THE Northern dream of resuming oil of
exploration in the Lake Chad Basin would soon come to reality as the federal
government and the Peoples Republic of China yesterday signed an agreement
to commence exploration in the Basin.
The two countries, jointly signed an economic
and technological cooperation in the areas of oil and gas, telecommunication
and railway development as even Chinese government granted the sum of 2.25
million dollars to Nigeria.
President Olusegun Obasanjo and Mr. Wu Bangguo
who led Chinese delegation witnessed the signing ceremony which was
performed by the NNPC Group Managing Director, Mr. Funsho Kupolokun
representing Nigeria and the president of SINOPEC respectively at
Presidential Villa, Abuja.
Under the new agreements, the Chinese oil
company, SINOPEC signed the oil cooperation contract for the blocks 64 and
66 in the Chad Basin area of the North East zone of Nigeria.
Speaking at the occasion, President Obasanjo
explained that under the agreement, China agreed to construct a refinery in
the country, a pipeline as well as get involved in the up and down stream of
the petroleum sector.
Federal government last week announced that it
would in no distance time offer 27 oil blocks for bidding in January next
year which is in line with its plan to raise its petroleum production
capacity from the current 2.6 million barrels per day to four million by
2010.
Out of the 27 oil blocks offered for bidding by
the federal government, 23 were suspended wells in the Chad Basin area four
years ago by Shell, Chevron and Elf Oil companies on the directive of
federal government.
Other four oil blocks include the Benue Trough
which has four oil blocks (Kolmani 1 and 2 and Kwazari 1 and 2), Benin
Basin, which government has already released 50 million dollars of the
exploration of the basin as well as the Anambra Basin.
President Obasanjo further said under the
technological cooperation agreement, China which currently produces 40 per
cent of the total television sets in the world, had agreed to set up a
television production industry in Nigeria, assuring that government would
give all necessary encouragements.
He pointed out that Nigeria which had launched
its first remote sensing satellite early this year from Russia, would now
launch its telecommunication satellite, built and serviced by a Chinese
company, while Nigeria had since invited Chinese railway to develop Nigerian
Railways.
In his remark, the chairman of the Chinese
standing committee of the National Peoples Congress, Wu Bangguo explained
that his country is interested in exploration of marginal oil fields in
Nigeria, telecommunication, power generation and infrastructure.
He, however, commended Nigeria for its decision
to close Taiwan business office in Nigeria, saying the decision will boost
Nigeria-China mutual relationship.
