Ghana signs $13 bln in Chinese loan deals



* Reuters, Wednesday September 22 2010


By Kwasi Kpodo


ACCRA, Sept 22 (Reuters) - Ghana signed nearly $13 billion worth of loan deals with Chinese investors, the government said on Wednesday, announcing one of China's largest financial commitments in Africa to date.
The accords, signed during a visit by President John Atta Mills to Beijing, were viewed with caution by analysts noted a lack of specifics over the terms and who added that loans of that size could violate Ghana's IMF commitments.
The accords are aimed at funding energy, agriculture and transport projects in the West African state, Ghana's Deputy Finance Minister Fiifi Kwetey said by telephone from Beijing.
China has signed a slew of other big money deals across Africa -- including a $6 billion deal with Congo -- as it seeks to lock up resources to fuel its dramatic growth, and it is among the investors competing for a stake in Ghana's offshore Jubilee oil field.
The new loans include $3 billion from the Chinese Development Bank to finance Ghana's oil and gas infrastructure and agricultural development, Kwetey told Reuters.
"It's a comprehensive facility that would be used to develop the oil and gas sector and also to scale up infrastructure for agro-industries throughout the country," Kwetey said.
A second deal for $9.87 billion was signed with Chinese Exim Bank for road, railway and dam work, he said.
Kwetey said the broad framework for the use of the loans had been agreed but he declined to give details and said the specifics would be worked out later. He added the loans will require final approval from Ghana's parliament.

SCEPTICISM

Analysts said the details of the agreements were crucial to understanding their importance.
"We don't know if this is a loan or a credit line, what portion will be tapped, and what are the terms," said Richard Segal of Knight Capital. "We've seen many times in the past when there is a large loan figure announced and it turns out to be misleading. A degree of scepticism is advisable."
Ghana, an IMF member and one few sub-Saharan countries with a Eurobond, has cut its debt to around 8 percent of GDP from over 20 percent in 2008 but runs the risk of backsliding due to higher public borrowing.
"The IMF has recently relaxed its own constraints on programme countries' non-concessional borrowing, for countries like Ghana which have adequate debt management capacity," said Richard Fox, head of Middle East and Africa Sovereign Ratings at Fitch.
"But higher debt inevitably increases risks, especially in countries with volatile income streams. Ghana's debt burden is already one of the highest in sub-Saharan Africa," he said.
A Chinese loan deal to Democratic Republic of Congo was trimmed to $6 billion from $9 billion last year after the IMF raised concerns the contract, which used mineral reserves as a guarantee for infrastructure projects, would plunge the central African country deeper into debt.
The Ghanaian cedi was trading at 1.4278 to the dollar by 1456 GMT, from a 1.4280 close on Tuesday. The Eurobond was unmoved.
The onset of oil production in Ghana is expected to help boost its growth into the double-digits next year, making it Africa's top performing economy. Production is forecast to quickly ramp up to 120,000 barrels per day and eventually reach 250,000 bpd -- making it sub-Saharan Africa's No. 6 producer.
Ghanaian Deputy Energy Minister Emmanuel Buah told Reuters last week Ghana was making progress in talks with unnamed Chinese investors interested in buying a stake in the big offshore Jubilee field. It was not clear whether there was a link between that and the loans agreed in Beijing.
Jubilee, operated by Britain's Tullow Oil, holds around 1.6 billion barrels of light crude.
(Reporting by Kwasi Kpodo and Richard Valdmanis; writing by Richard Valdmanis; Editing by Ron Askew)

http://www.guardian.co.uk/business/feedarticle/9277341





Excellent news for growing business ties between China and Ghana!:cheers2:


PS: It seems that the American-domininated institutions like IWF and Worldbank are continuously loosing their grip on Africa which have strangled the continent from the early/mid 1980s up to now.

A country like Ghana is filled with resources, peace and a stable political entity, yet the country is impoverished. I like how western nations keep trying to point at Ghana as a success story, when any sane person can see Ghana is a tragic country shackled in debt. Ghana is a perfect lesson of what can go wrong when even everything goes your way.

Ghana signs $13 bln in Chinese loan deals



http://www.guardian.co.uk/business/feedarticle/9277341





Excellent news for growing business ties between China and Ghana!:cheers2:


PS: It seems that the American-domininated institutions like IWF and Worldbank are continuously loosing their grip on Africa which have strangled the continent from the early/mid 1980s up to now.
Going $13 billion into debt is "excellent news?" :ohno:

As usual with China:
analysts noted a lack of specifics over the terms:ohno:

A country like Ghana is filled with resources, peace and a stable political entity, yet the country is impoverished. I like how western nations keep trying to point at Ghana as a success story, when any sane person can see Ghana is a tragic country shackled in debt. Ghana is a perfect lesson of what can go wrong when even everything goes your way.

