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Somaliland In Trade Deal with China, Ethiopia
China To Help Expand Somaliland's Main Port
By AWEYS CADDE 08/14/2011
A delegation from the self-declared state of Somaliland, led by President Ahmed Mohamed Silanyo, and another one from Ethiopia on Saturday met with Beijing officials in a bid to lure Chinese investors, aides said on Sunday.

According to President Silanyo’s official spokesman, Abdulahi Mohamed Dahir Ukuse, delegates at the meeting, held in the Chinese capital, discussed a wide range of issues ranging from trade, economic cooperation to mutual relations amongst people of the three sides,

He said Somaliland had reached a trilateral agreement with Ethiopia and China on gas and oil exploration as well as other logistical issues.

Ukuse said representatives from the three sides had agreed that oil and gas finds from Ethiopia would be exported to China via Somaliland’s port of Berbera, while the Chinese government would help with the construction of a pipeline connecting Ethiopia to the port of Berbera.

“In addition to the agreement, the Chinese government will build a railway line and road networks in Somaliland and expand Berbera port,” he said.

Ethiopia is currently exploring its potential in oil and gas resources.

The treaty will be officially signed in the next few days in a ceremony to be attended by leaders from all the three sides, said the spokesman.

Berbera port is strategically located at the mouth of the Red Sea. It falls at the center of Africa, Asia and the Middle East.

If the agreement is implemented the port is expected to become the main port of Somaliland and landlocked Ethiopia.