This document provides information about oil and gas exploration and production in Sudan. It discusses Sudan's exploration history since the 1950s, current exploration and production sharing agreements, petroleum infrastructure including pipelines and refineries, average oil production and recovery factors across different oil blocks, Sudapet's role and objectives, and its vision to become a leading integrated oil and gas company in Sudan.

1. www.Sudapet.sd
Salah Hassan Wahbi
President & CEO
4th World National Oil Companies Congress
London, 21-24th June 2010

2. 2Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

3. 3Sudapet Co. Ltd.
Exploration History
Current active Consortiums:
Producing: GNPOC, WNPOC, PDOC, PetroEnergy.
Exploring: 13 Companies.
Agip Red Sea 1959-1962
Chevron 1974-1992
Total 1980
Sun Oil 1982-1990
State Petroleum 1993-1996
Gulf Petroleum 1995-2001
First Oil exportation shipped 1999

4. 4Sudapet Co. Ltd.
Exploration History
Sudan Geological Map and Concessions Map

5. 5Sudapet Co. Ltd.
Exploration History
Main Sedimentary Basins
• Misaha Basin
• Abyad Basin
• Red Sea Basin
• Murdi Basin
• Khartoum Basin
• Blue Nile Basin
• Melut Basin
• Muglad Basin

6. 6Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

7. 7Sudapet Co. Ltd.
Exploration Production Sharing Agreement (EPSA)
The EPSA Model regulates the relation between
the government and the operating companies,
under the Petroleum Act of 1998.

8. 8Sudapet Co. Ltd.
Exploration Production Sharing Agreement (EPSA)
Obtaining Concession in the Sudan
Proper Pre- Qualification of the Company.
Introductory Letter to the Minister.
Permission of the technical Staff to review the preliminary data.
Further Detailed Data may be obtained at Cost under a Confidentiality
Agreement.
Model EPSA Draft will be given upon firm interest of the contractor.
Submit Fiscal Parameters to Government.
To obtain better terms block is offered through a licensing round.

9. 9Sudapet Co. Ltd.
Exploration Production Sharing Agreement (EPSA)
Yr 1 Yr 2 Yr 3 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9Yr 4
1st Commitments 2nd Comm. 3RD Comm.
Yr 10 Yr 11 Yr 13Yr 12 Yr 15Yr 14 Yr 25Yr 16
Exploration Period
EPSA Exploration Period
six (6) Contract Years determined from the Effective Date
During Exploration Period Contractor commits to undertake a Minimum
Work Program & Expenditures
Such periods shall be renewed for an additional 5 years
subjective to the approval of the Minister.

10. 10Sudapet Co. Ltd.
Exploration Production Sharing Agreement (EPSA)
COST OIL/GAS , PROFIT OIL/GAS SPLITS,
ASSIGNMENT, BONUSES, RENTALS ARE
NEGOTIABLE .
Custom exemptions for all oil & gas materials and
equipments.
No Tax No Royalty.

11. 11Sudapet Co. Ltd.
Exploration Production Sharing Agreement (EPSA)
End of the first
commitment period
End of the second
commitment period
End of the third
commitment period
Contractor may relinquish all
or any part of the contract
area provided that its
obligations have been fulfilled.
Not less than 25%
of the area of the
Contract Area.
Not less than 25% of
the original Contract
Area.
The remaining of the
Contract Area. Not
Covered by discovers

12. 12Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

13. 13Sudapet Co. Ltd.
Petroleum Infrastructure
Crude Pipeline
Pipeline
Length
(Km)
Diameter
(Inch)
Capacity
(BBL/D)
Heglig‐MT
Export Pipeline 1610 28 450,000
Palogue‐Marine
Terminal
Export Pipeline
1400 32 500,000
El Fula‐Khartoum
Pipeline 720 24 200,000
Tharjath‐Heglig
Export Pipeline 172 24 200,000

14. 14Sudapet Co. Ltd.
Petroleum Infrastructure
Product Pipeline
Pipeline
Length
(Km)
Diameter
(Inch)
Capacity
(BBL/D)
Khartoum
Portsudan
Product Pipeline‐ 1976
740 8
Khartoum
Portsudan
New Product Pipeline‐
2000
740 12

