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Chad's president on Saturday ordered oil companies Chevron Corp. and
Petronas to leave the country, saying neither has paid taxes and his country
will take responsibility for the oil fields they have overseen.
In remarks on state-run radio, President Idriss Deby gave the companies - part
of the African country's oil production consortium that is led by Exxon Mobil
- a deadline of just 24 hours to start making plans to leave.
"Chad has decided that as of (Sunday), Chevron and Petronas must leave
Chad because they have refused to pay their taxes," Deby said in a message
broadcast on state-run radio.
Deby said Chad, which is one of Africa's newest oil producers and is setting
up a national oil company, would take over the oil fields that have been overseen
by the American and Malaysian companies.
The oil fields account for some 60 percent of its oil production.
Sabri Syed, a spokesman for Kuala Lumpur-based Petroliam Nasional Berhad, said
he could not comment on Deby's announcement.
Chevron said in a statement it had not been behind on any tax payments and
had not been told it must leave Chad.
Mark D. Boudreaux, a spokesman for Exxon Mobil, told The Associated Press by
e-mail that neither his company, nor affiliate Esso Chad has been asked to leave
the country.
If the two companies are evicted, Chad could seek help from China, which has
taken an active interest in Africa in its search for raw materials such as oil
and metals
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Chad's President Suspends 3 Ministers
BayNews9.com
Chad's president suspended the oil minister and two other Cabinet members who
negotiated deals with two foreign oil firms that he ordered out of the country
for failing to pay taxes, officials said Sunday.
President Idriss Deby suspended the three ministers on Saturday after telling
California-based Chevron Corp. and Malaysian company Petronas that they owed
Chad $450 million in taxes and should begin making plans to leave, a government
official said, speaking on condition of anonymity because he is not authorized
to release information to the media.
The two firms are part of an oil production consortium led by Exxon Mobil.
Oil Minister Mahmat Hassan Nasser, Planning Minister Mahmat Ali Hassan and
Livestock Minister Mockhtar Moussa were suspended because they negotiated the
terms of the agreements with Chevron and Petronas.
The ministers made no public statements Sunday. It was unclear how and when
Chad may enforce the expulsion order, which was announced by Deby in a message
broadcast on state-run radio.
Petronas said Sunday that it had not received notification of the order. Malaysian
Prime Minister Abdullah Ahmad Badawi also said Hassan Merican, the president
of Petronas, was trying to obtain more information from the company's office
in Chad.
"Let Petronas get the information on how this could have happened,"
Abdullah was quoted as saying by Malaysia's national news agency, Bernama.
Chevron said in a statement Saturday that it had not been behind on any tax
payments and had not been told it must leave Chad.
"Chevron has not received any official notification from the Republic
of Chad government asking Chevron to leave the country over tax issues,"
the statement said. "However, Chevron has been in full compliance with
all of our tax obligations."
Mark D. Boudreaux, a spokesman for Exxon Mobil, told The Associated Press by
e-mail that neither his company, nor affiliate Esso Chad has been asked to leave
the country.
Oil and livestock are the mainstays of impoverished Chad's economy, and the
fields overseen by Chevron and Petronas account for some 60 percent of the country's
oil production. Deby said Chad would assume their production responsibilities.
Exxon Mobil, along with Chevron and Petronas, had agreed to finance a 660-mile
underground pipeline from landlocked Chad to the Atlantic port of Kribi, in
Cameroon.
Exxon Mobil has a 40 percent stake in the $4.2 billion pipeline project, while
Chevron and Petronas each have 30 percent.
In return, Chad receives about 12.5 percent of the profit made on each barrel
exported. The annual profit from the pipeline is estimated at $120 million for
the next 25 years.
If the two companies are evicted, Chad could turn for help to China, which
is seeking deals with oil-producing countries in Africa and is heavily involved
with neighboring Sudan.