You couldn't be more wrong. I'm in Ghana right now and there has been much improvement. New roads, Hotels, real estate, and other infrastructure are being built. Plus, Ghana is on track to half its poverty rate by 2015. Yes, there is ALOT more to do but you can see things getting better. Ghana is the most stable country in West Africa and one of the most developing on the continent. STOP HATING ON YOUR FAMILY!!!!!:bash:

I don't have a problem with this deal with China. Anything that makes us less dependant on America and Europe is a good thing. The Chinese can never do as much damage to Africa as the West have done and still continue to do.

The Chinese loans are cheaper. The Chinese doesn't tax imports from developing countries. They can't replace the West and others, but it's good to have an alternative.

China gives roads, railways..and a future...the IWF ONLY brought misery, war and chaos to Africa...China has done a lot of good things for Africa whereas the IWF with its policies woefully failed....I am currently searching for scientific articles who see a correlation between those variables.

Within the next ten years we will discuss again and draw a line under IWF´s "achievements" and that between China. IWF wants to keep Africa impoverished and in chains and "NGO´- ize" the continent so that they can spread the image of the "incapable" and "poor" Africa around the world...this is a war in a broader definition!!! The new wars are no longer fought with weapons but by means of information, formal and informal laws and other norms...and those who control it, hence define it...WAKE UP...it is not "Alice in Wonderland"!

China gives...
:ohno: Your perception is faulty.

China takes.

A good thing. IMF or Worldbank demand always things before they give loans to developing countries. For example you first have to reform your economy, sell state companies, reduce public spending etc before you get loans. And that is a bad thing and that has destroyed a lot of countries.

China is not like that. They give loans and don't demand things .

You couldn't be more wrong. I'm in Ghana right now and there has been much improvement. New roads, Hotels, real estate, and other infrastructure are being built. Plus, Ghana is on track to half its poverty rate by 2015. Yes, there is ALOT more to do but you can see things getting better. Ghana is the most stable country in West Africa and one of the most developing on the continent.

New roads, new this, new that, that's what all governments are supposed to do. You have to look at Ghana for what it is --it's blessed with peace and resources, and a some-what stable government (something hard to come by in Africa), yet you can't explain why Ghana is impoverished the way it is.



I don't have a problem with this deal with China. Anything that makes us less dependant on America and Europe is a good thing. The Chinese can never do as much damage to Africa as the West have done and still continue to do.

In other words, you don't want to be dependent on the US and Europe, but have no problems still being dependent on China? Rape is rape, regardless if the cock comes from the west or the east. How about you take the money you make in Gold or Oil (your pick), invest a disproportionate amount of it towards your education, then hire the engineers and architects that graduate from Ghanaian schools to build those shiny buildings?

Right now, Ghana is borrowing huge amounts of money from China that will shackle your country into generational debt. If that was not bad, Ghana is going to hire Chinese architects and engineers to build your buildings, which brings the money right back to where it came from. Afterwards, as the years pass on, those roads, dams, and buildings the Chinese built you with their loans need to be maintained and since you don't have the proper "know how" to maintain it, you hire the same Chinese firms to do it for you. This is the vicious cycle of debt.

Going $13 billion into debt is "excellent news?" :ohno:

As usual with China:
:ohno:

I was going to post, but your two posts have said all I need to say.

New roads, new this, new that, that's what all governments are supposed to do. You have to look at Ghana for what it is --it's blessed with peace and resources, and a some-what stable government (something hard to come by in Africa), yet you can't explain why Ghana is impoverished the way it is.

In other words, you don't want to be dependent on the US and Europe, but have no problems still being dependent on China? Rape is rape, regardless if the cock comes from the west or the east. How about you take the money you make in Gold or Oil (your pick), invest a disproportionate amount of it towards your education, then hire the engineers and architects that graduate from Ghanaian schools to build those shiny buildings?

Right now, Ghana is borrowing huge amounts of money from China that will shackle your country into generational debt. If that was not bad, Ghana is going to hire Chinese architects and engineers to build your buildings, which brings the money right back to where it came from. Afterwards, as the years pass on, those roads, dams, and buildings the Chinese built you with their loans need to be maintained and since you don't have the proper "know how" to maintain it, you hire the same Chinese firms to do it for you. This is the vicious cycle of debt.

Ghana and Africa as a whole is still impoverished because its trying to rebuild itself from past oppression and continued exploitation. I want Africa to be self-sufficent and we will be treated more fairly by all if we diversify our trading partners. Africa doesn't yet have the hard cash to pay for the infrastructure it needs so I rather we get loans fron China than to continue to borrow from Western institutions.

But again, the ultimate goal is being self-sufficent.

I was going to post, but your two posts have said all I need to say.

