China, Nigeria Discuss Investment in Oil, Electricity

Jan. 8 (Bloomberg) — Chinese and Nigerian officials held discussions about China increasing investment in the West African country’s electricity and oil industries.

Chinese Foreign Minister Yang Jiechi, on a six-nation tour of Africa and the Middle East, met his Nigerian counterpart, Ojo Maduekwe, in the capital, Abuja, today. Issues discussed included further investment in power transmission and generation and in oil exports, the Nigerian Foreign Ministry said in a statement. China is also helping to repair the rail system and develop communication satellites for Nigeria, the ministry said.
China needs to “import oil from other countries, including Nigeria,” Yang said at a news briefing. “A lot more can be done,” he said without providing details.

China is increasing its investment in African energy and minerals to feed its growing economy. In 2008, the country invested $7.8 billion in the continent. At a summit in November, China said it will offer $10 billion in preferential loans to Africa over the next three years to develop infrastructure and social programs. It also plans to write off the debt of some of the poorest nations.

Nigeria is Africa’s biggest oil producer. Since 2006, China’s energy companies have announced plans to spend at least $16 billion on oil and gas fields on the continent.

Bloomberg