Somaliland+ Ethiopia + China deal – change in the Horn?

[The_Emperior5]

President Ahmed M. Silanyo and a ministerial delegation enroute to China reached the Ethiopian capital on Monday morning after staying in Dire Dawa over night.

The President was received at the airport by representatives from the Ethiopian Ministry of Foreign Affairs. Dr. Mohamed Abdullahi Omar, Somaliland Foreign Affairs Minister, said the visit was a continuation effort to explore new economic relations and bilateral ties with the government of Ethiopia. He added Somaliland and Ethiopia enjoyed close fraternal relations and the current visit would contribute to further strengthen the mutually beneficial cooperation in multiple domains between the two neighboring states.

When asked about the unscheduled stop over in Dire Dawa, Dr Omar stated: “Due to mechanical failures with our private jet, we had to wait in Dire Dawa until it was fixed.”

President Silanyo is accompanied to China by the Minister of Foreign Affairs, Minister of Mining and Water Resources, Minister of Agriculture, Presidential Secretary, Director of Berbera Seaport and the First Lady.

Whilst there is considerable secrecy surrounding the Beijing discussions, there is speculation that the discussion will focus on China’s access to aggregates and various other minerals in the Horn. The Port of Berbera is expected to dominate the agenda as China has expressed its interest in order to thwart a possible Indian investment in Berbera and its vicinity. The issue of Berbera will be first discussed in Addis Ababa, as landlocked Ethiopia tries to gain greater access. It is believed a three-way contract will be signed between Somaliland, Ethiopia and China.

Sources close to the government say Somaliland might lease the port to the global port operator and Hong Kong based Hutchison Port Holdings (HPH). They added HPH might team up with another Hong Kong based firm, PetroTrans Company Ltd, an oil and gas exploring giant which already won concession to explore oil in Ethiopia’s Ogaden region. The Chinese company plans to build gas transport infrastructure and processing facilities in Berbera where it will export.

The European Union has also provided funds to carry out a study on the construction of modern roads between Berbera and the town of Togwajale near the Ethiopian border.

The Chinese have expressed interest in gaining access to the port which will allow them to export not only gas and oil but also agricultural goods from the region. Ethiopia has already approved 20m hectares of land for commercial farming to capital-exporting countries, a policy that is proving highly controversial as many people in their own country are starving. They will grow staple crops and export them back to their homelands. The Chinese want to operate a port that will handle all these exports.

The Chinese have already began constructing a number of key projects in Ethiopia including highways and roads and there are plans to link Berbera, Addis Ababa and Juba in South Sudan.

The Hargeisa government mentioned a number of times it wants to establish the first railway line in the country and connect to key networks in the region. It will discuss with the Chinese investors. China has claimed it is in a position to help Somaliland with its transportation infrastructure, food security, education and water needs.

In Addis Ababa, the President met with Mr. Hailemariam Desalegn Deputy Prime Minister and Minister of Foreign Affairs of Ethiopia. The two sides discussed bilateral and trade issues as well as regional security. For all apparent cordiality serious tensions remain.

[The_Emperior5]

On 10th August, 2011, at the invitation of the Chinese side, H.E. Mr. Meles Zenawi, Prime Minister of the Federal Democratic Republic of Ethiopia left Addis Ababa for his visit to China from 11th to 15th August, 2011. During the visit he will also attend the opening ceremony of the 26th Summer Universiade to be held on 12th August in Shenzhen, China.
Mr. Wei Hongtian, Charge D’affairs of the Chinese Embassy in Ethiopia saw H.E. Prime Minister Meles Zenawi off at the Bole International Airport upon his departure.

[Executive]

I came across this article earlier

Ethiopia + Berbera Port + China deal – change in the Horn?

http://ethiopiaforums.com/ethiopia-berb ... n-the-horn

[Coeus]

[Coeus]

I came across this article earlier

Ethiopia + Berbera Port + China deal – change in the Horn?

http://ethiopiaforums.com/ethiopia-berb ... n-the-horn

These pro seccecion qaldans dont have the capacity to use their brains a bit. Why would a landlocked 90 million+ nation entertain a 1 million isaaqs about "economic coperation" They want only the acces to See, they see Siilanyo as a bitch made fool

[The_Emperior5]

After decades of talking the berbera coridor is becoming reality where rayaale has failed what cigaal could not Achieve A trainrails from berbera all the way to wajaale all the way beyond the border to Ethiopia

[The_Emperior5]

Chinese Firm Eyes Gas Export from Calub through Berbera

PetroTrans Company Ltd was awarded concession for 25 years last week, beating six other bidders



John Chine (left), chairman and president of PetroTrans, and Sinkinesh Ejigu, minister of Mines, at the signing ceremony held at the Sheraton Addis on Friday, July 23, 2010.



