The Sudanese Organisation for Oil and the Jiyad Pipes Co have agreed to build the 220 km, 12 inch pipeline, at a cost of SDG155 million ($US25 million), the African news source reports.
Sudan’s Oil Minister, Makawi Mohamed Awad, described the contract as “a very important one”, AllAfrica reports.
At the signing ceremony, Mohamed Awad reportedly said that the line has a designed capacity of 1.3 million tonnes per year in its first phase.
AllAfrica reports that the minister stressed the refinery of the oil would support the economy, as well as the distribution of petroleum products to the US, once sanctions are lifted.