Chinese mining company skips Sudan’s Kassala, equipment seized

The Kassala government has seized equipment and machinery after a Chinese mining company ‘suddenly disappeared’ from the state.

In a public statement by the media office on Sunday, the Wali of Kassala, Adam Jamaa denied any responsibility by the government, explaining that the deal struck with the Advanced Gold Mining Company Limited was not made under his governorship.

According to documents widely published in social media, the company involved is the Advanced Gold Mining Company Limited, a Sino-Sudanese company with a 52 per cent partnership for Sudanese owners.

According to the documents, the state government enticed the Chinese partners to disengage their partnership with Sudanese businessmen and sign a contract with the state government in the name of Kassala Mining Company. This subjected the Chinese partners to legal issues that led to their departure for fear of legal accountability.

The Chinese technical and administrative crews left behind equipment and machinery with an estimated value of $25 million.

The Wali’s statement confirms “the escape of the Chinese company after smuggling what it had found at the metal field at Batelkok area.”

It says that the state security committee has declared all the machinery forfeit to the state government, and has informed the federal Ministry accordingly.

The state has also formed a committee headed by the Finance Minister to sue the company.