The Dude is obssessed with China

The Dude is obssessed with China

Me? I'm obsessed with other things, and China is not one of them.

http://i966.photobucket.com/albums/ae148/Daliannn/7d8870cc.jpg

http://i966.photobucket.com/albums/ae148/Daliannn/4ba3d96f.jpg

http://i966.photobucket.com/albums/ae148/Daliannn/c4bae9e3.jpg

JHYeLMU_CAc

China eliminates import tariffs for 33 least developed countries

China’s Ministry of Finance on June 23 announced its decision to eliminate tariffs covering over 4,000 products imported from 33 least developed countries (LDCs). The decision supports the Chinese government’s effort to (i) honor its commitments made during the recent high-level meeting of the United Nations’ Millennium Development Goals conference; (ii) support open, fair and just trade with LDC trading partners; (iii) push other developing countries to follow China’s lead in providing better market access for LDCs; (iv) remove one impasse to the Doha Round negotiations by influencing other developed countries to fully honor commitments to eliminate tariffs for 97 percent of products from LDCs; and (v) promote the global economic recovery. The tariff revocation decision went into effect July 1.

The tariff revocation decision names 26 African countries and 7 LDCs in South Asia and the Pacific. The African nations include Benin, Burundi, Chad, Central African Republic, Comoros, Congo (DRC), Djibouti, Equatorial Guinea, Eritrea, Ethiopia, Guinea, Guinea-Bissau, Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritania, Mozambique, Rwanda, Sierra Leone, Sudan, Tanzania, Togo, Uganda and Zambia.

It's getting harder and harder for China bashers. :)

The only way I'd see this as a bad thing is if the money "disappears" along the way.

Other than that I think this is excellent news and I hope that Ghana could get on to double digit growth as fast as possible.

Me? I'm obsessed with other things, and China is not one of them.

I mean Matt...Not you

China can play the benevolent power cancealling debts as long as these countries keep providing resources at banana prices and opening markets to imported chinese trash.

Ghana signs $13 bln in Chinese loan deals



http://www.guardian.co.uk/business/feedarticle/9277341





Excellent news for growing business ties between China and Ghana!:cheers2:


PS: It seems that the American-domininated institutions like IWF and Worldbank are continuously loosing their grip on Africa which have strangled the continent from the early/mid 1980s up to now.

I like you better as Popa1980:)

China gives roads, railways..and a future...the IWF ONLY brought misery, war and chaos to Africa...China has done a lot of good things for Africa whereas the IWF with its policies woefully failed....I am currently searching for scientific articles who see a correlation between those variables.

Within the next ten years we will discuss again and draw a line under IWF´s "achievements" and that between China. IWF wants to keep Africa impoverished and in chains and "NGO´- ize" the continent so that they can spread the image of the "incapable" and "poor" Africa around the world...this is a war in a broader definition!!! The new wars are no longer fought with weapons but by means of information, formal and informal laws and other norms...and those who control it, hence define it...WAKE UP...it is not "Alice in Wonderland"!

Or better yet, someone give Popa1980 and Hadrami a chance:)

I like you better as Popa1980:)

???

China can play the benevolent power cancealling debts as long as these countries keep providing resources at banana prices and opening markets to imported chinese trash.

Banana prices???

As a result of China's industrialization, the commodity resources have leaped from "banana price level" to historical record highs. It is in the hands of African nations to use all these extra money wisely.

China can play the benevolent power cancealling debts as long as these countries keep providing resources at banana prices and opening markets to imported chinese trash.

and the west buys african rescources at the highest price???

i have followed your posts romulo and there is one major glaring flaw in the gospel you preach.

you are quick to point out what is wrong with the current china-africa affairs but you ALWAYS FAIL to provide credible realistic MORE BENEFICIAL alternatives for african countries to turn to. that is where your arguement is falls apart.

Great news, this is a win win for all.

Chinese company to invest $1.2 billion in Ghana's bauxite/aluminium industry

The Bonsai Minerals Group of China is teaming up with the Government of Ghana with a $1.2 billion investment to revive Ghana's bauxite, aluminiun and allied industries.

Letters of Intent to provide the framework to fast-track the development of the project have been signed among the partners, in a chain of achievements that have characterised President John Evans Atta Mills' state visit to China.

The project involves the development of the Ghana Aluminium Refinery Plant and associated infrastructure such as electricity, water and roads to support the project. The partners are the Bosai Minerals Group, the China-Africa Fund and the Government of Ghana.

The proposed plant which would be establshed in Awaso in 2014, to revive the bauxite industry, would have a final capacity of two million tons of bauxite per annum.

Ghana Government owns 20 per cent, while Bosai has 80 per cent in the proposed investment.

Bosai acquired all the interest of Rio-Tinto-Alcan in the Ghana Bauxite Company at Awaso last February, and has since been poised to increase bauxite production to 1.5 million tons by 2011.

