Wall Street Journal JULY 20, 2011, 1:35 P.M. ET
Cnooc to Buy OPTI Canada for $2.1 Billion
BY EDWARD WELSCH, PAUL VIEIRA AND YVONNE LEE Cnooc Ltd., China’s biggest offshore-oil producer, agreed to buy bankrupt Canadian oil-sands developer OPTI Canada Inc. for about $2.1 billion, the latest attempt by China to invest in Canada’s energy bounty amid a global commodities boom.
The deal sets the stage for a review by the Canadian government. In recent transactions, Chinese firms have targeted minority stakes in Canadian companies or in big projects, instead of risking political opposition over an attempt to swallow up a whole company.
Cnooc’s move comes in the wake of recent setbacks by Chinese firms in Canada. A $5.5 billion proposed investment by PetroChina Co. …
The CNOOC move to buy OPTI Canada highlights several big moves in energy overall for Chinese firms in the last few weeks/months:
The current item of CNOOC buying OptiC, then Sinopec teaming with ExxonMobil to develop their shale gas, then CNPC just did a deal with ADNOC to double the crude volume (100,000 bpd up to 200,000) for Singapore & China assets. And CNPC withdrawl from Canada OS – Enbridge Gateway P/L and switch to Venezuela investments. (Course CNPC is still testing various CA OS blends along with heavy Saudi/MEast crudes for thier refineries.)