Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations
WBAA-AM is getting another upgrade! Starting August 11, tower maintenance may cause occasional signal disruptions for a few weeks. You can still hear WBAA News on 105.9 FM, at wbaa.org, or on the WBAA app. Thanks for your patience during this essential work.

China-Afghan oil deal ends amid charges of hostage-taking and contract breach

ARI SHAPIRO, HOST:

Four years ago this month, the Taliban regained control of Afghanistan and the U.S. withdrew. Chinese investors quickly stepped in as Kabul faced Western sanctions. Their first major investment was in oil fields, but that deal recently fell apart. The Taliban and the Chinese company are trading accusations at each other. As NPR's Anthony Kuhn reports, the saga sheds light on the often opaque relationship between Beijing and the Taliban.

(SOUNDBITE OF ARCHIVED RECORDING)

UNIDENTIFIED COMMENTATOR: (Speaking in non-English language).

ANTHONY KUHN, BYLINE: In 2023, Afghanistan's Ariana TV network news showed turbaned officials and hard-hatted engineers turning on oil wells in northern Afghanistan's Amu Darya River Basin. China and Afghanistan signed a 25-year contract to produce oil with China pledging to invest $540 million in the first three years. But after 2.5 years, the deal fell apart, with both sides blaming each other. Two Chinese employees of the joint venture, Afg-Chin Oil and Gas Limited, spoke with NPR. They requested that we not use their names or voices because they feared retribution from the Chinese government and the Taliban. We use voice actors to read their quotes. One employee explained what happened to his colleagues in June.

UNIDENTIFIED VOICE ACTOR #1: (As employee #1, reading) The Taliban forcibly took over our joint venture oil fields and unreasonably drove our Chinese personnel out of the oil field at gunpoint.

KUHN: He says the Taliban detained 12 Chinese employees in Kabul and confiscated their passports. In June, Afghanistan's Ministry of Mines and Petroleum said it was canceling the contract because the Chinese side didn't deliver promised investments or pay royalties on time. The Chinese company disputes this account. Their employee said the Ministry of Mines sent them a private verbal message offering a deal.

UNIDENTIFIED VOICE ACTOR #1: (As employee #1, reading) They told us, you give us a written pledge saying you're voluntarily terminating the contract and we're not forcing you to do it.

KUHN: He says that they also demanded that the Chinese side leave them all their equipment and their Kabul bank account with millions of dollars in it.

UNIDENTIFIED VOICE ACTOR #1: (As employee #1, reading) If you do these three things, I reckon you'll get your passports back quickly.

KUHN: The Ministry of Mines and Petroleum did not respond to repeated requests for an interview. One Afghan source with direct knowledge of the situation confirmed that Chinese employees' passports were confiscated, but denies they were detained. He requested that his name and voice not be used because he wasn't authorized to speak to the media.

(SOUNDBITE OF JET FLYING OVERHEAD)

KUHN: After the U.S. withdrawal four years ago, China was the first country to appoint an envoy to Afghanistan. A second Chinese employee said his company did not invest in Afghanistan just for financial gain.

UNIDENTIFIED VOICE ACTOR #2: (As employee #2, reading) We had hoped that we could help them develop, improve citizens' lives and help their interim government to function and be stable. Their stability is good for China and China's Xinjiang region.

KUHN: Xinjiang borders eastern Afghanistan. The second employee says the oil fields created thousands of jobs and millions of dollars in revenue for the Afghan government, but the Taliban was still not satisfied.

UNIDENTIFIED VOICE ACTOR #2: (As employee #2, reading) Their business mindset does not include win-win outcomes. Like a bandit committing a robbery, they think, if I like it, then it's mine.

KUHN: Last week, the two employees told NPR the Taliban let eight Chinese employees return to China while four remain in Kabul, and it's not clear when they'll be able to leave. This happened as Chinese Foreign Minister Wang Yi was visiting Afghanistan. The Chinese embassy in Washington said they were not aware of this case but attach importance to protecting Chinese nationals overseas. Former Afghan diplomat Omar Samad says both countries need to protect their long-term interests in good relations.

OMAR SAMAD: I think that both sides, not just the Afghans, may want to be a bit more sober about this and realize that this one particular deal may jeopardize overall relations if it's not handled properly.

KUHN: Afghanistan says it's open to partnering with other foreign investors to operate the Amu Darya oil fields. But the Chinese employees warned that unless the Taliban treat foreign investors better, they're unlikely to find any new partners.

Anthony Kuhn, NPR News. Transcript provided by NPR, Copyright NPR.

NPR transcripts are created on a rush deadline by an NPR contractor. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.

Anthony Kuhn is NPR's correspondent based in Seoul, South Korea, reporting on the Korean Peninsula, Japan, and the great diversity of Asia's countries and cultures. Before moving to Seoul in 2018, he traveled to the region to cover major stories including the North Korean nuclear crisis and the Fukushima earthquake and nuclear disaster.