Mr Zlin Yuan, Managing Director of the Company, announced during an interaction with President Mills at Chongqing, that the investment would involve bauxite exploration as well as the processing of alumina for export to the Asian market and the rest of the world.

According to Mr Yuan, the improvement of the supporting infrastructure is a necessary condition for the objectives of the investment strategy to be achieved.

He acknowledged the commitment of the Government of Ghana to increase investment in infrastructure to facilitate the development of the alumina refinery plant and also to generally promote more direct investment in Ghana.

President Mills, who was earlier hosted to a banquet by City Mayor Huang Qifan, assured the meeting that the Government of Ghana would fulfil its part with the provision of the necessary environment so that the investment would yield fruitful results.

Accompanied by a delegation of Ghana's entrepreneurs and business people, President Mills invited the Chinese investors to dialogue with his delegation to identify areas of further cooperation for mutual benefits.

President Mills was earlier taken on a tour of the Three Gorges Musuem, which was in the inner city of Chongqing.

He later held talks with officials of the Foreign Affairs Municipal Authority of Shenzen.

http://www.ghananewsagency.org/s_politics/r_20654/

China Invests $3 billion In Ghana's Oil Sector
Mr Anyidoho said during bilateral talks, China agreed on a 100 million Yuan grant facility and also donated medical equipment in support of the fight against malaria.

He said China had offered a $250 million buyers credit to support the Kpong Water Works to ensure clean potable water for communities in the country.

Additionally, he said, the government had signed a $150 million Memorandum of Understanding (MoU) to support the e-Governance project, stressing that both leaders agreed to forge a new partnership for mutual advancement of the two nations.
http://accra-mail.com/index.php?option=com_content&view=article&id=23983:china-invests-3-billion-in-ghanas-oil-sector&catid=62:business&Itemid=211

A good thing. IMF or Worldbank demand always things before they give loans to developing countries. For example you first have to reform your economy, sell state companies, reduce public spending etc before you get loans. And that is a bad thing and that has destroyed a lot of countries.

China is not like that. They give loans and don't demand things .

+1

Of course, China doesn´t give anything for free.....all in life comes at a price.
But China has helped Africa a lot in the past 10 years whereas Western nations turned a blind eye to it, "NGO-izing" the whole continent at best.

But let´s take the case of Angola, for example...at the end of war they asked Western nation for help. NOT A CENT/NO HELP CAME! Only disdain and arrogance. (tiny Portugal left aside in here)

China was the only country to help them rebuild their devastated country that several Western nations and Russia viciously morally and physically destroyed for decades.

Without that help from China, Angola would have never recovered so quickly....Arrogant Western nations would still point their fingers at the country.

+1

Of course, China doesn´t give anything for free.....all in life comes at a price.
But China has helped Africa a lot in the past 10 years whereas Western nations turned a blind eye to it, "NGO-izing" the whole continent at best.

But let´s take the case of Angola, for example...at the end of war they asked Western nation for help. NOT A CENT/NO HELP CAME! Only disdain and arrogance. (tiny Portugal left aside in here)

China was the only country to help them rebuild their devastated country that several Western nations and Russia viciously morally and physically destroyed for decades.

Without that help from China, Angola would have never recovered so quickly....Arrogant Western nations would still point their fingers at the country.

So this, and that, and that, and Hadrami:)

Banana prices???

As a result of China's industrialization, the commodity resources have leaped from "banana price level" to historical record highs. It is in the hands of African nations to use all these extra money wisely.

and the west buys african rescources at the highest price???

i have followed your posts romulo and there is one major glaring flaw in the gospel you preach.

you are quick to point out what is wrong with the current china-africa affairs but you ALWAYS FAIL to provide credible realistic MORE BENEFICIAL alternatives for african countries to turn to. that is where your arguement is falls apart.


Now that many countries in Africa gave all contracts to China there's not much to do than be dependant on commodities fluctuations in the international market, relying on China's hunger for resources so that economy can keep growing at fast pace. China's monopoly over Africa's resources isn't the independence Africa sought for, China does not practice free trade, so why not tax them more and protect markets from the flood of chinese cheap imports? why not establish higher prices like OPEC does, remember, China has only Africa to fuel their growth, someday China will be rich, and someday Africa's resources will come to an end.

Now that many countries in Africa gave all contracts to China there's not much to do than be dependant on commodities fluctuations in the international market, relying on China's hunger for resources so that economy can keep growing at fast pace. China's monopoly over Africa's resources isn't the independence Africa sought for, China does not practice free trade, so why not tax them more and protect markets from the flood of chinese cheap imports? why not establish higher prices like OPEC does, remember, China has only Africa to fuel their growth, someday China will be rich, and someday Africa's resources will come to an end.

You seem pissed off about China-Africa trade.

These two parties are doing business and it is benefiting both parties.

Your also bringing up some points that we already know and talked about , thats unnecessary (Tax the Chinese imports to protect domestic/local industries).

