KABUL: The Ministry of Mines and Petroleum has announced the cancellation of the oil extraction contract for the Amu Darya region with the Chinese company Afshin.
Homayoun Afghan, spokesperson for the ministry, stated on Tuesday that the 25-year contract was terminated due to repeated violations of obligations by Afshin.
He mentioned that a joint committee from relevant ministries and agencies found that Afshin had breached the agreement multiple times and failed to meet its commitments.
This contract was signed at the beginning of 2023 between the Taliban government and the Chinese company for oil extraction in the provinces of Sar-e-Pul, Faryab, and Jawzjan.
Afshin was expected to invest $150 million in the first phase and a total of $540 million over three years.
The Ministry of Mines has invited international consulting firms to express their interest in conducting legal and technical assessments of this project.
