Chad backed down from an apparent threat to nataionalize part of a foreign oil consortium comprising ExxonMobil, Chevron and Petronas, saying it was ready to renegotiate a deal with the partners that would give the state a share.
Chevron and Petronas had been ordered to halt pipe-laying operations over allegations of non-payment of taxes. The two companies insist that they have complied with the tax obligations and are in talks with the government.
President Idriss Deby in a speech had said that Chad wanted to join the consortium with a 'reasonable' 60 percent stake - the exact size of the share held by Chevron and Petronas arousing speculation that Deby was proposing to seize control in an act of hardball resource nationalism.
At present the state receives royalties and taxes.
But a government spokesman on the following day denied any such nationalization plan. He claimed that there was no connection between the government's desire to renegotiate and the tax dispute.
Dieudonne Djonabaye, deputy communications director at the presidency, said the government and ExxonMobil would together 'provisionally' run the consortium for the time being.
Contradictions have been noted between Deby's speech and Djonabaye's assertions. While Deby demanded a 60 percent national stake, Djonabaye said the exact size of the stake has not been decided. Deby also doubled the figure of alleged unpaid taxes to double the number he had previously quoted.
His government has earlier locked horns with the World Bank and has threatened the country's oil partners.
With the actual operation of the pipeline being handled by Exxon, the oil output has not been affected by the dispute.
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