And, we know African resources will one day end. who doesn't know that?

For your Info. Many countries are already taking steps top diversify their economy. And not just dependence on Oil and minerals hungry to China.

And China is not the only investor in Oil and minerals, the West is a big investor as well, as much as China. But looks like the West is just pissed off at the Chinese-African trade.



Who cares who does business with whom? Its business, trade. Complaining isn't going to help.

You seem pissed off about China-Africa trade.

These two parties are doing business and it is benefiting both parties.

Your also bringing up some points that we already know and talked about , thats unnecessary (Tax the Chinese imports to protect domestic/local industries).

And, we know African resources will one day end. who doesn't know that?

For your Info. Many countries are already taking steps top diversify their economy. And not just dependence on Oil and minerals hungry to China.

And China is not the only investor in Oil and minerals, the West is a big investor as well, as much as China. But looks like the West is just pissed off at the Chinese-African trade.



Who cares who does business with whom? Its business, trade. Complaining isn't going to help.


So anyone who does not see China as a benevolent master is pissed off? Many people share my critical view, africans included.

So anyone who does not see China as a benevolent master is pissed off? Many people share my critical view, africans included.

I'm aware those few africans that have your views. But they don't criticize the changes being done in the countries due to trade with China.

They are hypocrites.

Now that many countries in Africa gave all contracts to China there's not much to do than be dependant on commodities fluctuations in the international market, relying on China's hunger for resources so that economy can keep growing at fast pace. China's monopoly over Africa's resources isn't the independence Africa sought for, China does not practice free trade, so why not tax them more and protect markets from the flood of chinese cheap imports? why not establish higher prices like OPEC does, remember, China has only Africa to fuel their growth, someday China will be rich, and someday Africa's resources will come to an end.

this is all nice and dandy but you are still not providing other viable and successful option for africa to pursue. this is where your gospel falls short buddy. if you are going to be a critic then you should also provide solutions and if you dont then you just become a troll.

the chinese are investing all over kenya, and what minerals does kenya has to offer the chinese??? NOTHING! just a pure kenya-china investment ventures. if kenya turns away from china where do you suppose kenyans should turn to? back to the west that for decades they would rather give aid money than make trade deals with kenya???

your arguments are deeply flawed and i hope your hatred for africa-china deals doesnt cloud your ability to be objective

Better than aid for sure.

the chinese are investing all over kenya, and what minerals does kenya has to offer the chinese??? NOTHING! just a pure kenya-china investment ventures.

if kenya turns away from china where do you suppose kenyans should turn to? back to the west that for decades they would rather give aid money than make trade deals with kenya???


your arguments are deeply flawed and i hope your hatred for africa-china deals doesnt cloud your ability to be objective


Very well said.

Romulo resents China-Africa trade with passion.
[B]


Let me show him thats its not China thats investing Minerals and Oil as much or even more than China. Since Kenya has neither of these 2.

This is a Canadian Company building a Massive Gold mine 1 (http://www.banro.com/s/TwangizaGoldPlantUpdate.asp?ReportID=417610), 2 (http://www.banro.com/s/TwangizaGoldPlantUpdate.asp?ReportID=407696) in East Congo. Its to be one of the largest Gold mine projects in the world.

There is another Western company

There is another 1,600 km2 Copper mine project in south East Congo worth $2 billion by an American company TFM. , Another Western company called Here. (http://www.pagewebcongo.com/repertoire/images%20repertoire/bossmining01_header.jpg), those are just 2. There are more than a dozen western companies in Katanga alone.

Then there Congolese industry. Though Congo produces a chicken amount of 25,000 berrils/day by a French company,

Now SOCO Oil company belonging to UK has started drilling for oil last month.
An Italian Oil company ENI also has just entered the market to drill Oil.

A French company called AREVA is talking to the Congolese government to exploit Uranium.


US is the number import of most Nigerian 2+ million berrils/day Oil. Its a big importer of Angola's 2 million berrils/day.
France is a big importer of most Gabonese, Cameroonian Oil. The west is also the largest buyer of EG Oil.

Portugal and Brazil are number 1 and 2 investors in Mozambique;

African diamonds end up in Belgium diamond house.

Congolese Coltan and Cassiterite ends up in the US, Canada and EU.

Only Chinese are buying minerals at banana prices. according to Romulo.

China is neither a friend or a foe of Ghana. Countries are only interested in their interests and it is of little concern what happens of others.

this is all nice and dandy but you are still not providing other viable and successful option for africa to pursue. this is where your gospel falls short buddy. if you are going to be a critic then you should also provide solutions and if you dont then you just become a troll.

the chinese are investing all over kenya, and what minerals does kenya has to offer the chinese??? NOTHING! just a pure kenya-china investment ventures. if kenya turns away from china where do you suppose kenyans should turn to? back to the west that for decades they would rather give aid money than make trade deals with kenya???

your arguments are deeply flawed and i hope your hatred for africa-china deals doesnt cloud your ability to be objective

Oh Kenya has nothing to give China, wich's bringing development for nothing? I bet you're not so naive as you want me to belive...

