The Taliban’s Ministry of Mines and Petroleum has announced the termination of the Amu Darya oil field extraction contract with Chinese company CAPEIC due to repeated violations.
This announcement was made on Tuesday, June 17, 2025, through a press release, which stated that the original contract had been signed for a 25-year period with the Chinese company.
According to the press release, joint committees were established to investigate contract violations, and these committees determined that CAPEIC had repeatedly violated terms and failed to fulfill its obligations.
Consequently, the Taliban decided to terminate this significant energy extraction agreement that was once hailed as a major foreign investment.
The Taliban has invited international consulting firms to conduct a legal assessment of the contract with CAPEIC and handle the settlement process. It’s worth noting that the Amu Darya oil field, located in Sar-e-Pul and Faryab provinces, covers an area of 4,500 square kilometers and contains 87 million tons of confirmed crude oil reserves.
When the contract was initially signed, the Taliban had stated that the Chinese company would invest $150 million in the first year and $450 million over the next three years.
