Chinese and Egyptian officials on Wednesday laid foundation
stone for a joint project to manufacture oil drills, which is the
first land oilrigs plant in the Middle East region.
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Jointly laying the foundation stone with Chinese ambassador to
Egypt Wu Sike, Egyptian Minister of Petroleum Amin Sameh Samir
Fahmi told Xinhua that the project in Suez northwestern industrial
zone, about 120km east of Cairo, is a successful story, expecting
more Chinese investments in the oil sectors of Egypt as the
bilateral cooperation is practical and mutual benefit.
Fahmi also expressed Egypt's keenness to learn China's
technology and developing experience to promote Egypt's social and
economic progress.
For his part, Ambassador Wu praised the progress the joint
venture has made, reviewing that the memorandum of understanding
was signed last October, the contract signed in last December and
the venture can start to produce drills only half a year later.
The Chinese side of the joint venture was Sichuan Honghua
Petroleum Equipment Co., Ltd while the Egyptian side was three
companies, which included an engineering company of oil and oil
processing, an oil consultation company and a petroleum
company.
According to their contract, the two sides invested US$15
million each and the joint venture will manufacture three oil
drills by 2007 and 53 in the coming four years (2008-2011).
Earlier statistics from China's customs showed that trade volume
between the two countries reached US$3.19 billion in 2006, up 48.8
percent year-on-year. Egypt has become China's fourth largest trade
partner in Africa.
The investment of Chinese companies in Egypt registered as
US$300 million, involving sectors such as oil and communication,
and created more than 6,000 jobs for the local people.
(Xinhua News Agency May 31, 2007)