China firm buys into Kenya's titanium mines

Chinese mining firm Jinchuan has acquired 70 percent stake in Tiomin Kenya Limited (TKL) in a bid to revive the titanium mining project located in Kenya's coastal region.

A statement from the Canadian-based mining firm, Tiomin, received here Wednesday, said Jinchuan acquired the controlling equity interest in Tiomin Kenya, a wholly owned subsidiary of Tiomin that owns 100 percent of the Kwale Mineral Sands Project in Kenya.

The investment agreement which was signed on Monday offers Jinchuan a 70 percent stake in Tiomin Kenya Limited, leaving the Canadian parent with 30 percent.

The statement said Jinchuan is expected to immediately invest 25 million U.S. dollars into the mining project to offer it the financial muscle it needs to take off.

"Tiomin Resources is pleased to announce that it has taken a significant step forward and signed an Investment Agreement with Jinchuan Group Limited, one of China's largest companies," the statement said.

The Canadian and Chinese firms hope to mine an average of 330, 000 tonnes of titanium-bearing ilmenite, 77,000 tonnes of rutile and 37,000 tonnes of zircon a year from the Kwale Mineral Sands site.

The statement said all net cash flow generated by Kwale will be used initially to repay project debt and thereafter net free cash flow will be distributed pro-rata 70 percent to Jinchuan and 30 percent to Tiomin.

"The transaction is expected to close in about two months and is subject to regulatory and shareholder approval," the statement said.

Jinchuan is China's biggest nickel producer and fourth-largest copper producer.

"Closing this flagship deal, which has had such a long and painful gestation period, will be a key event for Tiomin. We believe that the closing conditions can be met in the next two months," said Robert Jackson, CEO of Tiomin.

He said a 30 percent carried interest in a good project for no further investment is highly valuable to Tiomin particularly given the potential upside of higher commodity prices and exploration success.

"Investors should look at this transaction in the context of the enormous benefit to Tiomin of Jinchuan's ability to obtain project financing to construct the project," Jackson said.

"In addition, closing this transaction with Jinchuan will give Tiomin more flexibility to pursue its strategy of leveraging its strong cash position and management team to find and execute an accretive, company-making transaction."

China wants infrastructure in Kenya for nothing...

China pledges funds for Kenya infrastructure
China's Foreign Minister Yang Jiechi (L) and Kenya's Prime Minister Raila Odinga in Nairobi - 6 January 2010
Mr Yang said it was important to build up Africa's infrastructure

China says it will give a $7m (£4.4m) grant to help fund infrastructure development projects in Kenya.

The announcement came at the start of the Chinese Foreign Minister Yang Jiechi's latest Africa tour.

His schedule includes visits to Nigeria, Sierra Leone, Algeria, Morocco and Saudi Arabia.

Kenyan President Mwai Kibaki said China has offered to help develop a second port at Lamu which will be connected to Ethiopia, Southern Sudan and Rwanda.

Correspondents said this would provide a route to export Chinese oil from Southern Sudan.

China will also help upgrade a railroad linking Kenya's Mombasa port and the Ugandan capital, said a statement from President Mwai Kibaki's office.

"For Africa to further take off, it is very important to build up the infrastructure so that African countries can conduct intra-regional trade on a massive scale," Mr Yang told reporters.

In November, China's government said it would offer Africa $10bn (£6.3bn) in concessional loans over the next three years.

and what happened to China's cynical non interference policy? China-Kenya relations go beyond economics.



NAIROBI, Kenya, Sep 23 - China on Friday declared support for Kenya's decision to invite Sudanese President Omar al Bashir to attend the promulgation of the new constitution in Nairobi last week.

During talks with President Mwai Kibaki, visiting vice Chairperson of the Standing Committee of the Chinese People's Congress (NPC) Chen Zhili pledged China's support for Kenya if the country is subject of discussion at the United Nations Security Council over the issue.

"Kenya as a neighbor and guarantor to the Comprehensive Peace Agreement (CPA) on the Sudan require the support and not condemnation by the international community in her efforts to broker peace between the Southern and Northern Sudan.", Ms Zhili said.

She expressed appreciation to President Kibaki and the Kenya government for the pivotal role played in brokering peace in Sudan and the horn of Africa.

Zhili who is also the NPC Chairperson of all Women's Federation, assured President Kibaki that China would provide the necessary support towards peace and stability in the horn of Africa.

President Bashir’s visit elicited immediate uproar both in Kenya and internationally, with some members of the Cabinet saying they had not been informed of his invitation.

