Chad

EITI Status Yet to be assessed against the 2016 Standard
EITI Member Since 2007
Latest Data From 2013
Website EITI Chad

Overview

Chad is a leading producer of crude oil, but also mines gold and limestone. Social conflicts have arisen around management of oil revenues, environmental impact of extractive industries and poverty alleviation. Chad was the first country to include oil transport (the Chad-Cameroon pipeline) and refining (the Djermaya refinery) in the scope of its EITI reporting. This has led to better public understanding of the midstream hydrocarbons sector.

Oil and gas licenses are usually awarded through competitive bidding, unless Ministerial approval of direct negotiation is granted. Mining licenses are awarded on a ‘first come first served’ basis.  

Today, we can say with certainty that all oil and gas payments made by companies flow to the government’s budget and are effectively overseen.
HE Deboumra Kordje, Minister of Finance

Production

Chad is a producer of mineral commodities such as crude oil, gold and limestone, but only exports crude oil. Ongoing development of new oil and gas fields is taking place in areas adjacent to the country’s producing Doba fields in the South. The government has also encouraged new exploration for deposits of non-hydrocarbon minerals since 2015

Natural resources

Chad has rich deposits of crude oil, gold, uranium and limestone. Abundant crude oil resources are found in several basins in the country’s North, West, South-West and South-East. Gold deposits are mainly located in the West while uranium deposits are predominantly in the North and West.

CommodityReservesUnitSignificance
Oil1.5 million barrels
GoldN/Ametric tonsGold mineralisation has been found in the west (Quadday). Alluvial gold is mined particularly along the May N'Data river.
Uranium3000metric tonsUranium oxyde (U308) deposits.

Revenue collection

The latest EITI disclosures show that Chad received USD 1.7 billion from extractive industry taxation. Almost all of these revenues (99.8%) came from hydrocarbons, mainly oil, with the rest from mining. Revenues were mainly collected through corporate income tax (65%), Treasury’s share of royalties on oil and gas production (14%) and the levy on crude oil exports (2%).

Initializing chart.

Revenue allocation

The Public Treasury manages all of the Chadian state’s revenues from the extractive industries. Subnational governments from oil producing regions are entitled to 5% of oil royalties from the Treasury, while municipal governments collect small subnational fees and levies.  

Innovations

The EITI encourages multi-stakeholder groups to explore innovative approaches to make the EITI more relevant and useful.

  • First country to cover oil transit (the Chad-Cameroon Pipeline) and oil refining (petroleum refinery at Djermaya) in its EITI Reporting.

  • Institutional cooperation with the Petroleum Revenue Oversight and Control Committee (including respective liaison persons).

  • Public information days in 23 regions of Chad in 2015.

Implementation

The Chadian EITI is updating its workplan in light of findings in the 2013 EITI Report.

Governance

The government issued Prime Ministerial Decree 83/PM/CAB/07 on 20 August 2007 declaring Chad’s intention to apply for EITI candidature. Presidential Decree 1074/PR/PM/MP/2007 on 14 December 2007 creates a two-tier governance structure, with a high-level steering committee (Haut Comité de Pilotage) and the multi-stakeholder group (Comité de Pilotage) served by a National Secretariat (Secrétariat Technique Permanent). The decree providing the original legal basis for EITI implementation was renewed on 14 August 2014 with Presidential Decree 854/PR/PM/MPME/2014.  

Validation

Chad's Validation against the Standard will commence on 1 July 2018. The country is compliant under the 2011 Rules.

Timeline