15. 15Sudapet Co. Ltd.
Petroleum Infrastructure
Refineries
Refineries Capacity bbl/d
Port Sudan Refinery‐1964 25,000*
Obaid Refinery‐1996 15,000
Khartoum Refinery‐2000 100,000
Khartoum Refinery (Ext. 2012) 150,000
*Suspended, planning for new refinery

16. 16Sudapet Co. Ltd.
Petroleum Infrastructure
Equipment & Facilities
• Drilling Rigs: 26
• Work-Over Rigs: 22
• Seismic Crews: 14
• Processing Centers, Labs, Data
Information Center, and Training
Centers.

17. 17Sudapet Co. Ltd.
Petroleum Infrastructure
Seismic Crews
Company No. Crews Crew Type
BGP 5
2 3D
2 TZ
1 2D Vib
ZPEB 6
2 2D
1 3D
1 2D Vib
2 2TZ
BGC 3
2 2D
1 3D

18. 18Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

19. 19Sudapet Co. Ltd.
Petroleum Acreage and Production
Block 1,2,4
Greater Nile Petroleum
Operating Company Ltd
(GNPOC)
Block 3, 7
Petrodar Operating
Company Ltd (PDOC)
Block 5A,5B,8
White Nile (5B) Petroleum
Operating Company Ltd
(WNPOC)
Block 15
Red Sea Petroleum
Operating Company Ltd
(RSPOC)
6
17
Block 6
WNPOC (Block 5A)
Prod : 20.5 KBOPD
API : 21 degree API
PDOC (Block 3/7)
Prod : 275 KBOPD
API : 25 degree API
GNPOC (Block 1/2/4)
Prod : 184 KBOPD
API : 33 degree API
PetroEnergy (Block 6)
Prod : 41 KBOPD
API : (Heavy Oil 18-20 Light
30-32) degree API

20. 20Sudapet Co. Ltd.
Average Recovery Factor
814
164 21 49
0
1000
2000
3000
4000
5000
6000
7000
GNPOC PDOC WNPOC PetroEnergy
RecoverableOil(MMSTB)
0
10
20
30
40
50
60
RecoveryFactor
STOIIP
EUR & PR
Np
%RF
Total STOIIP : 15.9 Billion barrels
Total EUR/PR : 3.6 Billion barrels
About 23% & Remaining 77% still left in the ground to be exploited

21. 21Sudapet Co. Ltd.
Potential Upside in Reserve – 2.9 Billion Barrels valued at USD 116 Billion
0
2
4
6
8
EUR,BillionBarrels
Existing Water Injection EOR Total
Implementation dependent upon technical and commercial feasibilities.
* Assuming incremental RF of 3% for WI & 15% for EOR projects. Oil price assumed at USD40 per barrel.
3.6
2.4
6.5
0.5

22. 22Sudapet Co. Ltd.
Water coning and fingering are major challenges. Water injection will not
help much in improving heavy oil recovery
3.6
2.4
6.5
oil zone
Injector Producer
Fingering
Water Flooding
Bypassed
k
k
k o
ro =
( )
( )oswcro
wsorrw
k
k
MRatioMobility
μ
μ
/
/
)(
@
@
=
Note: 1. Presence of thief zones and poor mobility ratio directly influence the
success of water injection project.
2. Worst, in heavy oil it will behave like water recycling project. Small
increment in oil production but huge water produced to handle.

23. 23Sudapet Co. Ltd.
Maximum realized potential dependent upon project execution timing and project viability.
Instead of increasing the current capacity, it may help to arrest production decline and
prolong sustainable national production as primary reserve is depleting.
0
2
4
6
8
Existing WaterInjection EOR Total
0
100
200
300
400
500
600
700
800
900
1000
Existing WaterInjection EOR Total
Note: * Assuming production at 5% EUR per year.
3.6
0.5
2.4
6.5
522
70
330
922
PotentialUpsideEUR,MMSTB
PotentialUpsideProd.,KBOPD

24. 24Sudapet Co. Ltd.
EOR Improves Recovery Factor up to 75%
Source:
“A Niche for Enhanced Oil Recovery in the 1990s” by Larry W Lake (Univ. of Texas), Raymond L Schmidt (Chevron),
Paul B. Venuto (Mobil), January 1992.

