The Chinese Antonoil oil company released Tuesday a statement nullifying a Memorandum of Understanding (MoU) signed with the Sanaa government last week.

Antonoil "sincerely apologize[d]" to all parties involved in the MoU after voiding it and not explaining the reason behind its decision.

The Sanaa Ministry of Oil and Minerals signed Saturday an MoU with the Chinese Antonoil oil company and a representative of the Chinese government to invest in oil exploration in Yemen.

The MoU was signed "after many negotiations and coordination with several foreign companies to convince them to invest in this field in light of the available investment opportunities and the advantages and facilities that investment companies will enjoy in this vital and important sector," the SABA news agency reported.

The Yemeni Oil Ministry warned foreign companies against dealing or concluding any contracts with the government of the Saudi-appointed Presidential Council.

Oil and minerals minister Ahmed Dares welcomed investment companies in the oil exploration sector in Yemen, underlining that he sought to offer facilities to push investors to come into the country.

"Due to a lack of sufficient understanding of the relevant information previously, Anton Dubai Branch signed a non-legal Memorandum of Understanding regarding Yemeni oilfields development on May 17, 2023," the Chinese firm's statement read.

"After verifying the relevant information, Anton hereby solemnly announces the nullification of the MOU and sincerely apologizes to the parties involved," it added, not providing any more context on the issue.

The agreement signed with China was of utmost importance to the government in Sanaa at a time when Yemen's oil wealth is being looted by the Saudi coalition and the United States.

Read next: How much oil was looted from Yemen during 2022?

Riyadh's ties to Beijing have been growing steadily for years now, and it is noteworthy that China is the biggest import of Saudi oil, and it has been for years.