makadok, 2003). The worth
creation can be boosted when an ideal venture technique can be applied. However, because of
the vulnerabilities organizations should manage, the ideal venture procedure is difficult to
decide.
(Porter, 1980) finds the significance of industry structure in deciding ideal investment strategies/
speculation techniques. The significant components of industry structure incorporate the
financial and innovative climate, upper hand, capital distinguishableness, first-mover merits, and
rivalry force. The vulnerabilities get from a large group of sources, including yield and info price
(Sant, 2002), the exchange rate (Novaes and Souza, 2005), improvement time (Silva and
Santiago, 2009), guideline, and energy assets (Pindyck, 1991).
More noteworthy Greater Pioneer Operating Company (GPOC) was set up by EPSA's project
worker under TA to work blocks 1,2&4 which contains Five (5) fields with 64 wells running and
pinnacle production of 49kbd in October 2019 and just has been in activity for 2.5 years since
2012. (Sources: GPOC introduction in Africa Oil and Power South Sudan Conference - Juba,
October 2019).
Figure 03: GPOC Production File
5
Sources: GPOC Reports
1.3. The statement of the problem
Oil is a commodity considered the most important export product in many countries, playing a
key role in the economies. That is why oil price variations can have direct effects on economic
sectors. The uncertainty caused by unpredictable oil prices can have a huge impact on the
economic body. (Ayoubi & Rezaei, 2016)
Proceeds from the oil sales in the exporting countries play a major role in increasing the general
prosperity of the nations. Such proceeds are a component of the country’s national income and
could be used through domestic investment and foreign investment over economic development.
(Hamilton, 1983)
The oil price run up may have negative effects on the world economy through various
mechanisms. Particularly, gross domestic product losses due to revenue transfers to oil exporting
countries areas matter of concern to oil-importing countries. As the current oil price run up has
invited interests to grow in this problem, various institutes have estimated effects of the price run
up on the world economy. A dominant estimate indicates that an oil price hike of $10 per barrel
6
could cut world GDP by 0.25% to 0.5%. The impact maybe greater on oil-importing developing
countries, which depend more on oil imports than industrial countries (Koyama, 2005)
Greater Pioneering Operating Company (GPOC), one of the south Sudanese oil company been
affected with the oil prices. GPOC has been in oil production Shut down since Decemeber 2013
up to August 2018 due to the geoplotical instability in South Sudan, which GPOC have invested
$490m in these five years of shut down. In 2020 GPOC’s annual budget (Work Program and
Budget – WPB) business preforamance reduced by 15% compared to the WPB-2019 due to the
drop in the oil prices. (Sources: GPOC Reports)
(King, Deng, & Metz, 2012) continue to prove the supply of oil depends upon political decisions
and the impacts of the decision by the state-run companies determine the oil production and
investment. The oil prices drop may continue to influence the Oil operating companies This is so
we can help establish the information base necessary to stimulate mechanism, development and
support new policies that aim to enhance Oil Producing companies’ performance to cope with
the oil prices volatile.
1.4. Justification of the study
The results of this examination will be useful to the Oil operating companies in South Sudan to
continue facilitating their investment despite the oil price drop. It will also be educational to the
government and communities of South Sudan by making them understand the significance of oil
fluctuation on joint operating companies and how they can minimize it.
This will in turn also help joint operating companies come up with tactics to balance their
investment and make them more productive whilst nurturing relations with other stakeholders of
Oil production. The regulators and policymakers may utilize the results of the study as a guide for
policies on improving diversity in oil production and how to go about fluctuation on joint operating
companies in South Sudan.
The study will avail more information in the already existing body of literature work in the
discipline of oil fluctuation. This is of interest to researchers and academicians who may sought to
explore and do further investigations on firm competitiveness in the area of the oil industry.
7
1.5. Scope of Study.
The study will look at the impact of oil prices fluctuation, geopolitical situations, and the
cooperate/board performance on joint operating companies’ financial performance in South Sudan.
The study will cover mainly Greater Pioneer Operating Company (GPOC) yearly Work Program
& Budget (WPB) on OPEX and CAPEX with data from 2010 to 2020.
1.5.1. Geographical Scope
This study will be carried out within South Sudan and particularly Juba. The focus will be mainly
on one of the joint operating companies namely Greater Pioneering Operating Company (GPOC)
at the main office in Juba.
1.5.2. Time Scope
The study will use data from 2010-2020 and the researcher estimated the research to take three (3)
months. Research is a very demanding academic task, it requires great anticipation of its activities,
and however there is never enough time to do all the works that seem to be essential to do a
thorough job, thus somehow the work comes to be complicated to end in the specified time. With
this regard, the researcher attempts to devise a schedule guide by a supervisor to check the progress
periodically and if necessary, moved from one stage to another so that the study ended within the
recommended time
1.6. Research Main Objective
The ultimate objectives of this study is to examine the financial performance of Greater Pioneer
Operating Company (GPOC) as one of the Joint Operating Companies (JOCs) in South Sudan.
1.7. Specific Objectives
1. To find out the impact of Oil Prices Fluctuations on the Joint Operating Companies (JOC).
2. To examine the geopolitical situations influences on the decision of investment efficiency on
the Joint Operating Companies (JOC).
3. To determine the effect of Cooperate/Boards’ performance on the financial performance of
JOCs.
8
4. To explore ways through which Technologies improve production and profitability at joint
operating companies.
5. To assess the level of Insecurities on the operations and performance of the joint operating
companies.
6. To find out the impact of direct/foreign ownership decision and influence on the policy
making and business performance of the Joint Operating companies
1.8. Hypothesis of Study
H0. There is no relationship between the impacts of oil prices on the financial performance of the
Joint Operating Companies (JOC).
H1. There is a significant relationship between the impacts of oil prices on the financial
performance of the Joint Operating Companies (JOC).
H0. There is no effect of the geopolitical situations on the decision of investment efficiency on
the Joint Operating Companies (JOC).
H1. There is a great effect of the geopolitical situations on the decision of investment efficiency
on the Joint Operating Companies (JOC).
H0. There is no impact of the cooperate/boards’ performance on the financial performance of the
H1. There is an impact of the cooperate/boards’ performance on the financial performance of the
H0. There is no effect of Technology factors on the production and profitability at joint operating
companies (JOC).
H1. There is an effect of Technology factors on the production and profitability at joint operating
companies (JOC).
H0. There is no effect of insecurities factors on the operations and performance of the joint
operating companies (JOC).
9
H1. There is an effect of insecurities factors on the operations and performance of the joint
operating companies (JOC).
H0. There is no effect of ownership factors decision and influence on the policy making and
business performance of the Joint Operating companies (JOC).
H1. There is an effect of ownership factors decision and influence on the policy making and
business performance of the Joint Operating companies (JOC).
1.9. Empirical Review
Oil prices impact the profits and instability of the financial exchange in Sudan as indicated by
past observational examinations on the Khartoum stock trade (KSE). Enlightening procedures,
for example, day by day perceptions of Brent unrefined petroleum prices and the end estimation
of KSE list between second January 2008 and twentieth October 2014 (Zhu and Singh, 2016).
The effect of oil prices on the variances in the financial exchange is obvious in light of the
outcomes in the times of slacked oil returns. There exist solid connections between financial
exchange changes and fuel prices in practically all economies. The way that fuel is a generally
utilized product makes it a key monetary driver in the financial exchange. The financial
exchange of Sudan has encountered a higher unpredictability after the withdrawal of South
Sudan in light of the tempestuous macroeconomic climate in the country over the previous years.
Joint working organizations can profit by a productive business climate since financial backers,
policymakers and chiefs are pulled in to such exhibitions. Joint working enterprises can along
these lines pitch to expected financial backers with extraordinary trust in market execution
consequently drawing in business openings and financial backers to come on board during the
time spent scaling up or opening up to the world. Policymakers use monetary data to change
their administrative measures and activities in a manner that forestalls word related dangers, for
example, infections and market emergencies. Notwithstanding, there are still holes in
examination that should be filled to reveal more insight into how modern points of view and
reactions to outside stuns on market prices and the part of oil prices in these market variances.
Venture choices structure a fundamental part in firm presentation since they decide the
methodology by which firms deal with their cash for likely arrangements. Danger investigation is
10
the main part in speculation choices since it decides the probability of specific events and in this
manner shaping a solid reason for dynamic. Each financial backer is hazard unfavorable along
these lines making hazard the board a significant component in joint working organizations.
Vulnerabilities in the market emerge from instability of association's stock returns, difference of
productivity conjectures and contradictions among security investigators.
The most effective path by which JOCs can improve oil creation through strategic speculations
that can add to upper hands like expense decrease. Strategic ventures additionally help to
improve hierarchical execution through making of solid capital for item separation that adds to
esteem option in the securities exchange. Accordingly, for viable item separation, associations
should use ideal speculation procedures. Nonetheless, there are hazards that make ideal
speculation procedures hard to decide. Hence, Joint working organizations should put resources
into innovative work to counter the vulnerabilities that emerge from the quick changing
economic situations.
1.10. Conceptual Frameworks
According to (Zhu & Singh, 2016), understanding the price fluctuations in the oil production
industry, it is important for investment managers to recognize the importance of key economic
drivers in the market. On an international level, there are factors influencing oil prices according
to supply and demand in the market. JOCs can take advantage of the economic variables outlined
below and their relationship to their performance.
Figure 04: Factors influencing financial performance of JOCs.
11
Source: Author
Prior to this research, my predisposition was that the prices of oil are highly volatile and the
demand is constantly high since oil is an essential commodity among most industries. Therefore,
since crude oil is one of the most common commodities, changes in its price influence the global
economy. The volatility of oil prices leads to uncertainties that involve firm profitability,
investment decisions and valuation. Therefore, understanding the underlying risks in strategic
investment is an important part in guaranteeing profitability. (Zhu & Singh, 2016)
Figure 05: Oil Prices volatility on the firm profitability, investment decision and valuation
12
Sources: (Henriques & Sadorsky, 2011)
Although the volatility of oil prices can make it difficult to manage risks and make investment
decisions, JOC’s can delay their investment decisions until there are proper strategies to
approach the uncertainties and capitalize on investing when they can take advantage of the
opportunity costs and possibilities of profiting from oil. The principles behind contribution and
compensation make risk management more possible among JOCs. Since oil production in South
Sudan is a high risk business, operating jointly spreads the risks and enhances the profit potential
of such joint ventures regardless of the market conditions. (Henriques & Sadorsky, 2011)
1.11. Theoretical Frameworks
Numbers of theories, concepts and studies were found important for the study of the relationship
of the crude oil price, geopolitical situation, policy makers influence, technology impact,
Insecurity and ownership influence on JOCs..
The Agency Cost theory also details the effects of capital structure on firms’ financial
performance. The authors define the agency relationship inside a company as “a contract under
which one or more person (the principal) engages another person (the agent) to perform some
service on their behalf which involves delegating some decision making authority to the agent.”
(Jensen & Meckling, 1976)
The agency theory states that a high debt ratio is related to a high financial performance.
Leverage affects agency costs and thus affects firm performance (Berger & Bonaccorsidipatti,
2006).
1.12. Methodology of Study
Research methodologies refer to the different ways in which researchers approach the research
objectives. In this project, Survey Research will be employed in both Descriptive and Causal
research to collect the needed data. The quantitative research paradigm enabled the researcher to
obtain a large sample of respondents to collect data to answer the research questions as It is a
common way to get answers from sample respondents to core questions such as what, why, who,
13
how, how often, and how many. The emphasis is upon collecting authentic qualitative primary
data in large quantities using a variety of data collection techniques to make observations or
conclusions which are claimed to be a representative opinion.
The use of descriptive methods such as case studies, survey and observation are the most
significant approach to this research. To understand the performance of joint operating companies
in South Sudan, our study must utilize case studies to identify and evaluate previous experiences.
The use of case studies must utilize key performance indicators to gauge how the economy is
working and meeting the middle class economy standards. Although Sudan is a landlocked
country, oil mining has improved the economic situation especially after the Comprehensive Peace
Agreement that was signed in 2005 to grant South Sudan their autonomy as an independent state.
(Derks, et al., 2008)
1.12.1. Research Design
Having identified the variables in a problem situation and developed the theoretical framework,
the next step is to design the research in a way that the requisite data can be gathered and analyzed
to arrive at a solution. This section summaries the methodology which will be developed in the
research.
The subsequent focus areas will be deliberated; research design, target population, sampling
procedure, data collection method and tools used.
Research involves a systematic approach that investigates a specific problem to provide a

