The Inter-Church Coalition on Africa told Canadian foreign minister Lloyd Axworthy in a recent letter he should introduce legislation making Sudan operations difficult for Calgary-based Talisman, one of Canada's biggest oil and gas companies.

The group suggested Canada should insist on export permits for oil equipment destined for Sudan and even impose economic sanctions on the country.

The Toronto-based organisation, which includes the mainstream Anglican, United and Presbyterian churches in Canada has long protested Canadian oil industry involvement in Sudan.

Its opposition stems from its belief that Sudan's Islamist government, which it accuses of "ethnic cleansing" activities and other human rights abuses, will use the oil and profits from Talisman'sproject against anti-government rebels, extending a 15-year civil war in the impoverished country.

Also signing the letter were 10 other organisations, such as the Canadian Labour Congress, Mennonite Central Committee, Freedom Quest International and Steelworkers Humanity Fund.

"We want the government to take the issue of Talisman and other Canadian companies lining up at the trough, so to speak, more seriously and enact some legislation that will make it more difficult for Talisman to go about its business," coalition director Gary Kenny told Reuters on Wednesday.

Talisman, recently gained a 25-per cent stake in a $1.4-billion southern Sudan oil project by taking over Arakis Energy Corp.

Other partners in the development, which includes a vast, oil-rich drilling concession and a 930-mile (1,500 km) pipeline to the Red Sea, are China National Petroleum Corp., Malaysia state oil company Petronas and the Sudan government. Production of 150,000 barrels a day is scheduled to start next year.

The churchgroup said it wanted Axworthy to place the nation on Canada's "Area Controls List," which would require exports to Sudan, including equipment and technology needed for Talisman's operations, to have export permits.

It also suggested he use a special law that would allow Canada to impose economic sanctions on Sudan without a resolution from an international body like the United Nations.

So far Canada has resisted sanctions against Sudan. By contrast, the United States has blacklisted Sudan as a nation it said supported terrorism.

In addition, the coalition asked Axworthy to turn down any requests from Talisman or other Canadian firms for financing or risk insurance from the government's Export Development Corp.

Foreign affairs spokesman Andre Lemay said Axworthy would likely respond within the next few days. "Especially when we're dealing with human rights and things down that alley, I know that minister Axworthy is very, very sensitive," Lemay said.

In an interview, Talisman chief executive JimBuckee said he continued to believe his firm's presence would only help lessen the complex political turmoil by boosting economic activity to the benefit of the whole country.

"Banning Canadian goods and so on won'T actually affect the project," Buckee said. "The Chinese and Malaysians both wanted 100 per cent of the project and they're going to do it with or without us, so our view is having a Western presence, and the fact that we keep reporting back to our shareholders, actually ventilates the situation."