25. 25Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

26. 26Sudapet Co. Ltd.
Sudapet Vision
A Leading Integrated Oil & Gas Company of ExcellenceA Leading Integrated Oil & Gas Company of Excellence

27. 27Sudapet Co. Ltd.
Sudapet Mission
To find, sustain and increase oil and gas for Sudan.
To Contribute to the protection and enhancement
of the national interest in the industry
To build the capabilities and competencies of
Sudanese nationals to reach world class workforce
standards.
To balance the roles as business‐oriented company
and socially responsible citizen

28. 28Sudapet Co. Ltd.
Sudan Concession Map
6
PETROENERGY
CNPC:95%
SUDAPET: 5%
1,2,4 GNPOC:
CNPC: 40%
PETRONAS: 30%
ONGC: 25%
SUDAPET: 5%
5A: PETRONAS:
PETRONAS: 67.875%
OVL: 24.125%
SUDAPET: 8%
BLOCK 16
IPC
SUDAPAK:
ZAVER+MTC: 85%
SUDAPET: 15%
BLOCK 8
PETRONAS:
PETRONAS :77%
SUDAPET: 15%
HI TECH: 8%
3,7 PDOC:
CNPC: 41%
PETRONAS: 40%
SUDAPET: 8%
Others 11%
BLOCK C, APCO:
SUDAPET: 90%
KH-STATE: 10%
BLOCK B:
TOTAL: 32.5%
MARATHON: 32.5%
KUFPEC 25%
SUDAPET :10%
BLOCK 13 - CPOC
SUDPAET 15%
BLOCK 15 -
RSPOC Sudapet 15%
14 SALIMA
SUDAPET: 100%
BLOCK 10
SUDAPET – 40%
12 A SAHARA
SUDAPET: 15%
17 STAR
SUDAPET: 34%
12
12 A

29. 29Sudapet Co. Ltd.
Sudapet Corporate Agenda
E&P Business
Downstream Business
Petroleum Services
Leadership
(White Nile)
(Blue Nile) (Riiver Atbara)Nile Source
(Triple Pillars)
Nile Mainstream
(Triple Core
Business)
Destination Nile Delta
(What we want to be)
… is proudly affiliated to the mighty Great Nile, sourced by its triple tributaries,
progressing in a firm course, unstoppable towards its noble destination……
A Leading Integrated
Oil & Gas Company
of Excellence
FULL-FLEDGED
PETROLEUM
OPERATING AND
SERVICES COMPANY
ON PAR WITH OIL & GAS
MULTI NATIONALS

30. 30Sudapet Co. Ltd.
Desired Business Model
Producing
GNPOC
WNPOC
PDOC
Petro‐Energy
Exploration
APCO
Salima
CPOC
RSPOC
WNPOC
Sahara
Sudapak
Staroil
Asawer
(EPCC)
BGC
(Geophysical)
BPC
(Processing)
Centroid
(PMC )
Sudapet PTC
(Training)
Crude Oil Sales and
Marketing
Sudapet
Carry
Sudape
t G&A
E&P Core Business Petroleum Services
Downstream
Business
R&T
Business
Full‐
Fledged
Operator
2011
LNG
Sudapet
Fertilizer Ltd.
Gas Turbine
Power Plants
Pipeline and
MT Operator
Asawer as a Vehicle for growth
in key Petroleum Services…
Alternate Energy
(Solar)
International JV
Operate
Relinquished Areas
Cash Call
Sun Oil
(Drilling)
Create value along the Value Chain

31. 31Sudapet Co. Ltd.
Sudapet as a Partner
Current Situation and Issues:
There are 11 JOCs in 16 EPSAs.
All Sudapet’s secondees are at managerial level.
These JOCs are technically driven by foreign partners.
Many national staff have been well trained in JOCs but are under‐utilized
While majority of JOCs are lacking technical national staff.
The current “silo” employment system hinders staff re‐allocation.
Desired Situation: SUDAPET in alignment with MEM TO:
Be charged with developing the national professionals utilizing all the
available resources
Technically influence all JOCs business plans to be in line with the
national interest while considering the JOCs interest.

