Learn Chinese online - CNOOC signs deal to search for oil in Kenya

Home Business Politics Life Culture��Edu Sci��Tech Sports Photos

��Search

  China Observer

�� Boao, small fishing town in the process of amazing changes

�� Beijing's local snacks disappearing fast

�� A closer look at luxury goods consumption

  Photos

�� Gold bowl of sky-high price

�� Rare natural phenomenon appears in Penglai

�� "Charm of spring" procession held rehearsal

��Home>>Business

CNOOC signs deal to search for oil in Kenya

www.chinanews.cn 2006-04-30 09:05:20

(Source: China Daily/CRIENGLISH.com)

Kenyan Energy Minister Henry Obwocha (R) signs an oil exploration
agreement with an official of the China National Offshore Oil Corporation
in Nairobi on Friday, April 28, 2006 as Chinese President Hu Jintao
(standing, L) and Kenyan President Mwai Kibaki watch. (Photo: AFP)

Apr.30 - China and Kenya signed a series of agreements in Nairobi on
Friday, including one that allows a Chinese oil producer to search for
oil in the east African nation.
Visiting Chinese President Hu Jintao and Kenyan President Mwai Kibaki
witnessed the signing of the oil exploration agreement between Kenya and
China National Offshore Oil Corporation(CNOOC).
In a statement posted on its website Friday, CNOOC Limited announced that
its subsidiary, CNOOC Africa Limited has signed production sharing
contracts (PSCs) for six blocks in Kenya located in three basins of Lamu,
Anza and Mandera, with a total area of 115,343 square kilometers.
Media reports say these areas are located in the north and south of
Kenya, which produces no oil but has attracted foreign companies
searching for possible reserves.
"If they discover oil we will go into production sharing agreements,"
Kenya's acting energy minister Henry Obwocha told Reuters, saying Chinese
exploration would start soon. The exploration agreement covers 20 years,
he said, giving no financial value for the deal.
The CNOOC statement says the exploration period of the PSCs will be
divided into three phases and the company will take on an amount of work
commitment during the period.
CNOOC says signing of these six PSCs indicates it has successfully
extended its overseas exploration activities to East Africa. It says this
vast area has attractive untapped exploration potential, although it is
not yet a mature oil and gas producing area.
Zhu Mingcai, Vice President of the Company and General Manager of CNOOC
International Limited said, ��Growing exploration acreages are important
for E&P companies. I believe that our presence in Kenya will be a
significant step in pursuit of that target.��
The oil exploration deal and other agreements were signed as President Hu
Jintao paid a two-day state visit to Kenya, the last stop of his
five-nation tour. He has already been to the United States, Saudi Arabia,
Morocco and Nigeria.
Other bilateral co-operation documents signed cover economic links,
trade, culture and education.
Trade between China and Kenya is growing rapidly. Bilateral trade volume
was US$475 million last year, up 29.7 per cent year on year, according to
statistics from the General Administration of Customs.
During talks with his counterpart Mwai Kibaki, Hu said China sees Kenya
as an important partner in Africa.
He proposed that high-level contact should be maintained between the two
countries.
He added that they should increase trade and investment, and expand their
partnership in such fields as culture, education, health, tourism, media,
environmental protection and sports.
Kibaki agreed, saying that Kenya will maintain the traditional friendship
with China and deepen co-operation. He hoped China would continue to
support the realization of peace, stability and development in east
Africa.
Analysts say co-operation with China has given Africa a bigger role in
the world economy, displacing what many Africans call an unequal and
debilitating relationship with Europe that has dominated the continent
from the slave trade era to the present.
"China's investment in Africa has created a lot of job opportunities and
boosted regional development," Kenyan Government spokesman Alfred Mutua
told Xinhua.
He added: "While providing reliable and good-quality technology, China
never attaches economic and technical aid to politics."
Co-operation in tourism has also made great strides, with the number of
Chinese people visiting Kenya going up all the time. A total of 11,000
Chinese tourists visited Kenya in 2005, the year after China made Kenya
one of its tourist destinations.
Meanwhile, the third session of the China-Kenya Joint Trade Committee was
held on Friday during Hu's visit.
The meeting was hosted by Bo Xilai, China's minister of commerce, and
Kenyan Minister of Trade and Industry Mukhisa Kituyi.
Kituyi stated that in order to boost bilateral trade and the economic
relationship, the Kenyan Government announced it would recognize the
market economy status of China.
Bo said the decision demonstrated the resolve of Kenya to pursue fair and
equitable trade, and reaffirmed the friendship between the two countries.

Copyright� 2004 Chinanews.com. All rights reserved.
Reproduction in whole or in part without permission is prohibited.
Disclaimer: viewpoints in the website do not represent China News Service

Learn Chinese, Learn Mandarin online, Learning Materials, Mandarin audio lessons, Chinese writing lessons, Chinese vocabulary lists, About chinese characters, News in Chinese, Go to China, Travel to China, Study in China, Teach in China, Dictionaries, Learn Chinese Painting, Your name in Chinese, Chinese calligraphy, Chinese songs, Chinese proverbs, Chinese poetry, Chinese tattoo, Beijing 2008 Olympics, Mandarin Phrasebook, Chinese editor, Pinyin editor, China Travel, Travel to Beijing, Travel to Tibet