The government through the Ministry of Foreign Affairs, however, defended its decision saying Kenya was abiding by a resolution of the African Union which wanted the arrest warrants suspended to give room for peace negotiations in Darfur.

The ICC has reported Kenya to the United Nations Security Council over the visit and failure to arrest President Bashir.

Kenya has reiterated its commitment to cooperate with the ICC, but in the case of Sudan it argues that Kenya has a strategic interest in ensuring peace and stability in the sub-region and promoting peace, justice and reconciliation.

A Foreign Affairs statement on Sunday said: 'As a member of the IGAD and a guarantor to the peace process in Sudan, Kenya has an absolute obligation to continuously engage with both parties to the CPA and their leadership.'

The government has confirmed that President Kibaki held a meeting with the Sudanese leader during his Friday visit.

Foreign Affairs Minister Moses Wetangula said President Bashir met on August 29 with South Sudan leader Salva Kiir and reaffirmed his commitment to the South Sudan referendum which is scheduled for January.

New constitution

The Chinese Official also congratulated President Kibaki and other coalition government partners for passage and promulgation of the country's new constitution.

Ms Zhili also appreciated Kenya's support for the One China policy which provides that Taiwan was and remains an inalienable part of China.

President Kibaki and Ms Zhili discussed issues focusing on enhancing Kenya-China cooperation under the China-Africa Cooperation (FOCAC) whose principals provide long term guidance for the growth of China and the African continent.

China is partnering with Africa on climate change, science and technology, capacity building, agriculture, medical care and health, human resource development and education, cultural exchanges and the opening up of Chinese markets for African products, programmes whose implementation in the next three years will strengthen China- Africa cooperation.

President Kibaki hailed the cordial bilateral and trade relations existing between the two countries which have continued to flourish through exchange visits at all levels.

The President particularly expressed gratitude to China for the immense contribution to the country's infrastructural development over the years.

The Head of State said: "I note with appreciation that China is today one of the leading bilateral donors to Kenya's infrastructural development with a cumulative official development assistance of Sh36.7 billion."

China and Kenya have signed agreements and MoUs in various fields including technical and cultural cooperation, trade, education, health, energy, agriculture and cooperative development.

The Chinese delegation in the talks included chairman of the Environment Protection and Resources Conservation Committee of NPC Wang Guangtao, Vice Chairperson of the Financial and Economic Affairs of NPC Ms Wu Xiaoling, Deputy Secretary General of the Standing Committee of NPC Han Xiaowu and the Vice Chairperson of the Guangdong Provincial People's Congress Ms Chen Xiaochuan.

Of course China is already bribing Kenya because they know it will be where oil from independent landlocked South Sudan will flow, and as a plus, Kenya supports China's imperialist claims over Taiwan.

Of course China is already bribing Kenya because they know it will be where oil from independent landlocked South Sudan will flow,

:nuts:

So where should South Sudan export it Oil through? Air Transport it?


and as a plus, Kenya supports China's imperialist claims over Taiwan.

This is a joke.:rofl: Your a very funny dude.

:nuts:

So where should South Sudan export it Oil through? Air Transport it?

Not exactly where it's exported now. Kenya will be the main route because of the previsible troubled relations South Sudan will have with its northern neighbour.

http://www.sudanupdate.org/Images/maps%20etc/pumpsmap.gif
I hope now you get it.

This is a joke. Your a very funny dude.

Thank you! no one takes you seriously anyways.

Not exactly where it's exported now. Kenya will be the main route because of the previsible troubled relations South Sudan will have with its northern neighbour.

I hope now you get it.

Everyone knows that Kenya will be the exporting Southern Sudan Oil.

So why should China bribe Kenya?

Everyone knows that Kenya will be the exporting Southern Sudan Oil.

So why should China bribe Kenya?

great question butembo

titanium??? they bought 70% of TIOMIN KENYA which a 100% subsidiary of TIOMIN a canadian firm!!! where does kenya come in???? that was business between a canadian and chinese firm. not unless you can show us eveidence that kenya forced TIOMIN to sell its shares to a chinese firm then your blame aimed at kenya is mislplaced

the south sudan oil export you are yapping about. do you know that toyota and mitsubishi two japanese companies want to build an oil pipeline from southern sudan to kenya??? so why arent you slating the japanese Like you are slating the chinese??? that shows that you either do not know sh!t about the investment or you just wanna blame china and not the japanese irrigardless of the situation. which one is it ROMULO???

so is it kenya's fault that the chinese supported our descision to invite bashir? oh for your information kenya didnt seek the chinese support matter of fact KENYA WAS NOT APOLOGETIC FOR INVITING BASHIR. those who dont like the fact that kenya invited bashir can go and eat shit. the last time i checked kenya is a sovereign nation

ROMULO the more you talk about this the more you come out as shallow, incapable of thinking and stupid.

