It is estimated that Afghanistan sits on more than a trillion dollars in untapped resources. This has piqued the interest of some foreign investors, although decades of conflict and violence have prevented any significant exploitation. Now the Taliban have signed a contract with a Chinese company.
The Islamist rulers want to enter into an oil production cooperative in the north of the country. It is the first such contract since the Taliban came to power in the summer of 2021.
The CAPEIC company will be the government’s contract partner in Kabul, Afghan officials announced on Thursday. Chinese ambassador Wang Yu spoke about an important project for both countries.
China’s “New Silk Road”
The project will be located in the Amudarya Basin. A term of 25 years is planned, a spokesman for the Taliban government announced. CAPEIC will invest several hundred million dollars. The government will initially be involved with 20 percent, but the share can be increased to a maximum of 75 percent.
The People’s Republic has not officially recognized the Taliban government. Despite the volatile security situation, the region plays an important role in China’s plans for a “New Silk Road”, which will require the establishment and expansion of infrastructure and thus trade links with dozens of countries.
Source: Krone
I am Wallace Jones, an experienced journalist. I specialize in writing for the world section of Today Times Live. With over a decade of experience, I have developed an eye for detail when it comes to reporting on local and global stories. My passion lies in uncovering the truth through my investigative skills and creating thought-provoking content that resonates with readers worldwide.
