ZAMBIA IN TALKS WITH SAUDI ARABIA ON POSSIBILITIES OF SEALING A DEAL FOR IMPORTATION OF CHEAP OIL
By Balewa Zyuulu
Energy Minister Peter Kapala has disclosed that government has renewed talks with the government of Saudi Arabia to see how best they can seal a deal for importation of cheap oil from that country.
In the previous regime, procurement discussions of the Saudi oil hit a stalemate despite the Saudi Fund for development offering the Zambian government a loan of us$20 million towards the supply of petrol and diesel by the Saudi Aramco Product Trading Company up to the port of Dar-es-salaam, as there were no tangible results yielded.
In an interview with Phoenix News, Mr. Kapala says talks with that government have resumed and have since reached an advanced stage which when concluded will contribute to the growth of the economy as the supply of fuel from that country will help to cushion against fluctuations in prices of the commodity.
Mr. Kapala says government is still keen on procuring large volumes of the commodity to hedge against external shocks in the fuel sector.
He says it is for this reason that government is also in talks with the Angolan government on the possible collaboration in the establishment of the refinery plant to enable Zambia have a say on the price of the commodity to be sold.
PHOENIX NEWS