great question butembo

titanium??? they bought 70% of TIOMIN KENYA which a 100% subsidiary of TIOMIN a canadian firm!!! where does kenya come in???? that was business between a canadian and chinese firm. not unless you can show us eveidence that kenya forced TIOMIN to sell its shares to a chinese firm then your blame aimed at kenya is mislplaced

I don't care if they bought a canadian subsidiary, it's in Kenya and it just destroyed your argument that Kenya has nothing (resources) to offer to China.

the south sudan oil export you are yapping about. do you know that toyota and mitsubishi two japanese companies want to build an oil pipeline from southern sudan to kenya??? so why arent you slating the japanese Like you are slating the chinese??? that shows that you either do not know sh!t about the investment or you just wanna blame china and not the japanese irrigardless of the situation. which one is it ROMULO???

We're talking about China, no? anyways China is a major stakeholder in the project.

so is it kenya's fault that the chinese supported our descision to invite bashir? oh for your information kenya didnt seek the chinese support matter of fact KENYA WAS NOT APOLOGETIC FOR INVITING BASHIR. those who dont like the fact that kenya invited bashir can go and eat shit. the last time i checked kenya is a sovereign nation

China is willing to support whatever shit Kenya does. As long as Kenya support China's backward policies. This is the political "non interference" China promotes across Africa.


ROMULO the more you talk about this the more you come out as shallow, incapable of thinking and stupid.

I love when trolls go emotional..
Anyways thank you! I didn't know i was so far smarter than you like this! :lol:

I don't care if they bought a canadian subsidiary, it's in Kenya and it just destroyed your argument that Kenya has nothing (resources) to offer to China.



do you even listen to yourself? i doubt it.

We're talking about China, no? anyways China is a major stakeholder in the project.

if you are going to talk about the transportation of the south sudan oil then you can be selective because even the japanese want to be involved in the that investment. so i ask you again, what about the japanese that want to do the same as chinese want to do?

China is willing to support whatever shit Kenya does. As long as Kenya support China's backward policies. This is the political "non interference" China promotes across Africa.

its called strategic alliance all nations do it, and if you dont agree with that, then since you smarter than i am please point out one country that doesnt have stratetigic alliances.

I love when trolls go emotional..Anyways thank you! I didn't know i was so far smarter than you like this!

if making unsubstantiated statements makes you smarter than i am then my all means i do not want to be smarter than you.

do you even listen to yourself? i doubt it.

Who cares if you doubt anything?


if you are going to talk about the transportation of the south sudan oil then you can be selective because even the japanese want to be involved in the that investment. so i ask you again, what about the japanese that want to do the same as chinese want to do?

Toyota won the contract to build the pipeline, it's a minor deal since most oil running trough it will end up in China, and again, China is co-financing it.

its called strategic alliance all nations do it, and if you dont agree with that, then since you smarter than i am please point out one country that doesnt have stratetigic alliances.

Tank you for admiting that neither Kenya nor China act independently when they support each other in controversial policies. You fully contradicted yourself.

if making unsubstantiated statements makes you smarter than i am then my all means i do not want to be smarter than you.

Yes for sure your IQ have to skyrocket before you be even able to make unsubstantiated statements.

Toyota won the contract to build the pipeline
it's a minor deal since most oil running trough it will end up in China, and again, China is co-financing it.

this is where i am going to call you out on your bullsh!t

What contract? who were the other bidders? when was the bidding begin and end? who are the parties included in the contract???

A country like Ghana is filled with resources, peace and a stable political entity, yet the country is impoverished. I like how western nations keep trying to point at Ghana as a success story, when any sane person can see Ghana is a tragic country shackled in debt. Ghana is a perfect lesson of what can go wrong when even everything goes your way.

nah

A country like Ghana is filled with resources, peace and a stable political entity, yet the country is impoverished. I like how western nations keep trying to point at Ghana as a success story, when any sane person can see Ghana is a tragic country shackled in debt. Ghana is a perfect lesson of what can go wrong when even everything goes your way.

It's considerably better than its neighbors. Almost at par with Kenya for HDI. .467 to .470.

Simfan,

1) Who is in your avatar?
2) You never told me why you loved Riga, or I didnt see it.

Simfan,

1) Who is in your avatar?
2) You never told me why you loved Riga, or I didnt see it.


Emmy Rossum. Remember her?
I said I didn't. It was a random avatar.

Emmy Rossum. Remember her?
I said I didn't. It was a random avatar.


strange kid :)

strange kid :)

Fair enough.

Great news. I like what scion showed us about China cancelling debt. Good choice, this loan will greatly develop infrastructure of Ghana like rail links and ports for transporting the oil. The world made a big deal when the DRC debt was cancelled, what about the debt China cancelled?

When I first saw the title I thought it said Gangsta signs $13 bln in Chinese loan deals :lol:

okay carry on...........