Sudan Oil and Gas Market Size (2024 - 2029)

Sudan Oil and Gas Market Size Summary

The Sudan oil and gas market is experiencing a gradual recovery, having rebounded to pre-pandemic levels after the negative impact of COVID-19. The market is projected to grow steadily over the forecast period, driven primarily by investments in the oil and gas sector, particularly in the downstream and midstream segments. Despite challenges such as declining production levels and the need for enhanced oil recovery techniques, there are opportunities for growth through technological advancements and increased production efforts. The midstream sector, which includes the transportation and storage of crude oil and natural gas, is expected to benefit from the continued export of crude oil through Sudan's pipelines to the Bashayer Marine Terminal and other refineries. The strategic partnership with South Sudan, allowing the export of its crude oil through Sudan's ports, further supports the midstream sector's expansion.

The oil and gas industry in Sudan faces significant challenges, including political instability, corruption, and years of underinvestment, which have hindered growth and productivity. The sector is dominated by government-owned entities and a few major companies, but efforts are being made to attract foreign investment and modernize operations. International collaborations, such as those with Russian and Algerian companies, aim to enhance exploration, production, and technological capabilities. Despite the loss of oil reserves to South Sudan following its secession, the intertwined economies of Sudan and South Sudan continue to rely on their shared oil assets. The market's growth potential is tempered by the need for improved infrastructure, investment, and governance to overcome existing obstacles.