particular solution (Sekaran, 2000). The output of this research will develop theories, add new
knowledge and gather evidence to prove generalization. A scientific research is a systematic
empirical and critical investigation of presumed relationships between variables (Kerlinger, 1986).
Research conducted for the purpose of contributing towards science by the systematic collection,
interpretation and evaluation of data and that, too, in a planned manner is called scientific
research: a researcher is the one who conducts this research. The results obtained from a small
group through scientific studies are socialized, and new information is revealed with respect to
diagnosis, treatment and reliability of applications. The purpose of this review is to provide
14
information about the definition, classification and methodology of scientific research. (Çaparlar
& Donmez, 2016).
Research can be either: quantitative, qualitative and mixed methods research (Creswell, 2008).
According to Smith et al., (1979), quantitative research employs the traditional, the positivist, the
experimental, or the empiricist method to enquire into an identified problem. Quantitative is
based on testing a theory, measured with numbers, and analyzed using statistical techniques and
it particularly emphasizes objectivity and reproducibility (Smith et al., 1979). Studies have
shown that the goal of quantitative methods is to determine whether the predictive
generalizations of a theory hold true (Fraenkel & Wallen, 2003). Thus, quantitative research is
more concerned with issues of how much, how well, or to whom that particular issue applies.
Kerlinger & Lee (2000) explained that quantitative research operates deductively, and that
researchers make inferences based on direct observations with the primary goal to describe cause
and effect.
Scientific research can be classified in several ways. Classification can be made according to the
data collection techniques based on causality, relationship with time and the medium through
which they are applied. (Çaparlar & Donmez, 2016)
1. According to data collection techniques: (Observational/Experimental)
2. According to causality relationships: (Descriptive/Analytical)
3. According to relationships with time: (Retrospective/Prospective/Cross-sectional)
4. According to the medium through which they are applied: (Clinical/Laboratory/Social

descriptive research)
In contrast, a study based upon a qualitative process of enquiry has the goal of understanding a
social or human problem from multiple perspectives (Denzin & Lincoln, 2000). Thus, qualitative
researchers deploy a wide range of inter connected interpretive practices, hoping always to get a
better understanding of the subject matter at hand. Additionally, they also explained that
qualitative research is conducted in a natural setting and involves a process of building a
complex and holistic picture of the phenomenon of interest as well as being inductive in nature.
15
A researcher also delves into the issues of interest in depth and detail. Mixed methods combine
quantitative and qualitative research.
Research is something that people undertake to find out things in a systematic manner, thereby
increasing their knowledge. It is noted that this definition captures two significant phrases:
systematic way and to find out things. Systematic suggest that research is based on logical
relationships and not just beliefs (Saunders and Thornville, 2009). It portrays the exact idea the
researcher is carrying out (William, 2001). To find out things suggests that, there are multiple
possibilities or purposes for your research. These may include describing, explaining,
understanding, criticizing, and analyzing.
1.12.2. Sample Unit
This study will be carried out at Greater Pioneers Operating Company (GPOC) employee, senior
management and top management (Management Committee -MC).
The target respondents for this research work which have been designed to be cross-sectional
(survey) and descriptive in nature will be the residents in South Sudan, particularly the mature
people of age 23 and above. The sample unit will be composed of men and women from all walks
of life. 90% of the respondents will be males while 10% will be females. In-depth qualitative
interviews with a homogeneous group of well-profiled respondents, sample size of 3 Top
management, 7 Departmental managers, 10 Section Heads, 35 Executive employee and 15 junior
staffs (others).
1.12.3. Sampling methods
Sampling is the act, process, or technique of selecting a suitable sample, or a representative

part of a population for the purpose of determining parameters or characteristics of the
whole population. Study the entire population of those people, places, and things is an endeavor
that most researchers do not have the time and/or money to undertake. The idea of gathering data
from a population is one that has been used successfully over the years and is called a census. It
was also used by the Ancient Egyptians “to obtain empirical data describing their subjects”.
(Verma, et al., 2017)
16
Researchers use two major sampling techniques: probability or random sampling and non-
probability or non-random sampling. Probability sampling, means that every item in the
population has an equal chance of being included in sample. With non-probability sampling, is
often associated with case study research design and qualitative research. (Taherdoost, 2016)
Researchers may choose from a variety of sampling methods. The researcher’s goals inform
which sampling method is best for the research to be conducted. The main choice in regards to
sample method choice is whether or not the researcher wants to generalize the findings from the
sample to the whole of the population being studied. Being aware of possible errors due to the
sample method chosen is also very important because giving possible errors within the results
section allows the study to be regarded as valid. (Verma S., et al., 2017)
1.12.4. Sample Size
(Taherdoost, 2016) In order to generalize from a random sample and avoid sampling errors or
biases, a random sample needs to be of adequate size.
The sample sizes reflect the number of obtained responses, and not necessarily the number of
questionnaires distributed (this number is often increased to compensate for non-response).
However, in most social and management surveys, the response rates for postal and e-mailed
surveys are very rarely 100%. However (Bartlett, et al., 2001) in statistical formulas available for
determining sample size, considered two factors. First, are considerations relating to the estimation
of the levels of precision and risk that the researcher is willing to accept. Second, the estimation
of the variance or heterogeneity of the population.
According to (Bartlett, et al., 2001), table of sample size based on desired accuracy and maximum
variance of 50%, a guide for a confidence level of 95% for margins of sampling error at 5% and
1% is population size of 50 .
1.12.5. Data Collection Methods
Primary data
Primary data is concerned with the use of questionnaires, interview guides, and observations.
17
Secondary data
Secondary data is concerned with the use of books, references, the internet, journals, and other
sources of information.
1.12.6. Data Collection Techniques
The research tool is used for data collection will be questionnaires. The questionnaire covers all
the necessary information needed for the study. The developed questionnaires will be distributed
to and retrieved from the respondents in person.
Data collection refers to the procedures used by the researcher to gather information from the
respondents for analysis. Therefore, the researcher will obtain a letter of introduction from the
University which he/she will present to the concerned respondents carried out the study. The
researcher will use both primary and secondary data to gather the information from the respondents
in this case; primary data is where the researcher obtained the information directly from the
respondents whereby, he got it through interview schedules, observations, and questionnaires.
1.12.7. Data processing
This process of distribution and retrieving of the questionnaires in person will be taken for two
reasons as suggested by John (2007) and cited in Danto (2010), first, to make sure that the
questionnaires get to the intended recipients and secondly, to help improve the response rate. In
all, some of the questionnaires will be collected back on the same day while others were collected
later from the respondent.
1.12.8. Data presentation
The data will be collected from the respondents through interviews schedules and then the
quantitative data will be carefully be coded and analyzed by the Statistical Package for Social
Scientists (SPSS) meanwhile the researcher the qualitative data obtained is quantified by the
researcher and generated tables, frequencies, and percentages which will be used to present the
findings.
18
1.13. Data analysis Tools
After the responses are gathered, every type of data relating to the questions was separated and
gathered to answer different research objectives. The information received will be classified into
answer categories and expressed as percentage frequencies. The research methodology used is
quantitative. Statistical Package for the Social Sciences (SPSS) will be used for the analysis.
According to Oohing, (2009) data analysis is the process that involves critical examination of the
collected data to generate the required information out of it.
1.14. Limitations of the Study
The followings are the limitations of the study:
1. Inadequate finance - This is perhaps the greatest problem the researcher encountered because
it hampers easy movement around the study area. Making a research proposal is not a simple thing,
it requires resources for printing the work, transportation of the researcher from one place to
another all these needs financial and given the economic crisis South Sudan is going through it
may not be easy.
2. Time constraint - Due to the time limit attached to the submission of this project report, the
researcher couldn't cover wider grounds.
3. Indifferent Attitude of Respondents- Some of the respondents exhibited some form of

lackadaisical attitude in completing the questionnaires and were reluctant to grant oral interviews.
This seems to be a confirmation of an argument by Erne Essen (2009) that “the main problem
associated with the collection of primary data in South Sudan is the reluctance of interviewees to
respond to simple questions since such will not put a meal on their tables”. As a result of this,
therefore, the researcher has to make conscious efforts to disabuse such respondents‟ unfounded
prejudices to get them to respond positively.
4. Language barrier- can be one of the challenges and limitations of the study.
5. Weather change- may affect negatively the flow of the study.
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1.15. Organization of the study
The study will be organized into five chapters.
 Chapter One: Introduced the study by giving the background information on the research
problem, objectives, significance scope, and structure of the study.
 Chapter Two: Deal with a review of relevant literature.
 Chapter Three: It is about the research methodology and research design.
 Chapter Four: Presented data analysis and interpretation of the result.
 Chapter Five: Deal with a summary of findings, conclusions, and recommendations.
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CHAPTER TWO
A Review of relevant literature
Several variables influence the financial performance of JOCs. These variables are either
dependent or independent. The independent variables are Oil Prices, geopolitical situations,
technology, Cooperate Board Performance and insecurities, while the dependent variable is the
financial performance of JOCs. In additional, to ownership as intervening/mediator variable..
2.1. Oil Prices
Oil price volatility influences the decision-making strategies in oil companies. Various political
and economic circumstances in countries that produce oil cause differences in the global oil price.
Statistics concerning oil price provides governments and companies with information to make
better policy and investment decisions (Zhu & Singh, 2016).
The increase in oil price during the post-World War II period was attributed to the US economic
downturns. The correlation between the macroeconomy and oil-price shocks has attracted deep
analysis by economists over the past thirty years. The scholars examined how the economic
downturns were affected by oil-price increases by isolating two-component oil-price changes
such as exogenous and predictability from actual oil-price shocks. (Cavallo & Wu, 2006)
Typical procedures of oil-price shocks have two apparent shortcomings: forecastability and
endogeneity. Shifts in the oil price influence other sectors in the economy, creating an
imbalanced demand and supply for oil and oil products. The changes in oil price may also result
in endogenous responses to structural shocks. For example, the increase in the oil price since
2002 has been considered to originate from “an expanding world economy driven by gains in
productivity” ( (Wall Street Journal, August 11, 2006).
(Cavallo & Wu, 2006), applied these procedures to approximate how oil price shocks affect the
US economy's oil prices and output. They realized that the changing responses of prices and
output meant that the procedures were ‘well-behaved,' particularly during oil-price shocks when
prices increase and output decreases. (Cavallo & Wu, 2006), noted that a decrease in output
when one measure is applied is slightly bigger than those resulting from typical measures of the
standard oil- price shocks, forward price, and spot price.
21
(Yoshino & Alekhina, 2019), contributed to the research by providing an empirical and
theoretical framework on the impacts of oil demand and supply aspects over the last twenty years
in disaggregated nations. The empirical data analysis indicated that oil demand had affected oil
prices more than oil supply. The increased demand for oil and shifts in consumer preferences has
led to the diversification of substitutes and supplies in oil and other oil products due to
technology advancements. This has increased the elasticity for oil demand over time.
According to (Yoshino & Alekhina, 2019), the US dollar's appreciation has negatively impacted
oil reserves and prices. For the past twenty years, the oil market has been tested for equilibrium
or disequilibrium using the Structural Vector Auto-Regressive (SVAR) model, a typical oil price
indicator model. The market was confirmed to be at equilibrium (Sims, 1980). The model is a
crucial econometric technique for approximating changes in oil price on macroeconomic results
(Hamilton, 1983).
Empirically, earlier research evidenced a relationship between fluctuations in oil price and stock
returns energy companies which vary differently in different regions such as America, Europe, or
Asia/Oceania. The relationship also had differences concerning the solar, wind, or hydro energy
sectors. The assumption targeted Asia/Oceania region to be highly dependent on oil price than
Europe. However, due to the rapid and steady investment growth in the region, oil price
dependency decreased. The American region is expected to be more dependent on the oil price as
strategies required for centralization and investment levels are lesser than in the other regions.
(Baars & Rukavishnikova, 2014)
(Henriques & Sadorsky, 2010), reveal how changes in oil price volatility can affect strategic
investment decisions. Using data collected from several US companies, results indicated the
interconnection between firm-level investments and oil price volatility could not be easily proved
on a simple single linear. The relationship was considered more complex in the effects of many
different interacting options. Furthermore, empirical results show that even after controlling the
impacts of Tobin's Q and cash flows, there is a U- shape relationship between oil price volatility
and firm-level investment. The relationship is strong to several different econometric estimation
techniques. This U-shaped relationship between investment and oil price volatility is consistent
with the estimates from the strategic growth options literature.
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JOCs apply a method known as a strategic investment to help companies become successful.
This is considered one of the most crucial decisions in management since successful investments
lead to competitive benefits and product differentiation, which improves value. However,
companies need to employ optimal investment strategies to deal with uncertainties in the
business environment. Studies indicate that the most common uncertainty in crude oil and energy
sources is its highly volatile price. (Henriques & Sadorsky, 2011)
According to (Zhu & Singh, 2016), argue that oil price volatilities bring uncertainties concerned
with a company's profitability and affect investment and valuation decisions. When companies are
making strategic investment decisions, they should consider the likely increase in maximizing
profits and consider the potential development of risks.
Interruptions in the global energy markets have developed a broader consent among economists
who argue that when oil prices fluctuate largely, global economic performance is affected.
However, the effects are different between the oil-importing and oil-exporting states. For instance,
in countries that import oil, increases in oil prices may increase the rate of inflation, decrease non-
oil products' expenditure, and increase industry costs. For oil-exporting countries like Sudan, more
income is generated because of the reduced-price elasticity of crude oil demand (Zakeria &
Abdallah, 2014).
From a theoretical approach, oil price fluctuations impact the performance of global performance
through various transmission mechanisms. (Zakeria & Abdallah, 2014), expounded several
transmission mechanisms that are imminent through changes in oil prices. First, they argued that
oil price uncertainty might reduce investment expenditures and cause recessions when oil crises
emerge. Secondly, price changes affect the production structure, which can lead to unemployment.
When oil prices increase, companies opt to consider less oil-intensive mechanisms, including
laying off some staff members.
Thirdly, they also concluded that oil prices influence income from both oil-importing and oil-
exporting states. This causes a decrease in the disposable incomes of oil customers. Fourthly,
increases in oil prices lead to increased money demand. If monetary demand is not met by
monetary supply, economic growth will be retarded, and the interest rate will rise. Finally, they
23
concluded that changes in oil prices also affect inflation. When inflationary pressures emerge,
central banks attempt to contain the situation by raising interest rates, affecting share prices.
In line with (Zakeria & Abdallah, 2014), several studies indicate that changes in oil prices can
significantly affect a country or a company from both positive and negative aspects. According to
(Ariel & Dana, 2012), highly overdependent countries on imported oil are more vulnerable to high,
volatile oil prices. As the oil prices fluctuate, the cost of producing electricity also increases,
affecting the economy, businesses, and domestic living standards.
Although different countries export different volumes of crude oil, they are faced with similar
global oil-industry issues. If governments can maintain fiscal balance, the considerable share of
subsidies will result in fewer social programs and capital investment capacity. When subsidies are
used to eradicate oil-price volatility impacts, the government has to bear the burden. Conversely,
when price volatility is passed on to consumers, they bear the risk burden. Most nations prefer to
share the risk between consumers and the government (Ariel & Dana, 2012).
The uncertainties caused by price volatility lead to delayed investments or inappropriate decisions
in the energy sector that have adverse consequences. The relevant actors are required to have a
framework to observe the fluctuating oil prices and select the technology needed to contain the
high cost and volatility period without necessarily affecting the normal oil production and
exportation exercise. Detailed risk analyses are also required to evaluate the best strategies to be
implemented (Ariel & Dana, 2012).
An investigation should be conducted to determine the relationship between investment and

