The Asawer Oil and Gas company and the U.S. Baker Hughes signed on Monday a Memorandum of Understanding (MoU) for cooperation in the implementation of gas projects.
The technical arm of the state oil and gas firm Sudapet, said the cooperation agreement was signed by Asawer Investment Director Nagi Abbas and Lorenzo Simonelli, the Chief Executive Officer of Baker Hughes, according to a statement.
Attending the ceremony was Abdel Rahman Osman, Sudan’s Oil and Gas Minister.
Speaking at the signing ceremony, Minister Osman called to invest in the oil and gas fields in the Red Sea. While Simonelli expressed readiness to invest in gas and oil services.
The two companies will work in the implementation of gas and associated gas projects, as well as cooperation in spare parts and drilling fluids, said the statement.
The head of Baker Hughes said the lift of U.S. sanctions on Sudan would encourage American oil firms to work in Sudan.
Sudan has proven gas reserves of 3 trillion cubic feet, but development has been limited. It also does not have the pipelines or the port terminals to bring in gas or liquefied natural gas, according to the U.S. Energy Information Administration in 2014.
Baker Hughes is a U.S. industrial service company. It is one of the world’s largest oil and gas field services companies based in Texas.
Last October, President Donald Trump ended a 20-year economic embargo on Sudan. The two countries said they would resume talks on the remaining sanctions particularly Sudan’s removal of the list of states sponsor of terrorism.