Turkey's Argaz to build a new LPG terminal at Sudan's Suakin port

Sudan’s Maritime Ports Authority signed an MoU with Turkey’s Argaz to develop a new LPG terminal at the Red Sea port of Suakin under a build-operate-transfer model, according to a press release. Argaz plans to build a dedicated berth for three simultaneous gas carriers and 28k cbm of storage, with completion targeted in 12-18 months. The project’s investment value, annual handling capacity, and pricing or supply commitments were not disclosed.

Why now? Sudan’s dependence on imported fuel has risen sharply since the war knocked its refinery out of service, which previously met around 70% of domestic fuel demand. The country imported some USD 808 mn of petroleum products in 2025. The strain was visible in March, when more than 10 fuel vessels were waiting to discharge at Port Sudan and over 20 others were reportedly queued offshore in the Red Sea.

The fix, on paper: The port authority expects the additional berthing and storage capacity to eliminate vessel queues and to cut into the roughly USD 200 mn in USD-denominated waiting charges.

About Argaz: Argaz is specialized in LPG procurement, seaborne imports, storage, cylinder filling distribution, and runs three filling and storage facilities in Turkey. Talks between the firm and the Sudanese port authority already began in April, covering a strategic gas depot, a floating berth, and ship-maintenance projects at Suakin and Al Khair ports.

OUR TAKE- It’s not a cure-all: Dedicated unloading and storage capacity should reduce maritime delays, but it won’t resolve Sudan’s foreign-currency shortages in the short term, its restrictive import-financing requirements, damaged inland infrastructure, or distribution bottlenecks — all of which continue to raise the cost of getting fuel from vessel to consumer.