32. 32Sudapet Co. Ltd.
Sudapet as an Operator
Current Situation and Issues:
Sudapet holds 90% share in Block C, significant share in Blocks 17, 12 and 10.
At the end of some Exploration Periods, partially to fully Relinquished Blocks will
be available to Sudapet.
At the end of some EPSA periods more acreage including producing fields will be
available to Sudapet.
The current staffing and capability will NOT enable Sudapet to meet the future
challenging demands.
Desired Situation:
Sudapet needs to be well equipped with competent staff and technology to
become a successful national operator and expand beyond the borders.
Build capable staff to operate SUDAPET operated Block (SOB) by end of 2011.
Recruit strong technical team.
Leverage on technical alliance to develop own experience.

33. 33Sudapet Co. Ltd.
Sudapet’s Key Challenges
Develop people and change mindset
Full‐fledged Operatorship by end of 2011
Champion EOR technology application
Prepare for the upcoming “Gas Era”
Build up ENGINEERING CAPABILITY
Champion early monetization of Red Sea Blocks

34. 34Sudapet Co. Ltd.
Petroleum Services
Provide quality technical services to JOCs on a Technology
alliance basis.
Focus on long term value creation and not the short term
financial gain.
How to achieve….
Establish and sustain affiliated Petroleum Service companies
in all disciplines (logging, seismic, drilling, engineering,
etc.….)
Form technology Partner ship with reputable international
firms and

35. 35Sudapet Co. Ltd.
Staffing Strategy
Establish competitive employment packages through direct
hire contract to attract and retain high caliber professionals.
Recruit young professionals in all disciplines and build a
career path and a development program for all staff with
clear targets.
Establish clear career progression through technical ladder in
addition to managerial ladder.

36. 36Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

37. 37Sudapet Co. Ltd.
Sudapet Affiliated Companies
SUN OILCENTROID ASAWER

38. 38Sudapet Co. Ltd.
Sudapet Affiliated Companies
Blue Nile Processing Center (BPC)
*Joint venture company between Sudapet (67%) and BGP (33%).
*Providing qualified 2D and 3D processing services for clients
*Technology Transfer

39. 39Sudapet Co. Ltd.
Sudapet Affiliated Companies
Blue Nile Geophysical Company (BGC)
*BGC is a joint venture between Sudapet (65% ) & BGC (35% )
*Number of Crews and Equipment of BGC:
- Two 2D crews
- One 3D crew

40. 40Sudapet Co. Ltd.
Sudapet Affiliated Companies
ASAWER Oil & Gas
Oil Service Provider
*Construction services included EPCC & EPCM
*Engineering & service design
*Power Supply, project management,
*Chemical, pipeline, marine, Procurements services

41. 41Sudapet Co. Ltd.
Sudapet Affiliated Companies
CENTROID
*Joint Venture of Sudapet 40% and OGP 60%
*Project Consultancy Services
- GNPOC
- PDOC

42. 42Sudapet Co. Ltd.
Contents
Sudan Exploration Historical Background1
Exploration Production Sharing Agreement (EPSA)2
Petroleum Infrastructure3
Oil & Gas Production in Sudan4
Sudapet Enrolment5
Sudapet Affiliation6
New Trends7

43. 43Sudapet Co. Ltd.
New Trends
Red Sea Shallow Waters Small Field Development
Concept
Unconventional Shale Gas Resources
Structural GIS and SEEBASE™ Project

44. 44Sudapet Co. Ltd.
Red Sea Shallow Waters Small Field Red Sea Shallow Waters Small Field
Development ConceptDevelopment Concept
Proposed Red Sea Shallow Waters Small Fields
Development using a combination of:
1‐ Develop‐While‐Exploring (DWE) Approach
2‐ Mobile Offshore Production Unit (MOPU)
3‐ Light Weight Structure (LWS)
4‐ Humming Bird Concept