The Ethiopian government decided last week to award the nation’s promising energy prospects down in the Ogaden Basin to a Hong Kong based company, following the departure of the Carigali Overseas Operation last year.

Petronas’ exit from its explorations bid in the Ogaden and Gambella areas, after spending 350 million Br, remains disputable whether it was prompted due to security concerns, or its management decisions. Nonetheless, the Ministry of Mines (MoM) had issued an international tender in March 2011, inviting prospective developers with a bid to win concessions over Ethiopia’s oldest identified natural gas reserves.

Bearing closer resemblance, a Chinese company, PetroTrans Company Ltd, was awarded the concession last week, beating six other bidders, including South West Energy (SWE), which has blocks in the south eastern part of Ethiopia at the exploitation stage; the National Oil Company (NOC) of Ethiopia, largely owned by Mohammed Ali Al-Amoudi (Sheikh); and Cobramar of Seychelles.

“Out of the three companies [which submitted their bids], PetroTrans has made the best proposal,” read a statement issued by the ministry on Friday, July 22, 2011, after the signing of the concession for 25 years.

Sinkinesh Ejigu, minister of MoM, signed the exploration and production sharing agreement at the Sheraton with John Chine, chairman and president of PetroTrans.

PetroTrans, established in 1997, is involved in an upstream oil and gas industry, and leases oil and gas development projects. The company has experiences with oil and gas development in China, Indonesia, Kazakhstan and Yemen, with portfolios including the 53 billion dollars China-Saudi Arabia gas development agreements, signed in 2003, and the 4.28 billion dollars Petrokazkhstan acquisition venture, in 2005.

The agreement signed at the Sheraton last week adds four blocks, stretching 96,000 square kilometres (sqkm), to the company’s global portfolios.

The concessions transferred to PetroTrans are exploration blocks 3 and 4, 11 and 15, 12 and 16, and 17 and 20, which were under Petronas, a Malaysian oil giant eyeing to invest 1.9 billion dollars.

PetroTrans has agreed to invest close to four billion dollars in order to develop the gas fields of Calub and Hilal, and explore petroleum in the area. The company has agreed to pay a total of 130 million dollars in 10 years for predevelopment costs incurred in the gas fields, which have an initial reserve of gas estimated to reach 76 million cubic metres.

The government has projected this to increase by 100pc by the end of 2014/15, from its 20pc potential now, intending a 20pc annual increase, according to the Growth and Transformation Plan (GTP).

The amount the Chinese company has agreed to pay for the predevelopment is considered the highest amount that has been paid for a concession of blocks, sources at the ministry disclosed. Petronas has paid 80 million Br for the predevelopment of the area.

Before being forced to leave only after drilling a well at Genale and Hilala, Petronas was to invest in building a gas treatment plant and constructing a gas pipeline to the port of Djibouti.

The Chinese company is also to develop the field in three years, building gas transport infrastructure and processing facilities. The pipelines are planned to cross the Ogaden Desert and reach Berbera Port in Somaliland, for exports via ships.

“We believe that there is huge potential that goes beyond satisfying the domestic demand,” said Chine after the signing of the agreement. “The speed at which Chinese companies work is indisputable and shown by the 8,200km pipeline is constructed in just two years. Our company will also accomplish this in a few years.”

As the major work which demands huge investment has already been done by different oil companies which did not make it to the production stage, PetroTrans is in a privileged position to do the rest, an expert well informed on the project and with vast experience in the industry, told Fortune.

“It is only expected to establish a plant with all the machinery necessary for production,” he said.

A number of international companies have carried petroleum exploration and well completion works after the gas fields were first discovered in 1973, by Tenneco, an American company. Subsequent to the change of the Imperial regime in the mid-1970s, and after the end of war between Ethiopia and Somalia, the concession was granted to Soviet Petroleum Exploration Expeditions (SPEE), which had confirmed the gas reserves during the Derge regime.

