Sudan, Saudi Arabia: Formalize Khartoum Refinery MoU, Boost Oil Investment

• Sudan and Saudi Arabia signed a Memorandum of Understanding on September 9, 2026, to rehabilitate the Khartoum refinery and build a new one in Port Sudan.
• The agreement aims to enhance Saudi investment and cooperation within Sudan's oil sector, involving large refining capacities.
• Mohamed Awad Al-Jak, Director General of Oil Facilities, signed for Sudan, while Sheikh Sultan Al-Anazi, Executive Director of Twaik Group, represented Saudi Arabia.
• Sudanese officials welcomed the investment, directing the removal of obstacles to finalize the agreement and begin implementation.
• Twaik Group expressed strong commitment to investing in Sudan's oil sector, leveraging its extensive experience in refinery development across the Gulf region.

The agreement, signed on Wednesday, aims to enhance Saudi investment and cooperation within Sudan's oil sector by rehabilitating the existing Khartoum refinery and constructing a new facility in Port Sudan, both designed for substantial refining capacities.

Sudan and Saudi Arabia formally entered into a Memorandum of Understanding (MoU) on September 9, 2026, with the Ministry of Energy and Oil officially announcing the signing on Thursday, September 10, 2026. The signing ceremony took place at the Ministry of Energy and Oil buildings in Khartoum. The agreement, signed on Wednesday, aims to enhance Saudi investment and cooperation within Sudan's oil sector by rehabilitating the existing Khartoum refinery and constructing a new facility in Port Sudan, both designed for substantial refining capacities. Representing the Sudanese side was Mohamed Awad Al-Jak, the Director General of Oil Facilities at the Ministry. For Saudi Arabia, the MoU was signed by Sheikh Sultan Al-Anazi, Executive Director of the Twaik Group, who acted under the authorization of Sheikh Twaik bin Maqad Al-Otaibi, the Chairman of the Group.

This initiative is framed as a strategic move to bolster Saudi investment and deepen cooperation within Sudan's vital oil sector, particularly focusing on the Sudan Saudi Khartoum refinery MoU. The commitment to both upgrading an existing facility and developing a new one underscores a comprehensive approach to modernizing and expanding Sudan's energy infrastructure. The involvement of a prominent Saudi entity like Twaik Group signals a significant step towards realizing these ambitious goals for the nation's energy future.

The Undersecretary of the Ministry of Energy and Oil warmly welcomed Saudi Arabia's expressed interest in investing across both Sudan's energy and oil sectors. He underscored that this partnership, beginning with the ambitious Khartoum and Port Sudan new refinery project, represents a pivotal moment for the nation's energy future. The Undersecretary also issued a clear directive to all relevant parties to proactively address and remove any potential obstacles that might hinder the progression towards a definitive final agreement and the subsequent commencement of project implementation. This highlights the government's commitment to facilitating the Twaik Group Sudan oil investment.

Sheikh Sultan Al-Anazi, representing the Twaik Group, reiterated the group's serious intent and strong desire to pursue investment opportunities in Sudan across multiple domains, with a particular emphasis on the oil sector. He elaborated on the Twaik Group's robust technical and financial capabilities, extensive operational experience, and its network of international and local partnerships. Al-Anazi specifically referenced the group's proven track record in the successful construction and development of petroleum refineries within Saudi Arabia and other Gulf countries, lending significant credibility to their proposed involvement in the Sudan energy sector cooperation.

The Memorandum of Understanding (مذكرة تفاهم مصفاة الخرطوم) marks a crucial preliminary step towards potentially transformative developments in Sudan's oil refining capabilities. The dual focus on rehabilitating an existing facility and establishing a state-of-the-art new one in Port Sudan underscores a comprehensive strategy to enhance national energy security and production capacity. This Saudi investment Sudan oil initiative is poised to significantly upgrade infrastructure, potentially creating new economic opportunities and strengthening regional energy ties.

The emphasis from both sides on moving swiftly from this initial agreement to a final, actionable plan suggests a high level of commitment to seeing these projects through to fruition. The successful execution of these refinery projects would not only boost Sudan's domestic refining capacity but also solidify its position as a key player in regional energy markets, driven by robust Sudan energy sector cooperation.

Lawyers and compliance officers should monitor the progression of this MoU into a definitive agreement, as it signals significant foreign investment in Sudan's oil sector, potentially creating demand for expertise in project finance, regulatory compliance, and international investment law, particularly concerning due diligence and local operational requirements.

Source: Reporting based on official statements.