uncertainty on the effects of price volatility and investment decisions. (Zhu & Singh, 2016),
argued that firms might postpone their investment plans when the investment is irreversible.
Uncertainties have a negative impact on a company’s investment decisions.
2.2. Geopolitical Situations
“Geopolitics” can be defined as great power competition over access to strategic locations and
natural resources (Overland, 2015). The petroleum sector's geopolitics have been noted to
directly relate to the outgrowing demand and supply balance, influencing the relationship
between producing and consuming countries, energy security, and major powers' military clout.
24
The aspects of these relationships are affected by the supply of unconventional gas and oil. To
some extent, the demand aspect is affected by climate strategies. This is due to the emission of
greenhouse gas in the production and consumption of gas and oil.
(Overland, 2015), considered the Organization of Petroleum-Exporting Countries (OPEC) as a

significant political factor in the oil and gas industry. The organization comprises member
countries from oil-exporting countries such as Algeria, Venezuela, Iran, Libya, Iraq, and
Ecuador. Most of these countries differ in their ideologies and political outlook. Some oppose the
USA/ Western policies, while others like Saudi Arabia, the leading oil producer in OPEC, are
significant US partners. The majority of these states depend on high oil prices to survive
politically and sustain themselves socioeconomically in the long-run. OPEC had its glorious days
in the 1970s when it represented more than half of global oil production and more than 80% of
global exports. The export’s share of output grew significantly in the mid-1980s after a trough.
“Geopolitics” is been defined as great power competition over access to strategic locations and
natural resources (Overland, 2015). The geopolitics of the petroleum sector it been observed to
have a direct relation with the out growing of the supply–demand balance, which influence the
relations between producing and consuming countries, energy security, and the military clout of
major powers—among other things. Unconventional oil and gas impact on the supply side of
these relationships. Climate policy impacts on the demand side and to some extent on the supply
side as well, because not only the consumption of oil and gas but also its production involves
greenhouse gas emissions.
The Organization of the Petroleum Exporting Countries (OPEC) played a dominating role in oil
pricing. Oil price shocks in the 1970s when it stood for over half of world crude oil production
and over 80% of world exports, caused by OPEC’s oil embargo of 1973 and the Iranian
revolution of 1978, were caused purely by supply changes. The period is been defined as “the
age of OPEC.” After a trough in the mid-1980s, the organization’s share of output and exports
grew again. However, since the mid-1990s, the power of oil pricing has moved to non-OPEC oil
suppliers and notable oil consumers. Rapid economic growth in Asia, especially in India and the
People’s Republic of China (PRC), has been associated with significant increases in energy
25
consumption, particularly oil. Increased demand has caused diversification on the supply side;
OPEC no longer dominates the oil market, and the pricing mechanism has become more
complex. (Yoshino & Alekhina, 2019)
Beside OPEC, there is OECD which formed by countries with strong economic such as the
United States, many countries in Europe, Japan, and other countries. The OECD’s total oil
consumption grew from 1,945 Mt in 1990 to 2,115 Mt in 2017. In 2017, around half of world’s
total oil was consumed by a total of 36 OECD countries. Due to the economic challenges on
some member countries, the oil consumption in the OECD has significantly dropped. Hence, the
policies by the developed economics countries to sustain energy, advancement of other
alternative energy sources, higher fuel taxes & higher vehicle ownership per capita, has reduced
the demands for oil consumption. In addition, the service sector is growing bigger and larger
than the energy-intensive manufacturing sector in advanced countries, which can be another
factor to slower oil consumption growth even in times of economic growth. In contrast,
developing countries have larger manufacturing and less-developed transportation sectors with
high potential for growth, which is associated with larger growth in oil consumption. (Yoshino
& Alekhina, 2019)
(Looney, 2003), in his studies on the two wars of Iraq (Gulf War) disconnected the military
events from being the driving forces of the oil markets in fact much of these inventions and war
news probably just results in trades that cancel each other out and had a magnified effect on
trader expectations. Low inventories, little surplus capacity for production, limited spare
capacity in the oil exporting countries, a series of unresolved issues over the use of the Strategic
Reserve, developments in Nigeria (and perhaps Venezuela), delays in getting Iraq production
back on line, and possible terrorist threats to facilities in the Gulf, impact the markets to continue
to be volatile, but averaging around $28-30 through the duration of the war. The forward markets
will retain their downward slope, with the steepness of the curves largely reflecting concern over
supplies in the short term.
It was understood how the performance of JOCs can be enhanced through geopolitical situations,
(Nour, 2011) has examine the effects of oil production on the Sudanese economy. Domestic
demand should be met, leading to the attainment of self-sufficiency, increased government
26
resources, GDP growth, foreign trade, the balance of payment, and social development in the
country.
It is not easy to interconnect political instability or resource nationalism with the international
supply of gas and oil. This is not as a result of the irrelevance of political developments that
influence gas and oil supply, but because the influence is unpredictable and highly variable.
Political factors are one of the elements of imperfect behaviors of the oil and gas industry.
Therefore, it is essential not to consider political effects as primary determinants of gas and oil
markets but rather as factors that can cause a shift in prices and volatility (Luciani, 2011).
The gas and oil sector in Sudan has been under scrutiny from global human rights because it has
influenced regional and local instability and conflicts over the years. Oil has always been
considered a risky business venture both in geology and politics. In most cases, the crude oil
deposits are found in areas that are hard to access, promoting inhospitable business operation
sites that are politically unstable. Political threats have always been issues affecting regional,
local, and international operations. The exploration of oil, development, and production is not for
the faint-hearted countries- including Sudan (Derks, Abel; Romer, Eugenie, 2008).
Political instability in Sudan has always contributed to international business's adverse

consequences, mainly exporting and producing crude oil. The government has timidly admitted
this vulnerability. For instance, a government letter of Intent was addressed to the IMF in June
2009, claiming that Sudan had been impacted by the international crisis that led to a sharp
decrease in oil revenues and foreign direct investments (FDI). This led to a decline in foreign
exchange reserves (Nour, 2011)
Joint operating companies (JOCs) need to assess the political situation in a country or region
before making investment decisions. This is important as it helps them mitigate the emergence of
any political risks and creates a framework to deal with the current political situation. Even when
considering the legitimacy of Sudanese JOCs in the oil sector, the international private sector's
diversity has been resistant to the coercion of global NGOs (Nour, 2011)
Local production of crude oil in Sudan has led to positive impacts and opportunities by meeting
the domestic demand and gaining self-sufficiency in oil. As a result, this saves the government’s
27
foreign exchange resources that are used to import oil, generating surplus revenue that funds
other domestic needs. Local production has also made Sudan shift from an oil-importing nation
to an oil-exporting economy. For example, in 2001, 51% of Sudanese crude oil was exported,
while the remaining 49% was used to sustain local consumption (Nour, 2011).
JOCs can take advantage of such a favorable business environment to maximize profits. When
governments leverage the prices, the production costs are reduced, which encourages more
production, leading to more exportation and domestic use. When such an environment is created,
JOCs enjoy consistent capital inflows and can operate while counting minimum losses caused by
price volatility.
Sudan is the largest country in Africa and has suffered the longest civil war on the continent. The
political situation interfered with most economic activities, including the JOCs in the oil and gas
sector. If a country has a large population, the risk of war is higher. The division of South Sudan
in July 2011 brought another shift in the performance of JOCs. The industry needed to
reorganize its structures to deal with the division of assets and natural resources in the two
independent countries (Zakeria & Abdallah, 2014).
Geopolitical situations also affect the security of oil and gas in the transportation process.
Security is a crucial component in economic security and national energy. Cross-border oil and
gas transportation safety should be prioritized to avoid conflicts of interest in bilateral trades. If
the transportation is disrupted, refining may be delayed, social and economic development
affected, and normal operations affected. This can create bilateral tensions and exposure to
economic security and national energy risks (Fallet, 2010).
Geopolitics identify the national interests and the resulting conflicts that can be based on the
political culture, public policy, and geographic aspects. When a country is not politically stable,
the economic status is also affected. JOCs should have contingency approaches to mitigate high
oil prices and volatility. Such methods would propel them forward regardless of the current
financial situation (Fallet, 2010).
For the past decade, Sudan has been enjoying an oil boom. The signing of the Comprehensive
Peace Agreement (CPA) has helped stabilize the divided country, increasing the production and
28
exportation of crude oil. Before the independence of South Sudan from Sudan 2011, Sudan use
to be the third-largest oil producer after Nigeria and Angola. The civil wars that were present in
the country had paralyzed the oil and gas sector and the other non-oil industries (Patey L. ,
2010). The post CPA era as the advancements in peace and reconciliation between the two
countries have promoted collaboration in cross-border transactions contributing to a stabilized
business environment and an increase in GDP. As a result, JOCs in the gas and oil sector benefits
in their business proceedings.
2.3. Corporate Performance
The performance of JOCs on the international level influences oil prices depending on the
demand and supply in the market. When the demand is high, companies should be in a position
to meet the supply needs. For corporates to maximize profits, they need to understand the
underlying threats in the oil and gas industry and analyze the strategic investment tools to
guarantee profitability. JOCs in the oil industry aim to benefit from oil (Zhu & Singh, 2016).
The measurement of an organization’s performance is a broad area that has to be considered

