Poly Technologies provides $45.4 million supplier credit — via PTI-AL — to CAR Ministry of Mines for Block A Oil and Gas Mining Exploration and Exploitation Project (Linked to Project ID#86523)

On October 4, 2007, PTI-IAS — a Qatari-Chinese joint venture between the Doha-based IAS International (40% ownership stake) and Poly Technologies Inc. (60% ownership stake) — and the Government of the Central African Republic (CAR) signed an oil and gas exploration and exploitation contract, which specified that PTI-IAS would provide $16 million in ‘bonuses’ to the Government of the CAR. The contract was signed by the then-CAR President's nephew and Minister of Finance “Colonel” Sylvain Ndoutingai. 9 days later, on October 15, 2007, the President of the Central African Republic (CAR), signed Presidential Decree No. 07-298, which granted PTIIAS Petroleum Holding Company (also known as PTI-IAS) oil and gas exploration & exploitation rights over a 21,210 square km concession located in the northeast of CAR. The concession area is known as Block B. It is located to the east of Block A in the Vakaga prefecture around Birao. Then, on July 22, 2011, PTI-AL — a wholly-owned subsidiary of Poly Technologies Inc. (a Chinese state-owned military and civilian equipment company) — and the CAR Ministry of Mines signed a production sharing contract for the exploration and exploitation of a 24,910 square km concession area in Bamingui-Bangoran region (N'Délé) known as Block A. It was granted a 4-year, renewable hydrocarbon exploration license (PRGH) via Decree No. 11.289 on November 2, 2011. As part of the Block A Oil and Gas Mining Exploration and Exploitation Project, PTI-AL signed a $45,400,000 supplier’s credit (loan) agreement with the Ministry of Mines of the Central African Republic on September 16, 2011. This loan is captured via Project ID#95680. The loan was expected to be disbursed in three equal installments over three years. The borrowing terms of the loan are unknown. PTI-AL also agreed to donate 5 pickup tricks and provide a $10 million bonus to the Ministry of Mines of the Central African Republic. The first phase of the Block A Project (known in French as as Projet PTI-AL) and the first phase of the Block B Project (known in French as as Projet PTI-IAS) were completed between 2007 and 2011. Seismic prospecting was initiated in Block B by ZPEB International (a Chinese drilling company) on January 18, 2011, and an official ceremony was held in Birao. The ceremony was attended by President Bozizé and officials from the Chinese Embassy just five days before presidential elections. Then, in June 2016, PTI-AL and PTI-IAS dispatched equipment north of Ndélé and near Boromata (Vakaga prefecture) pending the resumption of surveys. The installations were protected by the men of General Adoum Katon, one of the leaders of the FPRC, a branch of the ex-Séléka. They were recruited by Site Protection, a Central African security company headed by Christophe Gazam Betty, a former minister of Michel Djotodia. PTI-AL and PTI-IAS suspended Block A and Block B works in 2018 due to a force majeure situation. Then, on December 27, 2019, CAR President Faustin-Archange Touadéra inaugurated a building donated by Poly Technologies Inc. (via PTI-AL and PTI-IAS). CAR Minister of Mines and Geology Léopold Mboli-Fatrane and Prime Minister Firmin Ngrebada were present at the ribbon-cutting ceremony. The four story building, with 42 fully furnished rooms equipped and powered by an autonomous solar energy unit, was built by the Shanxi CEG Construction Group (山西建筑工程集团有限公司) at a total cost of CFA 1.499 billion over a construction period of 9 months. The building was meant to house the various departments of the CAR Ministry of Mines and Geology. The donation is captured via Project ID#86523.

Additional details

1. The Chinese project title is 中非共和国A、B区块项目.

Number of official sources

5

Number of total sources

17