From the Afghan thread: Chinese group wins rights to Afghan

#1
http://www.arrse.co.uk/cpgn2/Forums/viewtopic/p=1640936.html#1640936

FT.Com
Chinese group wins rights to Afghan copper
By Jon Boone in Kabul and Geoff Dyer in Shanghai

Published: November 21 2007 02:00

A state-owned Chinese company has won the right to develop a large copper deposit in Afghanistan after agreeing to invest $3bn (€2.02bn, £1.45bn) in the project, the Afghan mines minister yesterday announced .

The deal is the largest foreign investment in Afghanistan's history and will give China Metallurgical Group (MCC) the right to extract high-quality copper from the Aynak copper field near Kabul.

The company will pay the Afghan government $400m a year to exploit what some geologists think could be the world's biggest copper deposit.

"This is the biggest investment in Afghanistan's history and 10,000 people will be employed to work there," said Ibrahim Adel, Afghanistan's mines minister.

"We estimate there are 13m tonnes of copper present," said Mr Adel. The minister said that figure might rise to 20m tonnes. At today's prices the value of the copper would be $30bn, according to some estimates.

Years of war in Afghanistan have ensured that the deposit has remained largely untouched since Soviet geologists surveyed the field in 1979.

Enormous obstacles need to be overcome before the site, which lacks either power or transport links, can be properly exploited.

MCC will first have to build a power station to run power to the mine and find coal deposits to fuel the power station. Excess electricity from the station will power Kabul, which, at present, enjoys only a few hours of electricity a day.

The Chinese offer beat four other shortlisted bids -Strikeforce, part of Russia's Basic Element Group, the London-based Kazakhmys Consortium, Hunter Dickinson of Canada and US copper mining firm, Phelps Dodge. The $3bn bid surprised some analysts in Kabul who were expecting the tender to go for less than $2bn.

The high-profile Aynak deal has been seen as a litmus test of how the country deals with the international mining industry. Concerns were raised by the World Bank about the bidding process, which had been ongoing for more than two years. Yesterday, the bank said it was broadly happy with the way the process had been conducted.

MCC is one of the largest state-owned companies in China, with activities ranging from engineering and property to pulp and paper and mining.

The group, which made net profits of more than Rmb3bn ($404m, £196m, €273m) in 2006, says it has invested $1bn in overseas mining operations in countries including Brazil and Pakistan and in resources ranging from iron ore and copper to gold and nickel. Its largest division is in equipment manufacturing, where it is one of the world leaders in manufacturing machinery for steel plants.

According to reports in the Chinese media, MCC bid for the contract in Afghanistan in collaboration with two other Chinese mining groups, Jiangxi Copper, the biggest copper producer in the country, and Zijin Mining Group, China's leading gold mining company
Very interesting, I wonder who will provide security for this? Will China play a role in Afghanistan?
 
#2
eveyoz said:
Very interesting, I wonder who will provide security for this? Will China play a role in Afghanistan?
To answer your questions Chinese 'P'MC's will provide security and China is already involved In Afghanistan and will be to an increasing extent. Remember that China has a problem with Islamic types (to which they apply radical but effective solutions) and don't want AQ to control their next door neighbours.
 

Biped

LE
Book Reviewer
#3
AQ will probably have a pop at the Chinese PMC once, and then they won't be able to anymore - that's my thoughts.
 
#4
Because of Chinas one child policy and people actively preferring boys China now has approx 30 million young males who have no chance of finding a wife or girlfriend. The Govt has identified this as a possible serious source of social instability, as a result it only allows unmarried individuals to do the most dangerous jobs.

It is not beyond possibility that if the situation in Afghanistan seriously deteriorates and threatens China's interests (i.e. raw materials or just AQ on the border shipping smack), that substantial numbers of Chinese PMC employees could be deployed; not the PLA but more of a sort of Iraq PMC ‘off the books’ stylee thingy.
 
#5
armchair_jihad said:
eveyoz said:
Very interesting, I wonder who will provide security for this? Will China play a role in Afghanistan?
To answer your questions Chinese 'P'MC's will provide security and China is already involved In Afghanistan and will be to an increasing extent. Remember that China has a problem with Islamic types (to which they apply radical but effective solutions) and don't want AQ to control their next door neighbours.
I'm sorry, could you explain the term "Chinese 'P'MC's"? Any links to info about them.

Ta

:)
 
#6
eveyoz said:
I'm sorry, could you explain the term "Chinese 'P'MC's"? Any links to info about them.
As in Chinese Private Military Companies, the 'private' is in commas because they are not private in the Western sense of the word, only employed on Chinese owned projects aboard. No links as they don't advertise.
 
#7
Chinks vs. AQ... I know which side I'd put my spodulicks on..
 
#8
Bravo_Bravo said:
Chinks vs. AQ...
It will happen within our lifetimes.....never forget when the chips are down China regards itself as a member of the first rank of secular, developed 'western style'(and white) Countries - the US, EU etc.

Unlike Russia, China is not paranoid and defensive to the point of deep throating Islam to spite the nasty westerners (alrite Vlad )
 
#10
Hopefully this brings some money into the Afghan economy, god knows it's desperately needed
 
#12
eveyoz said:
If China start to have a real and current interest in 'stan I wonder how this will affect Iran's meddling there.
That'll depend on whether China needs oil more or less than copper. I personally suspect they'll need copper more for the kind of high-tech society they're going for. Oil fired power plants are being replaced by coal and nuclear, although if Iran discovers uranium deposits, all bets are off.

I don't for a minute doubt they'd be happy enough to see the mullahs slapped down, since as a_j mentioned, they have their own easily-radicalised Muslim minorities in the far West and North of the county. But I doubt they'll be too far forward in taking the fight to the Taliban - strictly defensive in military terms. Those surplus males are still somebody's son and we've seen in the past how Johnny Public react to pointless the deaths of their old-age fund. Look what a blow the first disastrous war with Vietnam was to the Party.
 
#13
A Chinesse PMC, it'll be like Blackwater but with less regard for the lifes of innocent civvies.

I'm sure they will deal with any AQ attacks in a way the westen militaries wouldn't allow.
 

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