Canadian state company signs Sudan oil contract

State Oil Company Canada and Nigerian Express Petroleum and Gas to explore block in Al-Rawat field

Canadian state company signs Sudan oil contract

World Bulletin / News Desk

Sudan’s Oil Ministry has signed an oil exploration contract with international companies from Canada and Nigeria.

State Oil Company Canada and Nigerian Express Petroleum and Gas will explore the Al-Rawat oil and gas field in an area known as Block 26 under the contract signed by Oil Minister Makkawi Mohamed Awad in Khartoum on Sunday, according to a statement by the ministry.

The deal comes as Sudan, which currently produces 133,000 barrels of oil per day, seeks to increase production to 200,000 barrels per day.

Hasabo Mohamed Abdel Rahman, the second vice president of Sudan, and Mustafa Osman Ismail, the presidential adviser, participated in the ceremony at the Republican Palace.

Numerous oil and gas companies have been working in Sudan including Italian Agip, Chinese National Petroleum Corporation, French Elf-Aquitaine, Gulf Petroleum Corporation (GPC), National Iranian Gas Company and the Malaysian Petronas.

There are still major oil fields to be exploited in Sudan such as Unity (Block 1), Heglig (Block 2), Block 5A, Ader-Yale (Block 3) and Abu Jabra (Block 6).

Sudan was the owner of large oil and gas fields before 2011, before South Sudan declared its independence on July 2011.

The fields in the new state include 75 percent of Sudan's reserves, with the Heglig area being the main production field.

The State Oil Company Canada has worked in Sudan before on upstream oil and pipeline construction.

The company's management team has also been involved in the development of a petroleum project in the Republic of Sudan, which comprises a 12.2 million-acre oil concession and the construction of a 1,500 km-long export pipeline to Port Sudan.

Last Mod: 23 Eylül 2014, 10:02
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