Nigeria: China's Investments in Country Hit $3 Billion

16 September 2008 Posted to the web 16 September 2008. By Chinwe Ochu in Abuja. China's current investment in Nigeria stands at $3 billion while bilateral trade as at the end of 2007 amounted to $4.3 billion, making Nigeria the third largest trading partner of China in Africa. This was disclosed in a statement issued by the Ministry of Foreign Affairs entitled "Brief on Nigera-China Relations", which was released after the visit of a Chinese delegation to the Ministry. The statement said:"Nigeria and China are committed to engaging each other meaningfully in mutually beneficial economic cooperation by boosting trade and investment. China's current investment in Nigeria stands at $3 billion while bilateral trade as at 2007 was $4.3 billion, making Nigeria the third largest trading partner of China in Africa." Minister of State for Foreign Affairs, Mr. Tijani Kaura, said that the 7-man Chinese delegation, which was led by Mr. Qi Xuchun, Vice Chairman Committee of Foreign standing Committee of the People's Republic of China, were in Nigeria to help in improving the bi-lateral relations between the two countries. "They are here in the Ministry- the gateway to the other nations to pay a visit to improve on their relationship with Nigeria. Also, members of the Chinese legislature are here to see how we are fairing in that regard. Relations between Nigeria and China have been very cordial and active." He continued: "I think we have laid a solid political stronghold. China is a country that is into conflict resolution just like Nigeria. It is also a country that engages in a large volume of trade. So it is no wonder that Nigeria is ever willing to partner with China. They are also here as a return visit to Nigeria since the President visited China earlier this year. "China is the most populous country in the world while Nigeria is the most populous in Africa. We have a lot in common." Earlier in February 2008, President Umaru Musa Yar'Adua visited China and entered into a financial agreements with them in the hope of achieving Vision 2020.

Royal Dutch Shell confirmed on Tuesday an attack on one of its crude oil pipelines in Nigeria, further disrupting production in the world’s eighth largest oil exporter. The Movement for the Emancipation of the Niger Delta, which declared an ”oil war” against oil companies and the military on Sunday, said it had attacked the pipeline at Degema in Rivers state late Monday. ...The Movement for the Emancipation of the Niger Delta attacked a Royal Dutch Shell oil pipeline and Chevron-operated oilfield late Monday and early Tuesday morning, the sources said. But a military spokesman dismissed Mend’s claims, saying there were no security breaches. The latest kidnap victim, a former employee of the petrochemicals firm Indo Rama, was seized late on Monday, the sources said. No group has yet claimed responsibility. More than 200 foreigners have been kidnapped in the Niger Delta, the heart of the country’s oil sector, since early 2006. Almost all have been released unharmed. The oil market, focusing on the impact of the credit crisis on the global economy, has largely ignored the escalation in violence in the world’s eighth largest oil exporter. Prices on Tuesday traded at a seven-month low near $92 a barrel. Militant group Mend - which has been responsible for attacks that have cut a fifth of the Opec member’s output since early 2006 - said it had destroyed ”a major crude oil pipeline...belonging to the Shell Petroleum Development Company” with high explosives. ...Some security sources in the oil industry estimate more than 100 people may have been killed in recent clashes, which have spread to at least seven villages in Rivers state. The military says militants have incurred ”heavy losses,” but have declined to elaborate. Mend says at least 29 people, most of them soldiers, have died. Militants have bombed pipelines, platforms, gas plants and oilfields, shutting up to 115,000 barrels per day of oil production in the last four days, government officials said. The violence has prompted Shell to reduce the number of employees at some of its Nigerian oilfields. An industry source said nearly 100 staff have been evacuated.