45. 45Sudapet Co. Ltd.
CONCEPT OF MOPUCONCEPT OF MOPU--LWS COMBINATION FOR SMALL FIELDLWS COMBINATION FOR SMALL FIELD
DEVELOPMENT IN SHALLOW RED SEA WATERSDEVELOPMENT IN SHALLOW RED SEA WATERS
45
MOPU
LWS
Offshore production
facilities with Oil and
Gas processing units
installed on a converted
old Jack-up Rig
Free standing
conductors installed
by Drilling Rig

46. 46Sudapet Co. Ltd.
New Trends
Unconventional Shale Gas Resources
Blue Nile Rift Basin
Depot Centers
° Wells
°
°
°
°
°
Namel -1
Hosan -1
Dinder -1
°
West Dinder -1
Jauhara -1
Farasha -1
Potential Unconventional
Gas Trend
Possible Shale Gas Play
AOI

47. 47Sudapet Co. Ltd.
New Trends
Blue Nile Rift Basin (Unconventional Shale Gas
Study)
• Evaluation of the potential shale gas resources of the Blue Nile Rift Basin.
• Looking to verify the ultimate potential recoverable reserves.
• Horizontal Fracture Stimulation

48. 48Sudapet Co. Ltd. 48
Data CollectionPhase 0
Compilation and processingPhase 1
SEEBASE™ productionPhase 2
Feb 2009Feb 2009
May 2009May 2009
GIS Basis
2009
GIS Basis
2009
Dec 2009Dec 2009
GIS Basis
2009
GIS Basis
2009
Reports & GIS productResults
Structural GIS and SEEBASE™ Project

49. 49Sudapet Co. Ltd.
Core Datasets
Gravity
Magnetics
Digital Elevation Model (DEM)
Surface Geology
Landsat
Datasets are divided into:
CORE datasets are interpreted and integrated in detail and
CALIBRATION datasets those which are used selectively to constrain the interpretation
• Calibration Datasets
– 2D seismic
– Wells
– Rock properties
– Plate tectonic reconstructions
– Sequence stratigraphy
– Seismic refraction data
– Landsat
– Deviatoric stress data
– FrOG Tech regional knowledge-base
– Sudapet regional knowledge-base
– Publications, papers, maps, cross
sections

50. 50Sudapet Co. Ltd.
SEEBASE™ Work Flow
PETROLEUM
PLAY
INTEGRATION
SEEBASE™
PRODUCTION
AND DERIVATIVE
GRIDS
“BOTTOM-UP”
INTEGRATED
INTERPRETATION
& CALIBRATION
STATE-OF-THE-ART
DATA PROCESSING
& COMPILATION
DOCUMENTATION
PRESENTATION
VISUALISATION
DELIVERY
PROJECT
INITIATION
Project Setup
&
Management
Rock
Property
Calibration
Magnetic
Depth to
Basement
Modelling
Crustal-scale
gravity
modelling
Gravity/
Magnetics/
DEM Image
Processing
Plate
Tectonic
Events,
Kinematics
Basin-scale
Structural
Interpretation
using all
datasets
SEEBASE™
Construction
2D & 3D
Seismic
calibration
SEEBASE™
Basin
Architecture
& Evolution
Total
Sediment
Thickness
Migration
Pathways/
Fluid
Focusing
Interpret
Salt &
Volcanics
Reservoir &
Seal Quality
Trap Timing,
Size &
Distribution
Interpret
Basement
Terranes,
Composition,
Fabric
Maturity +
Hydrocarbon
Generation
FrOG Tech
Workshop
Report
Final GIS
Preparation
Delivery
Workshops
Ongoing
Support
Magnetics
Gravity
DEM/
Bathymetry
Surface
Geology
Publications
& Reports
Wells
Seismic
Navigation
Other Data
Landsat/
Radarsat
Construct
GIS Base &
Metadata
Event &
Response
Maps for
Each Basin &
Basin Phase
Data
Compilation
& Processing
Enhancement
Processing
SEEBASE : Structurally Enhanced view of Economic Basement

51. 51Sudapet Co. Ltd.
Data & Process
*- Different Data were involved in this project
activities

52. 52Sudapet Co. Ltd.
Results
*- The First data Set for the Whole Country from ONE point of View
*- Solid tool for exploration Mgrs and Decision makers in Oil field in Sudan

53. www.sudapet.com