Sudan Sea Ports Corporation Signs MoU with Türkiye’s Argaz to Build Major Gas Terminal at Suakin
Port Sudan – Sudanhorizon
The Sudan Sea Ports Corporation signed a memorandum of understanding (MoU) with the Turkish company Argaz at its headquarters in Port Sudan on Wednesday to construct a dedicated gas terminal, the first facility of its kind in the country.
The agreement was signed on behalf of the Sea Ports Corporation by its Director General, Jilani Mohamed Jilani, while Al-Dabbagh, owner of Argaz, signed on behalf of the Turkish company.
Sudan’s Minister of Transport welcomed the partnership, praising the company’s role in expanding gas supply to the country. He said cooperation between Sudan and Türkiye has deep historical roots and continues to grow, adding that the signing of the memorandum reflects the strength of bilateral relations.
He also noted that cooperation with Türkiye is expected to expand further, with additional memoranda of understanding, agreements, and major projects anticipated in the coming period.
For his part, Eng. Jilani explained that the project involves constructing a large gas terminal at Suakin Port under the Build-Operate-Transfer (BOT) model. He described it as the first dedicated gas terminal of its kind in Sudan, capable of serving three vessels simultaneously.
He said the project will enable Sudan to import sufficient quantities of gas to meet the country’s full domestic demand at affordable prices, with direct positive benefits for Sudanese consumers.
Jilani revealed that annual vessel waiting charges had previously reached approximately US$200 million, costs that were ultimately borne by importers of fuel products, including liquefied gas.
He added that once the new terminal and its associated storage facilities are completed, the project will significantly reduce these costs, easing a financial burden equivalent to about US$200 million annually.
The Director General also praised the Ministry of Finance, particularly its Partnerships Department, for preparing the feasibility studies required for the project, noting that the documentation has now been submitted to the Ministry of Justice to complete the contractual procedures.
He further commended the Ministry of Petroleum for providing technical oversight of the gas storage facilities, thanked the Governor of the Red Sea State for closely monitoring the project, and acknowledged the Mayor of Suakin for supporting employment opportunities for residents of Suakin and the wider Red Sea State.
Meanwhile, the representative of Argaz thanked all those who contributed to the project’s development, especially the Turkish Ambassador. He affirmed that the company will supply large quantities of gas to Sudan at reasonable prices and said construction is expected to begin immediately, with the project becoming operational within one to one and a half years.
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