Following the collapse of the military government, Calub Gas SC, a local company in which the majority of the shares were owned by the government, was established in 1995, with an initial capital of 102 million Br. Managed by the able Jihad Abaqoyas, the company was established to conduct explorations and exploitations of natural extraction in the energy sector; it was dissolved in 2005.

The concessions in Ogaden were granted to a Jordanian company, SITech International, which had made no meaningful progress on the project when its executive disappeared in 2006, despite their promise to invest 1.7 billion dollars.

The federal government commissioned the Chinese Zhoungyan Petroleum Exploration Bureau (ZPEB); it was this company that has made the eight wells in the two sites ready for exploitations.

Ethiopia has come a long way since the 1970s in its dream of producing energy from the Ogaden, with little success to date.

“Today’s agreement will ensure the implementation Ethiopia's vision” said Sinkinesh during the signing of the agreement.




http://www.addisfortune.com/Chinese%20F ... erbera.htm

[Colonel]

Coeus I admire your total rejection of qabyalad
Unfortunately some are prepared to sell their soul to the devil for financial gains and hatred of other tribes, they'll certainly have to answer to illahi on yawmul qiyama.

[The_Emperior5]

There is no hate for any one a highroad will be build from berbera to wajaale this will benefits Somaliland Plus that a trainrails this will be good for the infrastructure of Somaliland the Ethiopians want their goods to reach their country faster we get a road a trainrails in return the port will be enlarged before 2015 95% of the Ethiopian export imports will go through berbera and they wont Use the Djiboutian Port Any more. its a win win sitution, As for the Gas exploration in the gambeela that can become reality since they are behind Melez and his government,, the ogaden gas Exploration its a no go zone and the Kilil 5 region cannot provide security as there is a war going on there. That Project is strickly between the Ethiopians and Chinese if they can Provide the security if they want to explore Gas. Somaliland is just selling its service to both the Chinese and the Ethiopians. The future looks bright

[Oxidant]

No chance there will be any Gas or Oil exploration in the Ogaden and no project will ever enter in production phase. Berbera talk is just hype; it’s unrealistic and totally unfeasible. The infrastructure isn't there and won't be for a long time.

The Ethiopian government claimed last year that Petronas would develop the fields in the Ogaden and exports would go through Djbouiti in 2014; and don’t forget Petronas is one of the biggest Oil companies in the world, yet they abandoned the Ogaden

[Colonel]

No chance there will be any Gas or Oil exploration in the Ogaden and no project will ever enter in production phase. Berbera talk is just hype; it’s unrealistic and totally unfeasible. The infrastructure isn't there and won't be for a long time.

The Ethiopian government claimed last year that Petronas would develop the fields in the Ogaden and exports would go through Djbouiti in 2014; and don’t forget Petronas is one of the biggest Oil companies in the world, yet they abandoned the Ogaden

ONLF will destroy any group who tries to take Ogaden's oil insha'Allah (if there is any). They should also sabotage the future railway and attack any industrial convo from Ethiopia to Sland, this is war after all.

[Oxidant]

No chance there will be any Gas or Oil exploration in the Ogaden and no project will ever enter in production phase. Berbera talk is just hype; it’s unrealistic and totally unfeasible. The infrastructure isn't there and won't be for a long time.

The Ethiopian government claimed last year that Petronas would develop the fields in the Ogaden and exports would go through Djbouiti in 2014; and don’t forget Petronas is one of the biggest Oil companies in the world, yet they abandoned the Ogaden

ONLF will destroy any group who tries to take Ogaden's oil insha'Allah (if there is any). They should also sabotage the future railway and attack any industrial convo from Ethiopia to Sland, this is war after all.

http://danielberhane.files.wordpress.co ... .jpg?w=644

This is Ethiopia’s future plan for their rail network, not a single rail line towards Somalia.

They don’t even want a railway in the Somali region due to the instability and it’s also economically unviable. Why would they waste their time and money building a railway from the Ogaden to Berbera? When Berbera won’t have the infrastructure for such a long time,

[Colonel]

Perhaps this is all wishful thinking from our friend emperor.

[union]

Ethiopian puppets.