Sao+Tome+and+Principe

=media type="custom" key="24401266" align="right"= =Unlikely China Will Increase Investment in PNGSM in Sao Tome and Principe=

Executive Summary:
China is unlikely to increase PNGSM investments in Sao Tome and Principe over the next five years. According to CIA World Fact Book and US Energy Information Administration, Sao Tome and Principe has zero proved natural gas reserves, oil reserves, and strategic minerals. In the past five years, there have been no Chinese infrastructure projects taking place in the country. However, in 2001 Nigeria and the Democratic Republic of Sao Tome and Principe signed a formal treaty for the joint development of petroleum in the overlapping area of their respective maritime boundary claims. Addax, a subsidiary of Sinopec, between 2005 and 2007 gained holdings in the joint development zone of JDZ Block 1. Addax holds 42.37 percent working interest in the block, which is located approximately 186 miles of offshore Nigeria and it covers an area of 174,000 acres, and 2 exploration wells have been drilled in 2012.



** Analytic Confidence: **
Analytic confidence is medium. Source reliability ranges from medium to high. There is no conflict between sources. The analyst had low expertise on the subject, worked alone while also collaborating with a group, and did not use a structured analytic method. The subject is moderately complex and the deadline was moderately easy to meet.
 * Analyst:** RoseAnna Wright