while evaluating performance against influence on economic factors such as price. The
performance of an organization determines its success or failure in the international market. The
success depends on the partners' objectives and their willingness to pool their resources together
while working towards attaining the goals (Zakeria & Abdallah, 2014).
Corporate performance is also a driver in the economic market and can even influence price
volatility. The performance of a company can be measured through technical performance,
financial performance, operational performance, relational performance, and potential
performance. All these indicators are interconnected and have the capabilities of influencing
price in the market. Managers need to ensure that all areas are performing (Ives K. & Buchner
M. 2011).
The evaluation of JOCs performance consequently influences fluctuations in the market. The
nature of JOCs in Sudan takes various legal forms. They are more of contractual agreements that
seek to avoid partnership. The oil and gas industry has the government as an actor in such
contracts. Each party is allowed to sell its share of products independently. These legal forms
29
have several objectives such as minimizing costs, distributing risk, technological transfer and
providing access to international finance. During the formation of JOCs on a contractual basis,
no tax is charged since no transfer of assets takes place (HG.Org, 2021).
Over the past few years, the legal framework and institutional operational methods have
improved in Sudan. This is slowly increasing the chances of getting things right in the oil
industry. Peace has prevailed, and conflicts are rare, unlike in the past. This creates a boom
period where JOCs operate under maximum profits with less influence on prices and volatility
(Cordaid, 2014).
(Cordaid, 2014), The oil companies cooperate board seem to perceive the host communities at
the oilfields as obstacles & threats for their operations instead of stakeholders to cooperate with.
This stand causes the oil companies cooperate to strategies and mitigate this risk however
companies are advise to have direct open dialogue and negotiations with the communities rather
than ‘risk-mitigation strategies’ and to start perceiving the hosting communities as rights-holders
and partners. The oil companies’ management should develop successful ways and means to get
acceptance, to develop a genuine social approval to operate and to retain this endorsement over
time. Companies must become acquainted with and train staff on the principles of the Ruggie
framework (“Protect, Respect and Remedy”), the Voluntary Principles on Human Rights and
Security, and other relevant oil and gas industry standards and best practices.
In the other hand, Communities are deeply disturbed from the experience of hostilities that were
related to violence of operations in the oilfield during the time of war and even the post war, the
communities are still seeing themselves as victims for being unable to develop policies and
responsibility for their families, their environment and future generations. Dialogue processes
need independent, strong and self-confident local people to work for peace and development.
National or international NGOs cannot replace this local capacity. The outsider’s main role is to
support the development, improvement and sustainment of local capacities, in local NGOs,
church-based organizations, community-based organizations, traditional authorities, local
councils, Payam committees and also individuals – all of which are potential laboratories for
democracy, participation and transparency. (Cordaid, 2014)
30
Most observers have viewed the operations of Multinational Cooperation (MNC) in Sudan and
other conflict affected countries as being solely guided by a profit-seeking rationale, impervious
to such conditions as insecurity and political instability (Patey L. A., 2006). The study of the
operations of somw prominent MNC in Sudan tracing it from the exploration, through the
production to to the exporting has shown that each corporation held a different set of domestic
and international factors which contributed to the formation of their decision-making calculus.
The finding factors are idnetified to be dynamic in nature, interconnected within and between
companies, and varying in levels of priority for each MNC. Altogether, the empirical findings of
the study cast light on a relatively dark spot in literature on the political economy of armed
conflict.
The cooperate responsiblities in South Sudan is governt by some legal framework which the
government of South Sudan is so keen to attract investment for the development of the country
and strives to capitalize on the country’s vast oil and mineral wealth in a proactive and more
responsible manner. The Comprehensive Peace Agreement, the Interim Constitution of Southern
Sudan and the Transitional Constitution of South Sudan as well as international law,
international standards and industry good practice all shape the acts and bills that have been
passed or are still in the making. The following acts and bills are of relevance for resource
extraction:
 Petroleum Revenue Management bill (2013).
 Petroleum Act (2012). Mining Act (2013).
 Public Financial Management and Accountability Act (2011).
 Anti-Corruption Act (2009). Investment Promotion Act (2009).
 Local Government Act (2009). Land Act (2009) and Land Policy (2013).
 Human Rights Act (2009). Environment bill (in progress) and finally.
 The Agreement between GoSS and GoS on oil and related economic matters (2012).
31
Empirical literature that focuses on the development countries has show the implications of oil
prices fluctuations on the investors, portfolio managers and policymakers. Deeper insight was
offere into building accurate asset pricing models and accurate forecasts of the return and
volatility of oil markets. Portfolio managers and policymakers are to adjust their actions to
prevent contagion risks in the event of market crashes or crises. In contrast, some others report
positive response of stock markets to oil price shocks. One possible explanation for this lack of
conclusive results might be that the oil–stock prices link is not stable over time. In this regard,
(Moya-Martínez, 2014) argues that this connection might have experienced dramatic changes in
recent years due to factors such as the existence of stock market and/or oil price bubbles,
episodes of geopolitical instability, increasing corporate hedging activity or the recent global
financial crisis. (Zakeria & Abdallah, 2014)
(Jaksic, M., & S., 2014)created a general model which measures Technology Innovation
Management and Entrepreneurship effectiveness related to the key elements of the Triple Helix
model. (Marinković, Rakićević1, & Jakšić, 2016) analysed one aspect of the Triple Helix model
– the government sector, and introduce indicators for measuring and monitoring government
performance in technology and innovation management (TIM). The use of the model in
(Marinković, Rakićević1, & Jakšić, 2016), tracked, monitered and anyalsed the perforamance
government in reponding actions with policies and strategy impact in all three relevant spheres:
planning, organizing and control (POC).
The model shows the relations that exist between these categories of indicators. Planning
indicators refer to the investments in technological and innovative activities; organizing
indicators refer to the technological and innovative infrastructure, public administration
efficiency and cooperation support, while control indicators refer to the country’s R&D results,
technology transfer results and entrepreneurship outcomes. Each of these categories and groups
refer to the specific government TIM performance indicators, which are accessible in large
internet databases such as the World Bank, OECD, UNdata, UNDP, etc. We tested the created
model in the cases of Serbia, Croatia and Slovenia, and showed how the collected data can be
analysed in order to track dynamics and measure changes that occur, notice the interactions
between the elements of the model and use the feedback as a support in making strategic
management decisions in the area of TIM at the country level. For this analysis we selected
32
fifteen indicators and tracked changes over the period 2007-2012. (Marinković, Rakićević1, &
Jakšić, 2016)
2.4. Technology
Triple Helix model, was creating link between elements of project such as university and
industry and the key element is to improve basis for economic knowledge which is based on the
efficient and effective TIM. The model investing in development in different fields, regions and
at different levels of a country. In times of ecomomic difficulties, government R&D (Research
and Development) budget is subject to cut. TIM activities measures and analyse the
government’s activities inputs, processes and outputs in order to determine correlations,
achievements and weaknesses, as a forecast data for the furture decisions and investments. TIM
model is designed to observe how government impact in all its activities can be tracked,
monitored and analysed for quick responding actions with policies and strategy well adapted to
the concrete TIM performance in practice. (Marinković, Rakićević1, & Jakšić, 2016)
(Marinković, Rakićević1, & Jakšić, 2016), This model’s advantage enable a systematic approach
which in use by balancing its structure to the broad body of measures , directed towards better
knowledge and clarity of the role of the government in creating the innovative environment for
supporting the basic TIM functions. The model measures the government TIM performance
classification into categories related to the three basic management functions – POC (Planning,
Organizing & Control), also observed as the input, process and output, respectively. The model
represent the relations between the three categories of indicators. Planning indicators refer to the
investments in technological and innovative activities; Organizing indicators refer to the
technological and innovative infrastructure, public administration efficiency and cooperation
support, while control indicators refer to the country’s R&D results, technology transfer results
and entrepreneurship outcomes.
(Nour, 2011), studies finding shows Sudan in 2001 the second highest share of high technology
exports among the Arabic countries. However, Sudan is as the Arab countries when it comes to a
low share of high-technology manufacturing exports compared to advanced and leading
developing countries. In terms of S&T impact as measured by economic growth, the findings
33
shows significant increase in annual growth rate for average GDP per capita in Sudan during the
periods 1975–2001 and the average real GDP growth rate during the period 1995–2000 in Sudan
is higher than the average for Arab countries. However, during 1999–2001, the Sudan shows
slight drop in the trend of real annual GDP growth rate, whereas the rate of Sudan is higher than
the average for developing countries. Sudan is experienced rapid economic growth followed by
slight slow down, that most probably due to its heavy dependence on oil.
The studies indicated that Sudan still lacking technology infrastructure at both basic and high
level (BTI and HTI), according to the UNDP (2001) HDI classification of world countries
according to technology achievement index, Sudan is classified as being marginalized adopter of
new technologies; amongst marginalized adopter countries in terms of the technology
achievement index; Sudan is ranked 71 and placed between Tanzania and Mozambique. Sudan
poor performance lags far behind the world’s advanced and leading developing countries which
are either leader or potential leader in technology. In fact, Sudan also lags behind the countries
classified as being dynamic adopters of new technologies in both Arab and Africa regions,
notably, Tunisia (51); Syria (56); Egypt (57); Algeria (58); Zimbabwe (59), Senegal (66), Ghana
(67), Kenya (68) and Tanzania (70). (Nour, 2011)
Due to the technology advancements, the demand for oil and shift in consumer preferences has
increased in which resulted to the diversification of substitues and supplies in oil and other oil
production. (Yoshino & Alekhina, 2019), has provided an empirical and theoretical framework
on the impacts of oil demand and supply aspects over the last twenty years in disaggregated
nations. The empirical data analysis indicated that oil demand had affected oil prices more than
oil supply.
The selection of technology is needed by the relevant actors to avoid the uncertainties casued by
price volatility lead to delay investments or inappropriate decisions in the energy sector that have
adverse consequences. The relevant actors are required to have a framework to observe the
fluctuating oil prices and select the technology needed to contain the high cost and volatility
period without necessarily affecting the normal oil production and exportation exercise. (Ariel &
Dana, 2012).
34
(Hajirahimova, 2006), A Big Data emerged as an opportunity technologies that address the
challenges of the oil and gas industry particualily the areas of Expoloration, Production and
Drilling. Four key applications are emerging for Big Data in Oil and Gas companies; Digital
fields, Predictive plant and drilling analysis, Remote operations and Reservoir modelling and
seismic imaging. A major number of applications are still non PPDM (Professional Petroleum
Data Management Association) based, which makes the reports and KPIs non-accurate at most
times. It is difficult to drive insights from unstructured data lying in multiple applications. It is
difficult to run predictive analytics as data is spread out in multiple systems with lesser integrity
and reference to master-level data.
2.5. Insecurities
The oil and gas industries are facing major challenges within Exploration and Production (E&P)
and Drilling. Politics adds costs to the difficulties of exploration and drilling for new reserves. In
the attempted of problem solving, a Big Data was introduced as a name that described the theory
and pratice of applying advanced computer ananlysis to the amount growing of date that are
collected and stored world wide. Over the last few years businesses in every industry have
enthusiastically developed data-led strategies for overcoming problems and solving challenges,
and the oil and gas industries are no different. Surveying of potential sites involves monitoring
the low frequency seismic waves that move through the earth below us due to tectonic activity.
Probes are put into the earth at the spot being surveyed, which will register if the pattern of the
waves is distorted as they pass through oil or gas. (Hajirahimova, 2006)
Oil price volatility can be managed in the short-term by using price risk management instruments
to lessen the uncertainties associated with price volatility and its effects on the national budget in
a particular year. Such an approach aims to manage the already existing price exposure, which
forms current structural conditions. One of the strategies that can be employed is hedging or risk
management. The approach is designed to handle price volatility when the changes have no
unidirectional trend. This would have a financial impact since the existing current price exposure
results from buying physical commodities (Ariel & Dana, 2012).
35
Organizations in the oil and gas indurty particularily the drilling auction, metigate the risk of big
companies competition with each other in the auction stage, sharing purpose, investment in big
financial capitial, shortage of management expertise, project quality andmany among others, by
entering into Joint operation to assures participants of the investment quality, when they feel
pessimistic about their investment, accordingly and afterwards companies joint operations will
divide the land and explore by themselves, where the cost saved in the auction allows them to
drill more aggressively. Companies partner with each other, allowing them to invest in more
land, and the increased land masses achieved by splitting the cost improve their chances of
finding a well location worth drilling. (Zhang, 2018)
The efficiency of the project’s activities in hydrocarbon production are accounted to certain
following factors of risks and uncertainty: (Perepelitsa & Zhdanova, 2017)
1. Geological uncertainty. This factor means the risk of noncompliance of quantity

