China Wins Afghan Oil Contract

Foreign Policy Association/ by Jeff Myhre  

Any suspicions that the US went into Afghanistan to secure access to resources went out the window last week. On Wednesday, Tom A. Peter over at the Christian Science Monitor reported, “China’s National Petroleum Corporation became the first foreign company to tap into Afghanistan’s oil and gas reserves. Chinese officials have estimated that the deal could be worth at least $700 million, but some say China could earn up to 10 times that.”

That foreign companies would exploit Afghanistan’s natural resources was inevitable. After 30 years of war, local firms just don’t have the ability in terms of talent or money to do the job themselves. Abdul Rahim Hashami, CEO of the New Afghan Petroleum Company told Mr. Peter, “I don’t think any Afghan companies have the business background or experience related to this…. The only thing that I can hope, is that Afghans are in some way a part of it, as partners or used in one way or another so Afghans can be a part of the project.” I am old enough to remember when that was called “neo-colonialism.”  More >>