The Guardian. Ecuador auctions off Amazon to Chinese oil firms

Ecuador plans to auction off more than three million hectares of pristine Amazonian rainforest to Chinese oil companies, angering indigenous groups and underlining the global environmental toll of China's insatiable thirst for energy.

On Monday morning a group of Ecuadorean politicians pitched bidding contracts to representatives of Chinese oil companies at a Hilton hotel in central Beijing, on the fourth leg of a roadshow to publicise the bidding process. Previous meetings in Ecuador's capital, Quito, and in Houston and Paris were each confronted with protests by indigenous groups.

Amazon Watch said the deal would violate China's own new investment guidelines, issued jointly by the ministries of commerce and environmental protection last month. The third clause of the guidelines says Chinese enterprises should "promote harmonious development of local economy, environment and community" while operating abroad.

Fabara said he was not aware of the guidelines. "We're looking for global investors, not just investors from China," he said. "But of course Chinese companies are really aggressive. In a bidding process, they might present the winning bids."

Critics say national debt may be a large part of the Ecuadorean government's calculations. Ecuador owed China more than £4.6bn ($7bn) as of last summer, more than a tenth of its GDP. China began loaning billions of dollars to Ecuador in 2009 in exchange for oil shipments. More recently China helped fund two of its biggest hydroelectric infrastructure projects. Ecuador may soon build a $12.5bn oil refinery with Chinese financing.