parameters and quality of extracted reserves with their initial estimates, i.e. oil and gas
reserves and their quality will be below the target level.
2. Economic uncertainty. It is caused, first of all, by changes in the world prices for oil and
oil products, level of inflation, unstable market conditions, and changes in exchange
rates, tax rates, etc.
3. Uncertainty of the commercial value of the open field can be considered both from a
geological and an economic point of view. The commercial value depends on the
following parameters: The volume of reserves and resources of oil, oil deposition
conditions, geographical location of the field (climatic features, distance to the pipeline),
level of capital and operating costs.
4. Technological uncertainty is associated with the prediction of technological parameters of
the field development. This factor is also understood as the probability of adverse
situations, including accidents due to improper choice or non-compliance of the
equipment with technical standards, incorrect choice of the technological scheme of the
field development.
5. Political uncertainty is determined by the unstable political situation in the country.
36
6. Environmental uncertainty. This factor is determined by the incurrence of liability for
environmental damage, as well as damage to life and health of third parties. It occurs
because of the anthropogenic and natural events.
7. Managerial uncertainty. In real business, the investment decision-making is delegated
from the owners to the manager. In this case, the manager pursues his or her own goals in
managerial decision-making. This fact determines the uncertainty associated with
managerial decision-making and defining the financial and economic parameters of the
IP during its life cycle. Managers who make investment decisions are used to inflate their
own capabilities and to overestimate the results of projects under their direct control.
2.6. Ownership
Oil investment expenditure or investment decision by the owners are subject to certain variables.
From a theoretical approach, oil price fluctuations impact the performance of global performance
through various transmission mechanisms. (Zakeria & Abdallah, 2014), expounded several
transmission mechanisms that are imminent through changes in oil prices. First, they argued that
oil price uncertainty might reduce investment expenditures and cause recessions when oil crises
emerge. Secondly, price changes affect the production structure, which can lead to
unemployment. When oil prices increase, companies opt to consider less oil-intensive
mechanisms, including laying off some staff members
Owners’ startegic investment decision is influenced by the changes in oil price volatility.
(Henriques & Sadorsky, 2010), Data was collected from several US companies, to find the
interrelation between the firm-level investment and oil price volatility. The relationship was
considered more complex in the effects of many different interacting options. Furthermore,
empirical results show that even after controlling the impacts of Tobin's Q and cash flows, there
is a U- shape relationship between oil price volatility and firm-level investment. The relationship
is strong to several different econometric estimation techniques. This U-shaped relationship
between investment and oil price volatility is consistent with the estimates from the strategic
growth options literature.
37
Companies’ owners in attempted to hiding risk and insecurities in the areas of exploration,
production and drilling in the oil and gas industries. Right approcehes can be taken such as Big
Data technology that can adopt key success factors, and avoiding typical pitfalls. (Hajirahimova,
2006) suggest to use of Big Data and Advanced analytics and, if it is done right, significant value
can be captured. Big Data solutions can provide the companies’ owners with economic extract
value from very large volumes of a wide variety of data generated from exploration, well drilling
and production devices and sensors, by enabling high velocity capture, discovery and or
effectively predicting power supply and demand.
Big Data Challenges in the Oil and Gas Industry:
 Exponentially increasing volume of data from different sources (structured, unstructured
as well as real-time) during a well lifecycle.
 Oil and Gas companies spend heavily in E&P data management, handling streams of
often incompatible data from different stages of a well life cycle.
 Geologists and Geophysicist steams using a mix of different software products for data
interpretation and decision-making.
 Difficulty in using data to quickly and efficiently respond to user needs.
 Large volume of domain-specific information embedded in each data cluster.
(Baars & Rukavishnikova, 2014), The study on the impact of oil prices fluctuations on stock
performance of clean energy companies, has shown a significant positive effect on clean energy
stock prices when the price of oil increases. As the oil price is expected to rise in the coming
years, clean energy companies are expected to perform well. One factor that explains clean
energy company performance is emphasized, which can lead to better investor knowledge
enabling investors to make more informed and rational choices. As part of the stock return
changes can be attributed to oil price fluctuations and are thus explained, more risk-averse
investors can have a higher willingness to invest in clean energy stocks. From a managerial
perspective, there is more knowledge about what influences performance on the demand side.
When the oil price is forecasted, there can be better forecasts of demand, and supply can be
adjusted accordingly. Managers can make better business decisions with regards to investments,
and the performance of the firm can be enhanced.
38
In the industrial organization (IO), companies ownership preffered to go into Joint operation.
The joint operation in finance prespective takes on the form of investment syndication amongst
venture capitalists. Studies has found rationals behind syndication and got some supporting
evidence of all of them by looking at the biotechnology industry. The rationales are three as
follow: (1) assurance of peers on the quality of investment, (2) for later-round investors,
avoidance of opportunistic behaviors from the initial investor, and (3) performance boosting to
potential investors (4) syndication to share management expertise. (Zhang, 2018), An Empirical
Assessment on the oil and gas investment decision studies has to some extend supported the
management expertise hypothesis, as joint operators consisting purely of large companies have
less accurate signal, but partnerships between large and smaller companies have more accurate
signals than solo operators.
(Zhang, 2018), the empirical analysis of oil and gas drilling decisions across three types
of operators: solo large companies, partnerships between only large companies
(L&L), and collaborations between large and fringe companies (L&F). the empirical results by
matching the model prediction with the observed drilling outcomes show that L&L joint
operators have the least accurate signals, while L&F operators have the most accurate signals,
with solo large firms in the middle. This result suggests that large company participants in a joint
operation may not receive independent signals, and even if they do, they may not exchange their
information and expertise in the exploration process. On the other hand, when large companies
collaborate with smaller firms, they may be seeking the local expertise of these firms
and thus gain better signals from these partnerships. (Zhang, 2018)
Stduies were carried on the Russian’s companies of oil and gas sector and the researcher studied
the peculiarities of making investment decisions. Companies’s owners observed the efficiency
of the project’s activities in hydrocarbon production which are causes by uncertainities of
Geological, Economical, Envirnomental, Commercial, Geopolotical and other uncertainities.
Accordingly companies has to adope some methods such as alternative approach to the
assesment of investment projet (The ROM), modeling of discount rate, Application of dynamic
programming, Evaluation of Real Options, Volatility of the Options and Selection of Optional
Mathematics. The studies was concluded on the basis of experience in various industries that the
39
majority of companies in Russia and the CIS have considerable possibilities to improve their
activities in both of the above directions. (Perepelitsa & Zhdanova, 2017)
2.7. Financial Performance of JOCs
The financial performance of JOCs depends on corporate performance, geopolitical situations,

and oil prices. The three variables are interconnected, and changes in one can cause changes to
others entirely. Oil production is a critical element in the development of the Sudanese economy.
In the past, oil was associated with violations of human rights such as settlement displacement,
mass murder, and arbitrary arrest (Cordaid, 2014).
(Bărbuţă-Mişu, Madaleno, & Vasile, 2019), studies the financial performane of Twenty Eight
(28) European countries to find out. Analysis on the factors influencing firm performance (ROA
and ROE) are considering leverage, liquidity, solvency, assets turnover, capital repayment and
labor productivity. Panel vector autoregressive analysis was used to account for possible
dynamic interactions and forecasting error variance decomposition is used in order to take some
policy recommendations. It was possible to verify that all these factors are important in
explaining ROE and ROA considering crisis.
Multiple conflicts affecting social relationships were also part of crude oil production. However,
with the recent improvements in the methods of governance in the two independent countries
have led to a stable gas and oil industry. The financial performance of a company affects
investment decisions. The prosperity of a firm and its contribution to the economy can only be
measured through analyzing its financial performance (Zhu & Singh, 2016).
Some theoretical models, as indicated by Zhu and Singh, 2016 suggest that there is a relationship
between investment and uncertainties. The uncertainty in this context is price volatility. When
the competition is conducive, the risks are neutralized, returns to scale technology remain
constant, and this leads to expected profits. When firms are operating under profits, they trigger
investment with high net present values.
When there are wars and conflicts, the normal processes are interrupted, and this may slow the
production process. A slower production process means that demand in the market may not be
40
satisfied by supply. These shifts cause price fluctuations which lead to higher oil prices and
volatility (Zhu & Singh, 2016).
Companies need to consider the relevant aspects required such as business model to enable them
to seek new ways of profiting innovation required to keep them sustainable in a dynamic and
highly volatile business environment. One option is for various actors – businesses, government
agencies, universities – to improve the productivity of innovation: increasing outputs and results
while reducing the costs. This has forced innovation out of stand-alone central labs and into a
greater dependence on linkages such as networks, alliances and formal and informal relations, all
of which are more characteristic of the non-linear model of innovation. The development of such
linkages could be producing basic structural changes that improve research productivity and
allow innovation systems to adapt to new conditions. (Freeman & Soete, 2007)
Local consumption of oil and gas in Sudan is determined by the information people have about
the oil sector and their past experiences. For firms to maintain or achieve better financial
performance, they should not only rely on exporting oil but should also focus on how the local
market is interplaying. The perceptions among the local communities determine the reality of the
oil business (Cordaid, 2014).
However, the success of JOCs in Sudan has also been connected with some negative impacts.
For instance, some members of the community claimed that the December 2013 conflict was
funded through oil proceedings. This led to the closure of some oil fields and the destruction of
infrastructure. Nilepet has also been accused of misappropriating funds between March 2014 and
June 2015. The company is reported to have contributed over $80 million of assumed oil revenue
to fund the war (South Sudan, Activities of Oil Companies | How Does Law Protect in War? -
Online casebook, 2021).
Financial performance is a dependent variable that has to be triggered by other factors to

influence price and volatility. The financial success of JOCs in Sudan can be attributed to the
Chinese investment in Sudan's oil sector. This involvement has been of financial significance to
both countries and spurred business relations between the two countries. In the period between
1997-2010, the exports and imports in Sudan amounted to $11.576 - $39.241 million. Between
41
2000-2010, the Chinese share of Sudanese imports and exports amounted to 15.67%- 69.56%
(Nour, 2011).
The export boom has boosted the oil and gas trade in Sudan, and the future looks even brighter
should both governments hold on to the positive progress. When the financial performance of
companies is positive, the GDP is also affected positively, which in turn improves the whole oil
and gas industry. Recent improvements in the oil and gas sector have made Sudan a top growth
performer in the region. The steady growth cannot be measured without considering the financial
performance of JOCs, which are the contributors towards growth (Nour, 2011).
When firms are financially viable, they can easily collaborate with the government to advance
development projects in the country. For governments to attain their financial objectives, the
government needs to create a favorable business environment. Both sectors should work together
to boost success. Financial improvement in firms leads to improved social development
indicators. Financial performance can also be used to measure the impact of vulnerabilities on
organizations. When they are adversely affected, they may perform poorly in terms of production
and exports, which will, in turn, affect the financial report of that particular period (Nour, 2011).
Sudanese economy has been considered as one of the fastest-growing oil-economies in the
world. This indicator has been as a result of better and improved financial reports compared to
those in previous years when the country was unstable and had constant conflicts. Sustainable
growth and development are achieved when JOCs in the oil industries perform exemplary,
meeting the demand and supply. The data obtained from companies is used to measure how well
or how bad the industry is doing in the international market (Nour, 2011).
Study was carried on in UK uses data for a sample of 655 quoted non-financial companies in the
period 1987-2000, both accounting data from Data stream and data on analysts’ earnings
forecasts from I/B/E/S. Which helped to tackle two of the major challenges in this empirical
literature - to construct firm-level measures of uncertainty, and to control for other important
determinants of firms’ investment decisions, notably expectations of future profitability.
In line with similar study using data for quoted US companies, It was found that higher
uncertainty reduces investment in the short term, and the findings indicate that a persistent rise in
42
uncertainty would be associated with lower capital accumulation in the long term. The results
suggest that these effects are large, with a 10% rise in uncertainty reducing investment rates by
around 4.4% in the short run, and reducing capital stocks by around 8.6% in the long run. Unlike
some previous research, however, we do not find any effect of measured uncertainty on the
sensitivity of investment to demand shocks
43
CHAPTER THREE
RESEARCH METHODOLOGY
3. Introduction
As it is indicated in the title, this chapter presents the research methodology of the dissertation. In
more details, in this part the author outlines the research Design, the research method, the research
approach, the methods of data collection, the selection of the sample, the research process, the type
of data analysis, the ethical considerations and the research limitations of the project.
3.1. Research Design
The research held with respect to this dissertation was an applied one, but not new. Rather,
numerous pieces of previous academic research exist regarding the “ Business Proposal to Enhance
Performance Of Joint Operating Companies (JOCs) In South Sudan ”, and the impact of Oil prices,
Geopolitical situation, Cooperate performance, Technology, Insecurity & ownership, not only for
Greater Pioneer Operating Company (GPOC) in specific, but also for other JOCs such as
DarPetroleum Operating Company (DPOC), Sudd Operating Company (SPOC) and indeed other
JOCs of the world. As such, the proposed research took the form of a new research but on an
existing research subject.
3.2. Research Method
In order to satisfy the objectives of the dissertation, The researcher adopted a qualitative study
design though with a combination of descriptive study design to study and to understand the
performance of joint operating companies in South Sudan. The study has utilized case study to
44
identify and evaluate previous experiences. Descriptive research relies on observation as a means
of collecting data. Observation here takes many forms depending on type of information sought;
people can be interviewed, questionnaires distributed and even visual records if required. (Çaparlar
& Donmez, 2016)
The use of case study was necessary because a lot of historical data was very much needed by the
researcher and it was compared against different themes derived from research objectives as a way
of averting any bias that could arise from the use of interviews. In order to obtain a study
population the researcher employed a cross sectional survey. Cross-sectional survey is a type of
study that “utilizes different groups of people who differ in the variable of interest, but share other
characteristics such as education status, educational background and ethnicity” (Çaparlar &
Donmez, 2016)
Based on these, respondents were selected purposively from diverse backgrounds; religious,
politicians, academia, gender, age, work class, within Greater Pioneer Operating Company
(GPOC), to respond to the structured interview questions. Thus, data was gathered in order to
establish the relationship between independent and dependent variables from primary and
secondary sources.
3.3. Study Population
The study’s target population that it intends to study would not be possible or appropriate to
study the whole population of interest. Instead, study can be made to subset of people (sample)
draw from a larger population. In such cases, the objective of the research study is to generalize
the study findings from the sample to the population of interest. A good sample is a statistical
representation of the population of interest and is large enough to answer the research question.
45
(Majid, 2018). Target Sample of 60-70 out of 700 Greater Pioneer Operating Company (GPOC)
employee, which sample size of 1 Top management, 5 Departmental managers, 9 Section Heads,
32 Executive employee and 14 junior staffs (others).
3.4. Sampling Procedures
The method of purposive sampling was adopted for discussion using the non-probability sampling
techniques, sample members will be selected on the basis of their knowledge, relationships and
expertise regarding a research subject (Langkos, 2014). The sample members that was selected
have special relationship with the phenomenon under investigation, sufficient and relevant work
experience in the field of Oil and Gas activities and investment, namely:
 GPOC, MC member: President, Vice president, General managers.
 GPOC, Secondees’ Managers of foreign partners
 GPOC, National Department Line Managers.
 GPOC, Section Heads.
 GPOC, executive staff.
 GPOC, Other staff.
3.5. Sources Of Data
Data related to the findings of the study was gathered from questionnaire, interview and
documentary evidence on the Oil and Gas investment in both Sudan and south Sudan. These
formed primary source materials. Data was collected from secondary source materials namely
books, journals, internet, and newspapers which supplied a great deal of data for comparison on
46
the themes of study. Source of data “refers to where source material for research information is
obtained…” (Langkos, 2014)
3.6. Data Processing And Analysis
“Data analysis is the process of bringing order, structure, and meaning to the mass of collected
data. It is a messy, ambiguous, time-consuming, creative, and fascinating process. It does not
proceed in a linear fashion; it is not neat. The date was gathered from questionnaire which was
categorized in themes and sub-themes, so as to be able to be comparable.
Qualitative data analysis is a search for general statements about relationships among categories
of data. The collected data was later processed and analyzed using a comparative thematic
approach which was also compared to what different interviewees responded. A main advantage
of content analysis is that it helps in data collected being reduced and simplified, while at the same
time producing results that may then measure using quantitative techniques.
Moreover, content analysis gives the ability to researchers to structure the qualitative data collected
in a way that satisfies the accomplishment of research objectives. However, human error is highly
involved in content analysis, since there is the risk for researchers to misinterpret the data gathered,
thereby generating false and unreliable conclusions (Taherdoost, 2016).
3.6.1. Research Instruments
The researcher used a questionnaire online research instruments for key informants of Greater
Pioneer Operating Company (GPOC).
3.6.2. Pre-Testing
47
The identified research instruments, validity and reliability is to be tested, where validity is testing
the accuracy of the research instruments. In pre-testing it was done before actual data collection
begins to find out whether the selected research instruments are appropriate.
3.7. Procedure Of Data Collection And Tools
An introductory letter was granted from University of Juba, School of management – Business
section to be used to enhance the researcher’s self-introduction to the respondents. Therefore, the
researcher solicited the respondent co-operation whom the respondent agrees to co-operate;
appropriate research instrument was administered. The respondent was given time to responds
properly provided the instruments was sent by emails for a period of say three days.
As far as data collection tools are concerned, the conduction of the research shall involve the use
of semi-structured questionnaire, which was supposed to be used as an interview guide for the
researcher. Some certain questions was prepared, so as for the researcher to guide the interview
towards the satisfaction of research objectives, but additional questions may be made encounter
during the interviews.
Some sample questions that will be included in the semi-structured questionnaire were the
following:
 Question 1: What are the current market of oil prices ? How does the oil prices affecting
the financial performance of GPOC?
 Question 2: What strategies did GPOC deploy to maintain financial performance during
periods of fluctuating oil price regimes?
 Question 3: What specific interventions did you find to have been most useful in
maintaining your corporation's profitability when crude oil prices collapsed in
48
2014 ?
 Question 4: How do you measure the effectiveness of the strategies GPOC instituted in the
crude oil price volatile regimes to sustain the company profitability?
 Question 5: What are the geopolitical implications on GPOC’s investment efficient ? To
what extent have they affected the investment decision and efficiency of GPOC?
 Question 6: How far GPOC’s cooperate/board performance committed in implementing of
strategies and policies ? What are the policies governing GPOC’s operations ?
 Question 6: What activities your organization applies for addressing the problems of
insecurities?
 Question 7: In your view, which are the improvements that your organization should made
in order to increase its efficiency and to enhance business performance effectively?
 Question 8: What do you think about the role of owners in enhancing GPOC’s investment
efficiency? Do you have any recommendation for improvement?
 Question 9: acknowledging your experience in Oil and Gas in other countries, how are the
operations in those countries? What can we learn from them to improve business
performance of GPOC?
 Question 10: How do you evaluate the future of joint operating companies in South Sudan
and GPOC in specific?
3.8. Data Analysis
Data was analyzed using only qualitative data analysis before, during and after collection.
However, before data collection, tentative themes were developed or identified. These are:-
• To investigate the Financial Performance of Greater Pioneer Operating Company (GPOC).
49
• To investigate other factors which affect the investment efficiencies of Greater Pioneer
Operating Company (GPOC).
3.9. Limitations To The Study
In view of research anticipated threats, this dissertation had the following limitations:
 The researcher claimed 5% margin of error at 0.05 level of significance
 The analysis of the GPOC financial performance and investment efficiencies may be
influenced by factors which were not mentioned in this project
 In some cases participants refused to speak against their organizations
 Mortality/Attrition: The required number of the respondents did not reach considering the
fact that some has not responded to online questionnaire sent to their email due to
unavoidable circumstances from the respondents’ end.
 Intervening variables where the researcher has no control such as honesty of the
respondents, stress, motivation and personal biases.
 The researcher has tried as much as possible to request the respondents to be objective
when answering the questionnaire online.
3.10. Ethical Considerations
The current study is anticipated to have certain level of ethical issues. Letter from the university
of Juba was served to all participants regarding their participation in the research and to reassure
that their participation in the research is voluntary and that they are free to withdraw from it at any
point and for any reason
50
Next to this, participants was fully informed regarding the objectives of the study, while they was
reassured that their answers will be treated as confidential and used only for academic purposes
and only for the purposes of this particular research. Except from the above, participants will not
harmed or abused, both physically and psychologically, during the conduction of the research.
In contrast, the researcher attempt to create and maintain a climate of comfort as much as possible.
3.11. Anticipated Problems
By practice it was not an easy thing to get information, but rather problematic, (Ponterotto, 2010).
Despite the use of purposive and systematic random sampling still the target sampling of the
intended participants to give information were not readily and available for interview and
questionnaire. Even some of the participants who promised to respond by fill in the questionnaire
online failed and some responded beyond the date line. Getting the information out from the
people was challenging in terms of giving out the information correctly and the fear of disclosing
information that may be sensitive as the oil and gas industry is one of the strategic institution in
Republic of South Sudan for it importance and role in the country’s budget and economic.
The research is costly and it was faced with limited resources, for example, purchasing books of
great value from online due to the limitation of books in South Sudan & the cost of producing hard
copies of the research with the hard cover as per requirement of the university of Juba.
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Chapter Four
Analysis of the Findings and Interpretation of the Results
Having used scheduled survey questionnaire for the primary data collection in line with semi-
structured interview, the response rate was 90%. In other word that 60 was covered out of the
targeted sample of 60-70 participants, since the questionnaire was enumerator managed or
administered and filled ones, it was achieved to fill the questionnaires as expected without losing
single one and incase selected sample respondent were missing, immediate and nearest
respondent were served and used to provide the information instead
This chapter, the findings are based on what was achieved, what was not achieved and why it
was not achieved.
4. Study population
The study selected populations are employees included the Management team of Greater
Pioneer Operating Company (GPOC) oil producing company in the Republic of South Sudan,
the Headquarters office in Juba, South Sudan.
Table 4.1: Gender of the Participants
Frequency Percent Valid Percent Cumulative Percent

