Turkish firm Argaz eyes major LPG investment in Sudan

A Turkish energy company has expressed interest in investing in Sudan’s liquefied petroleum gas sector through a major project aimed at expanding import, storage and distribution infrastructure, Sudan’s state news agency SUNA reported on Wednesday.

Argaz Chairman Mohammed Tabakh presented the proposal during a meeting with Sudanese Energy Ministry Undersecretary Ali Abdelrahman Mohammed, according to SUNA.

The proposed investment would include specialised infrastructure for importing, storing and distributing liquefied petroleum gas, or LPG, as Sudan seeks to increase capacity and improve the reliability of domestic supplies.

Abdelrahman welcomed the proposal and said the ministry was prepared to provide the necessary support and facilitate procedures for the project, in line with plans to expand Sudan’s gas infrastructure.

He described gas as a strategic resource whose importance is growing because of its use across industrial, commercial and service sectors. Sudan, he said, needs more stable supplies as well as greater import, storage and distribution capacity to help make LPG available at affordable prices.

The project would include a specialised gas import terminal, storage facilities in Port Sudan and the development of distribution networks and logistics systems.

Abdelrahman instructed relevant authorities to facilitate the project, saying the investment could strengthen Sudan’s energy infrastructure, improve supply security and support wider use of gas.

Tabakh said Argaz was serious about pursuing the Sudan investment and pointed to a recent agreement with the Sudanese Sea Ports Corporation to develop what the company described as the country’s first specialised marine berth for receiving and handling LPG at Suakin Port.

The planned Suakin facility would be developed under a build-operate-transfer, or BOT, arrangement.

According to Tabakh, the proposed project would have storage capacity of around 28,000 cubic metres and is intended to strengthen Sudan’s ability to receive, store and distribute LPG while ensuring more regular supplies for the domestic market.

The two sides agreed on the need to complete technical and economic feasibility studies before moving toward implementation.

The project, if completed, would also mark a further expansion of Turkish investment in Sudan’s energy and infrastructure sectors.

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