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Sudan Tribune

Plural news and views on Sudan

Sudan to fully own rich oil field in S. Kordofan

November 24, 2016 (KHARTOUM) – Sudan’s oil ministry on Thursday said that Sudan will fully own the rich oil field Block B2 located in the southern part of the country, as of November 29th, according to a new Production Sharing Agreement (PSA).

Production platform in the Heglig oilfield (UNDP)
Production platform in the Heglig oilfield (UNDP)
On Thursday, Sudan’s Minister of Oil and Gas, Mohamed Awad, said that oil industry in Sudan would step into a new era after November 29th, as the state oil firm Sudapet will be the sole owner of Block B2.

Block 2B is the most productive field in South Kordofan state near the brooders with South Sudan. The field is located 45 kilometers west of the contested Abyei area.

On Thursday, the Sudanese minister met separately with China Oil Company and India Oil Company officials to discuss the renewal of concession agreement.

The minister commended the important role played by the foreign partners to establish oil industry in Sudan and the introduction of modern technologies that enabled Sudan to have a well established infrastructure and qualified human cadres.

He pointed that the Sudanese oil workers are now well placed to lead the oil industry in the country.

Awad pointed that the past 20 years have enabled Sudan to be a regional pioneer in oil industry, saying that the PSA renewal would increasing Sudan’s shares and protect partners’ interests.

He said that there is a need to increase oil production and reduce its cost to cope with the declining oil prices.

Block B2 is a joint venture between the government of Sudan, Greater Nile Company that includes the Chinese CNBC, the Indian ONGC, the Malaysian Pertonas and Sudapet.

Earlier in October, the State Minister for Oil, Mahmoud Abdel-Rahman, said that the oil extracted from block B2 does not exceed 20% of the rich field reserve.

(ST)

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