China and Brunei signed four major agreements and exchanged notes on the waiving of diplomatic, official and service visas in Bandar Seri Begawan on Wednesday as President Hu Jintao began his two-day state visit to the tiny Islamic sultanate of Brunei Darussalam.

The agreements dealt with cooperation in the realms of communication technology, public health, energy and people-to-people exchanges.

This is Hu's first visit to Brunei since assuming the presidency, and also his first stop on a three-nation tour of Southeast Asia, which also includes Indonesia and the Philippines.

During the meeting with Brunei's Sultan Haji Hassanal Bolkiah Mu'izzaddin Waddaulah, Hu suggested that the two countries expand economic cooperation and encourage connections between enterprises, particularly in the crude oil trade.

He also discussed collaboration in travel and aviation and exchanges between the two armies, and invited Brunei to open consulates in Hong Kong and Shanghai.

The two leaders talked about initiating activities to celebrate next year's 15th anniversary of the establishment of diplomatic relations.

Disputed areas of the South China Sea were also a topic of discussion. Hu said that China has always insisted on finding ways to exploit the disputed areas together with concerned countries on the basis of mutual respect, equality and benefit in an open and flexible manner.

The sultan said the Code of Conduct of the South China Sea, signed between China and the Association of Southeast Asia Nations in late 2002, was a major step toward resolving the disputed areas.

China began importing oil from Brunei in the 1980s. Daily imports averaged 20,000 barrels in 2004, about one-tenth of Brunei's oil production.

According to Chinese ambassador to Brunei Yang Yanyi, there are about 40,000 Chinese living in the country, accounting for 11 percent of the population. Many of them have business interests in Shanghai, particularly in the real estate and service industries.

Yang said about 20,000 Chinese travel to Brunei every year and the number is expected to climb to about 100,000 by 2010.

She said the agreement on the Total Network in Brunei 3G project signed on Wednesday between Huawei Technology and Telekom Brunei would provide cost-effective and convenient communication and service facilities to the country.

"I think it will also contribute to the country's efforts in e-government and e-business," she said.

Zhang Sen, a representative from Huawei Technology, the largest Chinese company operating in Brunei, said his company has confidence in the local market. "We are planning to train local technicians and engineers to help with the development of the projects."

He said the 3G mobile phone system is expected to be commissioned toward the end of this year.

(China Daily, China.org.cn April 21, 2005)