Male 57 95,0% 95,0% 95,0%
Valid
Female 3 5,0% 5,0% 100,0%
Total 60 100,0% 100,0%
Source: Field Data May 2021
Table 4.1 showed the gender of the participants which 95% are males and 5% females’
counterpart in GPOC, that gap may be due to male dominance in the public and private service
and could be the impact of traditional belief of females are inferior who are not capable to do
things. This could also be the result of cultural beliefs that girls by nature are for house wives
looked at as a source of wealth in the form of dowry. Moreover, employment policies in the oil
companies in South Sudan preferred males for field work.
52
Table 4.2: Academic Qualifications of the participants

Diploma 4 6,7% 6,7% 6,7%
Valid Bachelor 34 56,7% 56,7% 63,3%
Master 21 35,0% 35,0% 98,3%
Doctorate 1 1,7% 1,7% 100,0%
Source: Field data May 2021
Table 4.2 showed that the majority of respondent’s staff are bachelor degree holders 56,7%,
followed by master holders 35,0%, Diploma holder 6,7% and only one participant was a PHD
holder 1,7%. It can be assumed that staffs at Greater Pioneer Operating Company are pursuing
more academic qualifications and higher certificates. Which increases the performance and
quality of services that the company can offer in the future, also this indicate that the oil
production companies has tendency of hiring high qualified staff.
Having one PhD holders among the respondents, may means the chances of studying for PhD in
current situation of South Sudan is challenging and could be because of lack of basic and reliable
infrastructure such as power city, good internet connection and available PhD programs offered
by the universities within the country.
Table 4.3: Age of the Participants

18-28 Years 1 1,7 % 1,7 % 1,7 %
29-39 Years 32 53,3 % 53,3 % 55,0 %
Valid
40- 50 Years 23 38,3 % 38,3 % 93,3 %
51 Years Old and Above 4 6,7 % 6,7 % 100,0 %
Total 60 100,0 % 100,0 %
Table 4.3 showed the age of respondents from GPOC as follows:
a. 29-39 years are 53,3 %

b. 40-50 years are 38,3 %
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c. 51 Years Old and Above are 6,7 %
d. 18-28 Years are 1,7 %
The majority of GPOC respondent’s staffs are young within the age category of 29-39 years old,
and this means that there are potential future leaders and qualified experts in oil and gas energy
Sector in South Sudan. This gives the chance for the young employees to get skilled and familiar
with the practices related to the oil and gas which brings up future expertise from within the country
whereby the majority of this respondents under this study are young national.
Table 4.4: Position of the Employee

Departmental Manager 5 8,3% 8,3% 8,3%
Section Head 10 16,7% 16,7% 25,0%
Valid Executive Staff 31 51,7% 51,7% 76,7%
Others 14 23,3% 23,3% 100,0%
Total 60 100,0% 100,0%
Table 4.4 showed the positions level of the respondents in GPOC. Executive staff 51,7 %, junior
staff (Others) 23,3%, Section heads 16,7 % and Departmental managers 8,3 % while no respond
from the Top management.
Table 4.5: Years of working Experience

1-3 Years 2 3,3% 3,3% 3,3%
4- 7 Years 10 16,7% 16,7% 18,3%
Valid
8- 11 Years 29 48,3% 48,3% 66,7%
12 Years and Above 19 31,7% 31,7% 98,3%
Total 60 100,0% 1,7% 100,0%
54
Table 4.5 showed the respondents’ years of experiences. 48,3% of the respondents are with
working experiences of 8-11 years, 31,7% experience of above 12 years, 15,0% with 4-7 years of
experience and 3,3% are with experience of 1-3 years.
Majority of 80% of respondents are with working experiences of 8 years & above and it may be
because of GPOC motivations and fringe benefits that almost eliminated the turnover of staff.
Also the polices of the company and clear vision of the owners , working conditions, and better
performance of each staff. Hence, it may indicate that GPOC is not creating jobs for newly
graduated for chances of employment.
Table 4.6: How long the Company has been operating

1 - 3 Years 2 3,3% 3,3% 3,3%
4 - 7 Years 3 5,0% 5,0% 8,3%
Valid 8 - 11 Years 44 73,3% 73,3% 81,7%
12 Years and Above 11 18,3% 18,3% 100,0%
Total 60 100,0% 100,0%
Table 4.6 showed the respondents’ perception of the years of the operation of GPOC in South
Sudan whereby 73,3% refer the existence of GPOC to 8-11 years, 18,3% above 12 years, 5,0%
4-7 years and 3.3% 1-3 years. However, GPOC was formed in 2012 after South Sudan
independent which the mother company GNPOC still exist in Sudan up to date (Details are
elaborated in chapter one of this study)
Table 4.7: Numbers of employees in GPOC
55
300- 500 employees 10 32,3% 32,3% 32,3%
500 -700 employees 15 48,4% 48,4% 80,6%
Valid
700 employees and above 6 19,4% 19,4% 100,0%
Total 31 100,0% 100,0%
Table 4.7 showed the number of employees at GPOC, 48,4% (500-700 employees), 32,3%(300-
500 employees) and 19,4% (above 700 employees). GPOC respondents staffs seems to be not
sure of the actual number of staff working in GPOC and that may show that Human Resource
system in GPOC is been handle with confidential. GPOC management should be fully aware of
actual number of staff and to be circulating to all for better planning and future strategies.
Table 4.8: GPOC Oil Daily production

10,000 - 30,000 B/D 3 5,0% 5,0% 5,0%
Valid
30,000 - 50,000 B/D 19 31,7% 31,7% 36,7%
50,000 - 70,000 B/D 38 63,3% 63,3% 100,0%
Table 4.8 showed that GPOC respondents staff are not sure of the average or range of daily oil
production of GPOC, 63,3% responded with 50,000-70,000 B/D, 31,7% with 30,000-50,000
B/D and 5,0% with 10,000-30,000 B/D. That may be because of GPOC staffs are divided into
groups of engineers in the field of Production, exploration , facilities departments whom their
activities are related directly to the production however, others workforce are supporting staff
like personnel of departments like General Services, Human Resources, Finance, Procurement/
Logistic, Security and others whom their duties has nothing to do with production. Information
sharing among the management team will enhance better practices, polices and it will create
better opportunities for the company in face of any shocks or stressors that the company might
go through.
56
Table 4.9: Significant of Oil Prices on the Financial Performance of Joint Operating
Companies (JOCs)

Yes 53 88,3% 88,3% 88,3%
Valid No 3 5,0% 5,0% 93,3%
Maybe 3 5,0% 5,0% 98,3%
I have no Idea 1 1,7% 1,7% 100,0%
Table 4.9 showed that respondents majority of 88,3% support that Oil Prices play a significant
role on the Financial Performance of Joint Operating Companies (JOCs). 5% didn’t support the
statement, 5% not sure of the significant of the oil prices on the JOCs business performance and
1,7% no any idea on the matter.
The analysis of the respondents support the Tobin's Q theories of this study. That theoretical
approach indicate that oil price fluctuations impact the performance of global performance
through various transmission mechanisms. The respondents are supporting this study’s
hypothesis of there is a directed relationship between the oil prices and Joint Operating
Companies (JOCs) business performance.
Table 4.10: Effect of oil Prices on GPOC Financial Performance

