Sinopec in bid for Russian oil company
(Xinhua)
Updated: 2006-06-13 10:11
China PetroChemical Corporation (Sinopec), China's second largest oil
producer, is in a bid to takeover a Russian petroleum company, a news report
said Monday.
The Shanghai Securities News reported that Sinopec had
joined Rosneft, Russia's state-owned oil company, to bid for Udmurtneft, a
subsidiary of TNK-BP, Russia's second largest oil company.
The outcome
of the sale will be decided in July. If successful, Sinopec would have access to
26 oil fields in Russia with its partner, said Shanghai Securities News.
Sinopec, together with Rosneft, proposed their offer in May, according to
the newspaper.
TNK-BP's key production enterprise in the Udmurtia
Republic, Udmurtneft produced nearly six million tons of oil annually,
accounting for over 60 percent of production in Udmurtia.
The major
rival in the bid for Udmurtneft is ONGC, India's state-owned oil company, said
the newspaper.
Through its subsidiary ONGC Videsh, ONGC and Itera, a
subsidiary of Russian gas giant Gazprom, made a joint bid.
The highest
offer to date was 3.5 billion US dollars, but the offer of Sinopec was
unavailable, the Shanghai Securities News reported.
China National
Petroleum Corporation (CNPC), China's largest oil producer, successfully
acquired Canada-based PetroKazakhstan Inc. for 4.18 billion US dollars last
October in the largest overseas takeover ever made by a Chinese company.
China National Offshore Oil Corporation (CNOOC), China's largest
offshore oil company, made the second largest overseas transaction by a Chinese
oil company when it acquired a 45 percent stake in an offshore oil production
license in Nigeria for 2.268 billion US dollars in cash in
January.
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