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Vice Minister Qian Keming and Chad’s Minister of Foreign Affairs, African Integration and International Cooperation Hissein Brahim Taha Jointly Preside over the Second Meeting of China-Chad Joint Economic and Trade Committee |
Chad’s natural resources include petroleum, gold, natron,
uranium, limestone, sand, gravel, kaolin and salt. Its mining sector is yet to
develop to its fullest potential.
Overview of Resources
Chad’s mineral industry is monitored by the Ministère des
Mines et de la Géologie and the Ministère du Pétrole et de l’Énergie and is
regulated by the Mining Code.
Production of hydrocarbons has dominated Chad’s economy. The
other mineral commodities produce Chad include gold, lime, limestone, soda ash,
cement, clay, salt, sand, and stone. Most of these were produced by small-scale
local mining companies. The exploration and production of crude oil was handled
mostly by foreign companies.
Manufacturing
In the early 21st century, much industrial development centered
around the exploitation and production of oil. Many established industries,
such as cotton ginning, slaughtering, and the milling of wheat and rice, are
associated with agriculture. Secondary industries are few and rely on imported
materials.
Finance and trade
Chad is linked together with several other countries in
central Africa in the Central African Economic and Monetary Union. The monetary
union uses a common currency, the CFA franc, which is issued by the Bank of
Central African States. It was pegged to the euro in 2002.
Industrial Minerals and Gemstones
In 2011, Chad’s first cement plant began operations. The
200,000 Mt/yr-capacity plant is owned by Ciment du Tchad and would likely ease
Chad’s dependence on imported cement.
Fossil Fuels
Chad’s total oil reserves are estimated to be about 1.5 bbl.
Djermaya petroleum refinery, which is the country’s first
petroleum refinery, is owned by a joint venture consisting of Société des
Hydrocarbures du Tchad S.A. and CNPC International (Chad) Ltd. Experts believe
that the output from the Djermaya oil refinery will help reduce Chad’s
dependence on imported petroleum products.
The oil sector has managed to attract several foreign
investors. Recent reports state that global giant Glencore has invested $331
million in many of Chad’s oilfields. Other international companies operating
many oil fields in Chad are as follows:
• Petronas
of Malaysia
• ExxonMobil
• Chevron
In 2011, Esso Chad expanded its production capacity by
drilling 69 more oil wells. In total, the company operated 633 production wells
in Doba Basin oilfields region.
In the same year, Overseas Petroleum Investment Corp.
(OPIC), a subsidiary of CPC Corp., Taiwan, drilled a new oil reservoir. Based
on exploration studies, the company estimated that the reservoir contained 100
million barrels of crude oil. OPIC also planned to conduct exploration drilling
activities on the BCOIII, the BLT1 and the BCSII concessions.
Investment
As Chad’s oil sector is stable and progressing well, the
government of Chad is now trying to promote mineral exploration in the metal
mining sector.