Yes 49 81,7% 81,7% 81,7%
No 3 5,0% 5,0% 86,7%
Valid Maybe 7 11,7% 11,7% 98,3%
I have No Idea 1 1,75 1,7% 100,0%
Total 60 100,05 100,0%
Table 4.10 showed that respondents majority of 81,7% support that Oil Prices play a significant
role on the Financial Performance of Greater Pioneer Operating Company (GPOC), 5% didn’t
support the statement, 11,7% not sure of the significant of the oil prices on the GPOC’s business
57
performance and 1,75% no any idea on the matter of the financial performance of Greater
Pioneer Operating Company (GPOC) relations with the Oil Prices. Primary data of GPOC
concerning budget shows the effect of Oil Prices on the budget in term of cutting off some
activities such exploration and new geophysics studies where GPOC has maintained the 2019
budget in 2020 and 2021 budget with no increase due to oil prices and outbreak of the COVID-
19 pandemic. The respondents are supporting the effect of oil prices on GPOC financial
performance and GPOC is not exempted from the global impact of oil prices.
Table 4.11: Effect of Geopolitical / Board performance / Technology / Insecurities /

Ownership on GPOC investment Decision

Yes 50 83,3% 83,3% 83,3%
No 6 10,0% 10,0% 93,3%
Valid Maybe 3 5,0% 5,0% 98,3%
I have no Idea 1 1,7% 1,7% 100,0%
Total 60 100,0% 100,0%
Table 4.11 shows majority of the respondents 83,3% agreed and support that variables of
Geopolitical / Board performance / Technology / Insecurities / Ownership are factors that affect
the investment decision making of Greater Pioneer Operating Company (GPOC), 10,0% not
supporting, 5,0% not sure and 1,7% have no idea. The respondents agree with this study
hypothesis of the effect of these factors on GPOC investment decision and indeed GPOC been in
Total Oil Production shut down since December 2013 up to August 2018 due to the geopolitical
situation and the high level of insecurities in the GPOC oil fields.
Table 4.12: Other external factors affecting GPOC investment decision and business
performance
58
Yes 42 70,0% 70,0% 70,0%
No 6 10,0% 10,0% 80,0%
Valid Maybe 5 8,3% 8,3% 88,3%
I have no Idea 7 11,7% 11,7% 100,0%
Total 60 100,0% 100,0%
Table 4.12 showed 70,0% of respondents support that there are other factors that affect the
investment decision making and business performance of Greater Pioneer Operating Company
(GPOC) beside the factors of Geopolitical / Board performance / Technology / Insecurities /
Ownership, While 10% supported not, 8,3% not sure and 11,7% have no idea.
Moreover, the other factors highlighted by the respondents are as follows:
 Stakeholders put their own and countries interest first.

 There is no transparency and political will.
However, the researcher is in disagreement with the respondents in supporting other factors
besides what been laid down in this studies because the other factors listed can be included
within the main factors. i.e, stakeholders interest can be part of the owners direct influences on
GPOC.
Table 4.13: Effect of Geopolitical / Board performance / Technology / Insecurities /

Ownership on GPOC investment efficiency and business performance

Yes 44 73,3% 73,3% 73,3%
No 6 10,0% 10,0% 83,3%
Valid Maybe 7 11,7% 11,7% 95,0%
I have No Idea 3 5,0% 5,0% 100,0%
Total 60 100,0% 100,0%
59
Table 4.13 showed 73,3% of respondents support that the investment efficiency and business
performance of Greater Pioneer Operating Company (GPOC) been affected by of Geopolitical /
Board performance / Technology / Insecurities / Ownership, while 11,7% of the respondents are
not sure of the effect of those factors on the investment efficiency and business performance of
GPOC, 10,0% disagreed for GPOC’s investment efficiency and business performance to have
significant relations and 5,0% have no idea about the impact of these factors.
Moreover, some of the respondents has expressed the extend of the influence of the above
mentioned factors on the investment efficiency and business performance of GPOC as follows:
• GPOC are not investing on new wells but repairing the existing wells in order to recover their
investment sooner than later.
• Other better investment decisions are not met as could be the case. Too much interest by
other foreign investors than the interest of the country.
Indeed, GPOC since the independent of South Sudan 2011 has not drilled a new well nor
exploration campaign and I think this is the extend of the effect of these main factors on the
investment decision of GPOC.
Table 4.14: Well Performance of Joint Operating Companies (JOCs) when the oil prices are
high

Strongly Disagree 2 3,3% 3,3% 3,3%
Disagree 2 3,3% 3,3% 6,7%
Neutral 11 18,3% 18,3% 25,0%
Valid
Agree 20 33,3% 33,3% 58,3%
Strongly Agree 25 41,7% 41,7% 100,0%
Total 60 100,0% 100,0%
Table 4.14 showed the majority of respondents 41,7% strongly agreed that the good and well
performance of Joint Operating Companies (JOCs) depended directly on high prices of oil,
33,3% agreed, 18,3% not sure, 3,3% disagreed, 3,3% strongly disagreed. The statement is true
60
for the rise of worldwide oil prices before 2014 has affected Sudan Oil Industry. In 2005, Sudan
export grew by 29,8% to $4,8 billion boosted by oil exports as indicate in chapter one of this
study.
Table 4.15: Well Performance of Joint Operating Companies (JOCs) when the oil prices
are low/ less

Disagree 25 41,7% 41,7% 78,3%
Valid
Neutral 5 8,3% 8,3% 86,7%
Agree 7 11,7% 11,7% 98,3%
Strongly Agree 1 1,7% 1,7% 100,0%
Table 4.15 showed the majority of respondents 41,7 has disagreed that the good and well
performance of Joint Operating Companies (JOCs) depended directly on low prices of oil,
36,7% strongly disagreed, 11,7% agreed, 8,3% not sure and 1,7% strongly agreed. Thought, in
this study, it was observed that the drop of oil prices which started in 2014 has concurring with
significant changes in the worldwide economy and oil showcases indicate in chapter one of this
study .
Table 4.16: No effect of oil prices on Joint Operating Companies (JOCs) Financial
Performance

Disagree 21 35,0% 35,0% 81,7%
Valid Neutral 5 8,3% 8,3% 90,0%
Agree 4 6,7% 6,7% 96,7%
Strongly Agree 2 3,3% 3,3% 100,0%
Total 60 100,0% 100,0%
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Table 4.16 showed the 46,7% has strongly disagreed that the good and well performance of
Joint Operating Companies (JOCs) has nothing to do with the oil prices, while 35% disagreed
with the statement, 8,3% not sure, 6,7% agreed and 3,3% strongly agreed the statement. Well, it
is well proven that oil price volatilities bring uncertainties concerned with a company's
profitability and affect investment and valuation decisions. When companies are making
strategic investment decisions, they should consider the likely increase in maximizing profits and
consider the potential development of risks which include the prices of oil.
Table 4.17: South Sudan independent 2011 effect on GPOC Business Performance

Disagree 16 26,7% 26,7% 36,7%
Valid Neutral 6 10,0% 10,0% 46,7%
Agree 23 38,3% 38,3% 85,0%
Strongly Agree 9 15,0% 15,0% 100,0%
Total 60 100,0% 100,0%
Table 4.17 showed 38,3% agreed in supporting the effect of the geopolitical event of the
independent of South Sudan in 2011 to have a significant impact on the business performance of
GPOC, 26,7% disagreed, 15,0% strongly agreed and 10,0% strongly disagreed. I think many of
current GPOC staff have joined GPOC after 2011 and that may not give them a clear picture of
the business performance before 2011 when GPOC by than was called GNPOC as highlighted in
the introduction part in chapter one. GNPOC Oil production normal was 270,000 b/d and
304,000 b/d in 2003 and 2004 individually. However, primary data is showing GPOC oil
production is range around 50,000-70,000 b/d.
Table 4.18: 2013 Crisis effect on GPOC Business Performance
62
Valid
Neutral 3 5,0% 5,0% 10,0%
Agree 24 40,0% 40,0% 50,0%
Strongly Agree 30 50,0% 50,0% 100,0%
Total 60 100,0% 100,0% 100,0%
Table 4.18 showed 50,0% strongly agreed the effect of the geopolitical event of the 2013 crisis
impact on the business performance of GPOC, 40,0% agreed, 5,0% not sure and 5,0% strongly
disagreed. Which resulted in GPOC Total Oil Production shut down. And again, the respondents
support that geopolitical has significant impact on the Oil and gas industrially and GPOC in
particular which is reason of this study.
Table 4.19: 2016 crisis effect on GPOC Business Performance

Strongly Disagree 3 5,0% 5,0% 5,0
Disagree 5 8,35 8,3% 13,3
Neutral 7 11,7% 11,7% 25,0
Valid
Agree 23 38,3% 38,3% 63,3
Strongly Agree 22 36,7% 36,7% 100,0
Total 60 100,0% 100,0%
Table 4.19 showed 38,3% agreed in supporting the effect of the geopolitical event of the 2016
crisis impact on the business performance of GPOC, 36,7% strongly agreed, 11,7% not sure,
8,35% disagreed and 5,0% strongly disagreed. The effect of 2016 crisis have caused some fields
in South Sudan to continue in total Oil production shut down and GPOC has been in oil
production Shut down since December 2013 up to August 2018 due to the geopolitical instability
in South Sudan, which GPOC have invested $490m in these five years of shut down.
Table 4.20: GPOC Management Committee's implementation of Policies and Strategies

has improved the Company Business Performance
63
Disagree 17 28,3% 28,3% 48,3%
Neutral 8 13,3% 13,3% 61,7%
Valid
Agree 17 28,3% 28,3% 90,0%
Strongly Agree 6 10,0% 10,0% 100,0%
Total 60 100,0% 100,0%
Table 4.20 showed 28,3% agreed in supporting the well performance of GPOC cooperate board
in implementing the strategies and policies to improve business performance while 28,3%
disagreed, 20% strongly disagreed, 13,3% not sure and 10,0% strongly agreed. The majority
respondents are in not satisfy with the GPOC’s cooperate board performance in implementing
policies and strategies and that is well observed through the number of strikes GPOC’s national
staff have been calling as an industrial rights.
Table 4.21: GPOC Management Committee's Strategies maintain the Company

Profitability Against the challenges

Disagree 5 8,3% 8,3% 10,0%
Neutral 15 25,0% 25,0% 35,0%
Valid
Agree 33 55,0% 55,0% 90,0%
Strongly Agree 6 10,0% 10,0% 100,0%
Total 60 100,0% 100,0%
Table 4.21 showed 55,0% agreed in supporting the well performance of GPOC cooperate board
in maintaining GPOC’s profitability against the challenges while 25,0% not sure, 10% strongly
agreed, 8,3% disagreed and 1,7% strongly disagreed. The majority respondents are in satisfy
with the GPOC’s cooperate board performance in maintaining GPOC’s profitability against the
challenges.
64
Table 4.22: GPOC Management Committee's is Performing well

Disagree 16 26,7% 26,7% 41,7%
Neutral 15 25,0% 25,0% 66,7%
Valid
Agree 14 23,3% 23,3% 90,0%
Strongly Agree 6 10,0% 10,0% 100,0%
Total 60 100,0% 100,0%
Table 4.22 showed 26,7% disagreed the well performance of GPOC cooperate board, while
25,0% not sure, 23% agreed, 15,0% strongly disagreed and 10% strongly agreed. The majority
respondents are in satisfy with the GPOC’s cooperate board overall performance.
Table 4.23: The Technology been used in Exploration, Drilling , Production enhances
GPOC Financial Performance

Disagree 6 10,0% 10,0% 15,0%
Neutral 17 28,3% 28,3% 43,3%
Valid
Agree 29 48,3% 48,3% 91,7%
Strongly Agree 5 8,3% 8,3% 100,0%
Total 60 100,0% 100,0%
Table 4.23 showed 48,3% agreed in support the current technology used by GPOC for activities
of exploration, production and exporting oil can enhance the business performance of GPOC,
28,3% not sure, 10,0% disagreed, 8,3% strongly agreed and 5,0% strongly disagreed. However,
GPOC is advised to acquiring some latest technologies for the advancement of the business
efficiencies. Moreover, the chinses companies are the main and biggest investors of South Sudan
Oil and it is concluded that the technology used is the Chinese technologies. South Sudan as a
strategic partner in the oil production field, should advice or suggest of use other technologies
rather than the chines ones for better safeguarding of environment and better oil class business.
65
Table 4.24: Level of Advance Technology used by GPOC

Disagree 22 36,7% 36,7% 46,7%
Neutral 16 26,7% 26,7% 73,3%
Valid
Agree 14 23,3% 23,3% 96,7%
Strongly Agree 2 3,3% 3,3% 100,0%
Total 60 100,0% 100,0%
Table 4.24 showed 36,7% disagreed with the current level of advance of technology used by
GPOC for activities of Exploration, Production and Exporting oil, 26,7% not sure, 23,3% agreed,
10,0% strongly disagreed and 3,3% strongly agreed. Respondents advise GPOC to applied
advance technologies in the other activities such as finance and procurement system. However,
the uprising issues of environment hazards in the oil producing fields may be from the
technologies used which I think the Chinese technologies used in South Sudan Oilfield have to
be revised.
Table 4.25: impact of advance technology on JOCs Financial Performance

