Sudan produces over 500,000 barrels per day of crude from fields mostly in the landlocked south. But the refineries and pipelines are in the north, giving Khartoum control of the commodity.
“The government of south Sudan is planning to make a refinery (in) Akon, Warap state (which) will serve all the seven states west of the Nile,” Luk told Reuters in an interview.
“It will take about a maximum of 36 months (to build). It will cost around $2 billion,” he said. It would take crude from the oil fields in Unity state.
Luk said the refinery will be a joint venture between south Sudan’s state oil company, Nilepet and the company that will win the tender.
Some of the oil will be exported to neighboring nations as south Sudan’s current consumption was small.
The government also planned a second refinery to service the heavier Dar Blend crude fields in the Upper Nile region but that project will wait until after the referendum.
