Transcript

JANET LIAO
Actually, China's relationship with Sudan started from 1950s. Then, Sudan was one of the first African countries to recognise the People's Republic of China. So there was a political kind of friendly relationship between the two countries for a long time. But initially, the PRC was quite weak economically and also even politically internationally. So actually, Sudan didn't have much dealing with China until the 1970s when Soviet Union fell off with Sudan. So those bilateral relationships was collapsed. Then, China became a player in Sudan's politics. But then still not until the '80s, Sudan and China has got some trading relationships, which was mainly aimed at arms trade. It was not in the big scale, but that was an initial stage of the two countries to have a trade relationship. When the energy companies started to engage with Sudan, there were two versions, I think, to be presented here. One was that if you ask the oil company people, they said, OK, even before the states encouraged them to go to Sudan, already the Zhongyuan oil field, which is in the middle of China associated with Sinopec. They had difficulties inside China to find more oil and resources and to sustain their business development, so they wanted to go out to find opportunities. So even before the government's instructions, they started to go to Sudan actually with their provincial dedication to explore the opportunities, whether they could have new opportunities outside. So they went to Sudan in 1994. But then in 1995, the Sudan president visited China. And that time, he formally asked the Chinese government to help with their oil development after the international oil companies withdraw from Sudan, not completely, but largely. So then from that time, if you look at official documents, the Chinese government sent CNPC teams to Sudan to explore whether the geological conditions would fit with the Chinese technology. Then they found everything fit quite well because the Sudan geological condition there was quite similar to China's starting oil field. So later on, they just started to develop the oil fields business in Sudan.Then, during the past almost more than two decades, the CNPC led this joint venture in Sudan, Greater Nile Oil Cooperation, has actually helped Sudan to build not only its independent upstream industry but also the world downstream industry established as well. So that was viewed as a success by the Chinese side and also by the Sudanese government, I guess.