VZCZCXRO0695
RR RUEHGI
DE RUEHNJ #0666 2270848
ZNR UUUUU ZZH
R 150848Z AUG 07
FM AMEMBASSY NDJAMENA
TO RUEHC/SECSTATE WASHDC 5625
INFO RUEHAR/AMEMBASSY ACCRA 0520
RUEHGI/AMEMBASSY BANGUI 1415
RUEHBJ/AMEMBASSY BEIJING 0055
RUEHDK/AMEMBASSY DAKAR 1350
RUEHKH/AMEMBASSY KHARTOUM 0482
RUEHLC/AMEMBASSY LIBREVILLE 1023
RUEHLO/AMEMBASSY LONDON 1728
RUEHFR/AMEMBASSY PARIS 2234
RUEHYD/AMEMBASSY YAOUNDE 1594
RHEBAAA/DOE WASHDC

UNCLAS NDJAMENA 000666 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
DEPT OF STATE/OES - FOR JEFF MIOTKE AND ANN COVINGTON; EAP 
- FOR JOY YAMAMOTO; EEB - FOR TED SAEGER; DEPT OF ENERGY - 
FOR CAROLYN GAY; PARIS AND LONDON - FOR AFRICA WATCHERS; 
ACCRA - FOR GEOFFREY HUNT (REO) 
 
E.O. 12958: N/A 
TAGS: CD CH ECON EINV SENV PHUM
SUBJECT: CHINA'S RETURN TO CHAD: ENVIRONMENTAL ASPECTS 
 
REF: A. A) STATE 93848 
     ¶B. B) NDJAMENA 419 
 
 ¶1.  (SBU) SUMMARY: After a nine-year hiatus, China (PRC) and 
Chad renewed diplomatic relations in 2006.  According to the 
Chinese Embassy's Economic and Commercial Counselor, China is 
adhering to all Chinese and Chadian environmental and social 
laws as it enters the energy and agricultural sectors.  China 
has started exploring for oil and is discussing an oil 
refinery project with the Chadian government.  As China has 
only recently returned to Chad, it is too soon to assess the 
environmental impact of its commercial activities in Chad. 
END SUMMARY. 
 
¶2.  (SBU)  Econoff met with Huang Mingyuan, Economic and 
Commercial Counselor at the Chinese Embassy in N'djamena, to 
discuss Chinese activities in the natural resources sector. 
Mr. Huang arrived in Chad eight months ago (shortly after 
China and Chad restored diplomatic relations.)  Mr. Huang 
said the Chinese oil company, CMPC, purchased the oil field 
("H") previously owned by the Canadian firm Encana.  CMPC is 
doing seismic studies of the area and expects an analysis of 
the results to be ready in 2008.  He said the company's 
management routinely meets with the local residents when 
starting such projects, to explain the project and to listen 
to their concerns.  He said they also often give out 
donations such as cement and school supplies (books, pens, 
etc.). 
 
¶3.  (SBU) According to Mr. Huang, an independent Chinese 
company is discussing with the Chadian government a 
joint-venture to build an oil refinery.  He said they would 
first do a feasibility study for the refinery which would 
produce one million tons of refined oil per year.  The 
company has identified an area for the project on the 
outskirts of N'djamena. Mr. Huang pointed out the company had 
studied the location and the prevailing wind direction and 
believed it would be good from an environmental standpoint as 
it would not affect the nearby residents. 
 
¶4.  (SBU)  China is also working in the agricultural sector 
in Chad with a focus on rice production.  In Bongor (southern 
Chad) and outside N'djamena, the Chinese are providing new 
farming equipment, repairing irrigation systems, training, 
and technical assistance to improve the rice yields. 
 
¶5.  (SBU) When asked how Chinese firms comply with 
environmental laws, Mr. Huang replied all Chinese companies 
must respect Chinese and Chadian laws. All Chinese companies 
are officially registered in Chad.  He commented that China 
is often accused of "colonizing" Africa and exploiting the 
continent for its own benefit.  He said these critics don't 
understand Chinese policies.  The goal of China's assistance 
is to improve Africans' quality of life.  Econoff asked about 
criticisms of China's human rights record and Mr. Huang 
answered China had met its own goal of meeting the basic 
needs of its huge population, including the right to food and 
shelter.  China does not interfere in other country's 
internal affairs. 
 
------- 
COMMENT 
------- 
¶6.  (SBU)  As China has only recently returned to Chad, it is 
too soon to assess the environmental impact of its commercial 
activities in Chad.  Our interlocuteur, Mr. Huang, had his 
talking points well-prepared and was aware of the prevailing 
critiques of China's role in Africa from an environmental and 
human rights perspective.  It is probably true that Chinese 
firms are abiding by Chad's environmental laws currently on 
the books.  However, given the weakness of the rule of law 
here, this claim does not mean much in practice. 
TAMLYN