Neutral 2 6,5% 6,5% 9,7%
Valid Agree 14 45,2% 45,2% 54,8%
Strongly Agree 14 45,2% 45,2% 100,0%
Total 31 100,0% 100,0%
Table 4.25 showed 45,2% agreed in supporting the significant impact of using advance
technologies in the activities of Exploration, Production and Exporting oil on the business
efficiency and performance, 45,2% strongly agreed, 6,5% not sure and 3,2% strongly disagreed.
The respondents in support of this study that technologies advancements has significant on oil
and gas investment, over the last thirty years the demand for oil and shift in consumer
66
preferences has increased in which resulted to the diversification of substitutes and supplies in oil
and other oil production due to technology advancement ( explained in details in chapter two of
this study).
Table 4.26: Impact of insecurities on JOCs

Disagree 1 1,7% 1,7% 10,0%
Neutral 3 5,0% 5,0% 15,0%
Valid
Agree 29 48,3% 48,3% 63,3%
Strongly Agree 22 36,7% 36,7% 100,0%
Total 60 100,0% 100,0%
Table 4.26 showed 48,3% respondents agreed in support of the significant impact of insecurities
in field and Juba HQ on the business efficiency and performance of JOCs, 36,7% strongly
agreed, 8,3% strongly disagreed, 5,0% Neutral and 1,7% disagreed.
A post crisis of 2016 has introduced the curfew at Juba City and since than the foreign partners
has increase the level of security to their staff resulting of leaving office earlier which means
working hours has reduced. Hence, I do believe, that has negative impact to some extend on the
business performance of JOCs. In addition, to COVID-19 has reduced the working forces to 50%
at a time and introduced a shift rotation arrangement which may has an impact as well.
Table 4.27: Impact of Insecurities on GPOC Business Performance

Disagree 16 26,7% 26,7% 28,4%
Neutral 18 30,0% 30,0% 58,4%
Valid
Agree 20 33,3% 33,3% 91,7%
Strongly Agree 5 8,3% 8,3% 100%
Total 60 100% 100%
67
Table 4.27 showing 33,3% respondents agreed and support the significant impact of insecurities
in field and Juba HQ on the business efficiency and performance of GPOC, 30,0% neutral,
26,7% disagreed, 8,3% strongly agreed & 1,7% strongly disagreed. Therefore, by generalization,
the same reasons and the impact of insecurities on JOCs should be as well the same factors and
effect on GPOC’s business performance.
Table 4.28: Effectiveness of GPOC strategies to face insecurities to sustain

business Performance

Disagree 16 26,7% 26,7% 28,3%
Valid
Neutral 18 30,0% 30,0% 58,3%
Agree 20 33,3% 33,3% 91,7%
Strongly Agree 5 8,3% 8,3% 100,0%
Table 4.28, 33,3% agreed in support of the effectiveness of strategies instituted by GPOC in
respond to face the insecurities to sustain GPOC’s business performance, 30,0% Neutral, 26,7%
Disagreed, 8,3% Strongly agreed and 1,7% strongly disagreed.
However, I think there are effective strategies otherwise GPOC would have not been operating
up to date despite the challenges all around including the hosting communities.
Table 4.29: The influence of owners (MOP and Partners) on GPOC’s Business
Performance

Disagree 2 3,3% 3,3% 8,3%
Valid
Neutral 8 13,3% 13,3% 21,7%
Agree 28 46,7% 46,7% 68,3%
Strongly Agree 19 31,7% 31,7% 100,0%
68
Table 4.29 showed 46,7% agreed in support of the significant impact of the influence of owners
(Ministry of Petroleum and Foreign Partners ) on GPOC’s business performance, 31,7% strongly
agreed, 13,3% Neutral, 5,0% strongly disagreed and 3,3% disagreed.
However, the influence of owners is evident of day by day GPOC activities for they approve the
budget and the way of expending it, influence the employment system and the salaries and
among many others such as procurement system and etc.
Table 4.30: Direct influence of owners on GPOC Business Performance

Disagree 3 5,0% 5,0% 6,7%
Valid
Neutral 7 11,7% 11,7% 18,3%
Agree 28 46,7% 46,7% 65,0%
Strongly Agree 21 35,0% 35,0% 100,0%
Table 4.30 showed 46,7% of the respondents agreed in support the direct influence of owners
(Ministry of Petroleum and Foreign Partners ) on GPOC’s business performance, 35,0% strongly
agreed, 11,7% neutral, 5,0% disagreed and 1,7% strongly disagreed.
The respondents in support of this study, even the owners’ strategic investment decision is
influenced by the changes in oil price volatility.
Table 4.31: Indirect influence of owners on GPOC Business Performance

Disagree 18 30,0% 30,0% 36,7%
Valid Neutral 8 13,3% 13,3% 50,0%
Agree 22 36,7% 36,7% 86,7%
Strongly Agree 8 13,3% 13,3% 100,0%
Total 60 100,0% 100,0%
69
Table 4.31 showed 36,7% respondents agreed in support that owners (Ministry of Petroleum and
Foreign Partners ) has the indirect and no influence on GPOC’s business performance, 30,0%
disagreed, 13,3% strongly agreed, 13,3% neutral and 6,7% strongly disagreed.
The respondents in the previous statements support the significant and direct influence of owners
in JOCs business performance and investment decision.
70
Chapter Five
Summary of findings, conclusions, and recommendations
This final chapter provides the summary of the research intentions and the research results.
Furthermore, the contribution of this research, implications for stakeholders of oil sectors both
for investors and managers of Business performance and investment efficiencies for the Joint
Operating Companies (JOCs), and further research suggestions are presented.
5.1. Summary of the research results
This thesis aimed to find a relationship between oil price, board performance, owners,
insecurities, geopolitical situation, technologies and the Joint Operating Companies (JOCs)
business performance and investment decisions.
The topic significance driven from the facts that South Sudan economic depends on Oil revenues
and oil producing companies are expecting to increase the production for more revenues
however, since 2014 oil prices are fluctuating. Furthermore, Joint Operating company been
affected by many other factors that has influenced the business performance and investment
efficiencies of those companies.
The aim of this study is to explain a part of the performance of GPOC as the case studies and to
generalize the findings to other Joint Operating Companies (JOCs), to enable investors, foreign
partners, Ministry of Petroleum and Board to be more willing to invest when there is more
uncertainties such as Oil Price, Geopolitical situation & etc. To research this topic these research
objectives were formulated:
1. To find out the impact of Oil Prices Fluctuations on the Joint Operating Companies (JOCs).
2. To examine the geopolitical situations influences on the decision of investment efficiency on
the Joint Operating Companies (JOCs).
3. To determine the effect of Cooperate/Boards’ performance on the financial performance of
JOCs.
4. To explore ways through which Technologies improve production and profitability at joint
operating companies.
71
5. To assess the level of Insecurities on the operations and performance of the joint operating
companies.
6. To find out the impact of direct/foreign ownership decision and influence on the policy
making and business performance of the Joint Operating companies
With regards to the first research objective, a clear positive relationship was found in all
regressions in line with the former literature and the respondents has support the significant of
Oil prices on the Joint Operating Companies business performance and investment efficiencies in
South Sudan. As per former research been conducted with regards to geopolitical Situation, this
study have built hypotheses based on the major political events South Sudan has went to through
to help answer and address second research question and objective. The researcher was expecting
there would be no differences between the geopolitical situation and insecurities. However, the
literature review has proven the difference the two research objectives. The hypothesis assumed
there will be a low dependence in the board performance as policies are very strict and
investments have been very high. For GPOC, the board performance was well mitigate to
overcome the challenges of the uncertainties by putting in place good policies and strategies that
keeps GPOC financially performing to date.
This research found the highest dependence our foreigner partners on the investment decisions of
GPOC and lowest dependence can be seen in the Technologies used by GPOC, therefore the
formulated hypotheses were confirmed. Adding Joint Operating Companies in the South Sudan
are highly dependent on oil price fluctuations. That confirmed this study hypotheses however,
some factors were have not taken into account while building the hypothesis. The study has
researched the relationship between oil price fluctuations and Business performance of JOCs in
South Sudan, and found that the impact of an oil price is more significant in the area of JOCs
investment decision.
5.2. Contribution of the research
This is not the first research conducted on the Joint Operating Companies (JOCs) but it may be
the first of its kind for the Joints Operating Companies (JOCs) of South Sudan for its include
variables that reflect firm characteristics. Using these variables, it was possible to integrate these
72
variables as the firm specific factors, which are disregarded in the index based studies.
Additionally, this research studied only business performance and investment decisions of Joint
Operating Companies (JOCs), which do not have operations within unrelated to business
performance and investment decisions. Therefore, this research is novel and is expected to
provide a good contribution to the literature.
5.3. Implications for management of Joint Operating Companies JOCs
This study has shown a significant positive effect on JOCs business performance and investment
decision when the price of oil creases. If the oil prices are expected to rise in the coming years,
JOCs are expected to perform well. Factors that explains JOCs performance are emphasized,
which can lead to better investment knowledge enabling stakeholders to make more informed
and rational investment decisions. If the JOCs risks and the uncertainties are well addressed and
mitigated through better policies and plans as thus be explained, can produced higher
opportunities and willingness for investors to create more investments. This serves the purpose
of this research: to enhance the business performance of JOCs and enlarge the investment
efficiencies.
5.4. Further research suggestions
In order to improve the knowledge in this field of studies, companies which were delisted during
the observed period should be included to give a better overview. Also performing the research
with a larger sample would increase reliability. We recommend testing the relationship including
more oil producing companies in order to expand the research further. This would benefit all the
stakeholders of the sector, as uncertainty about their performance can be reduced and attract
more investments. Furthermore, testing the dependence of Joint Operating Companies can add to
the knowledge about the market. By performing research with a bigger sample on a country
level, it can be tested if there is a relationship in dependence between oil importing and oil
exporting countries, and macroeconomic factors can be controlled for at a country level, for
example interest rate and policy.
73
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Appendix No. 01: Online Questionnaire Forum
Appendix No. 03: Interview Questions
Appendix No. 03: To whom to may concern letter from University of Juba

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BUSINESS PROPOSAL TO ENHANCE PERFORMANCE OF JOINT

OPERATING COMPANIES (JOCs) IN SOUTH SUDAN

SUPERVISED BY: DR. BAK BARNABA CHOL

I, YWODO JOHN NYAWELLO AKOL hereby declare that this Thesis is my

I dedicated this THESIS/work to my Parents, my father John Nyawello Akol

DEDICATION ............................................................................................................................................. iii

LIST OF TABLES ..................................................................................................................................... viii

LIST OF FIGURES ...................................................................................................................................... x

LIST OF ABBREVIATIONS AND ACRONYMS .................................................................................... xii

CHAPTER ONE ........................................................................................................................................... 1

1.5.2. Time Scope ........................................................................................................................... 8

1.6. Research Main Objective .............................................................................................................. 8

1.12.2. Sample Unit ........................................................................................................................ 16

1.12.3. Sampling methods ............................................................................................................... 16

1.12.5. Data Collection Methods .................................................................................................... 17

1.12.6. Data Collection Techniques ................................................................................................ 18

1.12.7. Data processing ................................................................................................................... 18

1.12.8. Data presentation................................................................................................................. 18

1.13. Data analysis Tools ................................................................................................................. 19

A Review of relevant literature ................................................................................................................... 21

2.1. Oil Prices ........................................................................................................................................ 21

2.2. Geopolitical Situations .................................................................................................................. 24

2.3. Corporate Performance................................................................................................................ 29

2.4. Technology ..................................................................................................................................... 33

2.5. Insecurities ..................................................................................................................................... 35

2.7. Financial Performance of JOCs................................................................................................... 40

CHAPTER THREE .................................................................................................................................... 44

RESEARCH METHODOLOGY ................................................................................................................ 44

3.1. Research Design ........................................................................................................................ 44

3.7. Procedure Of Data Collection And Tools ............................................................................... 48

Analysis of the Findings and Interpretation of the Results ......................................................................... 52

4. Study population ............................................................................................................................... 52

Chapter Five .............................................................................................................................................. 71

Summary of findings, conclusions, and recommendations ................................................................... 71

5.1. Summary of the research results ............................................................................................. 71

Appendix No. 01: Online Questionnaire Forum ........................................................................................... 2

Appendix No. 03: Interview Questions......................................................................................................... 2

Table 4.1: Gender of the Participants ......................Error! Bookmark not defined.

GPOC Greater Pioneer Operating Company

Key words: oil prices, Joint Operating Companies, Business performance,

1.1. Historical overlook of oil & Gas industry in Sudan/South Sudan

Sources: (Pragst, et al., 2016)

1.2. Background of the study

Figure 02: Oil Prices Supercycle

Sources: (Baffes, 2007)

Strategic investment is a methodology utilized by an organization when contributing, aiming to

Figure 03: GPOC Production File

1.3. The statement of the problem

1.4. Justification of the study

1.5.1. Geographical Scope

1.5.2. Time Scope

1.6. Research Main Objective

1.7. Specific Objectives

1.8. Hypothesis of Study

1.9. Empirical Review

1.10. Conceptual Frameworks

Figure 04: Factors influencing financial performance of JOCs.

1.11. Theoretical Frameworks

1.12. Methodology of Study

1.12.1. Research Design

Research involves a systematic approach that investigates a specific problem to provide a

1. According to data collection techniques: (Observational/Experimental)

2. According to causality relationships: (Descriptive/Analytical)