Tue, Feb. 17, 3:31 PM
- China may merge its state-owned oil companies to create giants that will be more efficient and capable of taking on big overseas rivals, WSJ reports.
- One plan reportedly would combine the country’s largest oil companies, CNPC (PTR +2%) and Sinopec (SNP +4.2%), while other options include merging Cnooc (CEO +1.8%) with Sinochem.
- The firms have expanded into each others’ turf over the years, creating overlapping operations that span everything from exploration to refining to running gas pumps.
- No timetable is set for a decision on whether or when to proceed with the mergers, WSJ says.
Dec. 3, 2014, 7:58 AM
- The plunge in oil prices has erased more than half of Tullow Oil’s (OTCPK:TUWLF, OTCPK:TUWOY) market value since June, and Bloomberg reports that management is now concerned the company could be vulnerable to a takeover approach by a larger oil and gas producer.
- Tullow offers “a significant operating position that would not look out of place in the portfolio of a larger company,” says Societe Generale's David Mirzai, adding that the drop in oil prices “would certainly make it a lot easier to win the investor base around than in previous years.”
- Total (NYSE:TOT), Cnooc (NYSE:CEO) and Exxon (NYSE:XOM) would be among logical bidders since they’ve expressed interest in African assets before, BMO says, adding that a buyer would not need to contend with obstacles such as a poison pill or dual-class stock structure.
Apr. 7, 2014, 4:32 AM
- Cnooc (CEO) is thinking about selling its 50% holding in Argentina's Bridas Corp, which the Chinese offshore oil and gas explorer bought for $3.1B in 2010, Bloomberg reports.
- Cnooc would divest the stake if it can make a profit and would use the money for other projects. Hong Kong analyst Neil Beveridge would welcome a deal. "The contribution from Argentina is minimal, and the investment as a whole puts Cnooc in a passive position."
- The owners of the other 50% in Bridas are Argentina's billionaire Bulgheroni brothers.
Dec. 16, 2013, 11:28 AM
- Royal Dutch Shell’s (RDS.A, RDS.B) long-awaited sale of its $6.4B stake in Woodside Petroleum (WOPEF, WOPEY) may open the door for Asian buyers to grab a slice of Australia’s second-largest oil and gas producer, or even the whole company, Bloomberg speculates.
- Shell, which sees its 23% holding in Woodside as “increasingly non-core," may exit its stake as soon as next year; while Shell may opt to sell the stock back to Woodside and institutional investors, China’s Cnooc (CEO) and Sinopec (SNP) might pursue the stake or a full takeover.
- Government opposition to a foreign takeover may have eased since Shell was blocked in 2001, analysts say, and the company is more affordable after its multiple to cash flow has been more than cut in half since 2011.
Aug. 6, 2013, 7:56 AM
- China National Petroleum (PTR) already spent more money this year on energy assets than any other global producer, and oil and gas fields controlled by Exxon Mobil (XOM) and Rosneft (RNFTF.PK) may be next, Bloomberg speculates.
- CNPC is ramping up deals to make up for lost ground after Sinopec (SNP) and Cnooc (CEO) outspent it by $50B on overseas transactions in the five years through 2012.
- CNPC’s success with mature fields makes an XOM asset in Iraq a target, while a supply agreement with Rosneft may lead to deals with the Russian producer.
Mar. 1, 2013, 2:50 PMCnooc (CEO -1.5%) has agreed to cede operating control of Nexen's (NXY) U.S. gulf assets. Drilling leases acquired by the Chinese state-owned oil company as part of its $15B buyout are being altered as a condition of U.S. approval, with the control structure being changed - although CEO still could retain ownership of the economic value of the contracts. U.S. officials had scrutinized the deal because NXY owned more than 200 drilling leases in the Gulf of Mexico, which is a primary source of U.S. oil. | 1 Comment
Jan. 28, 2013, 8:11 AMNexen (NXY), the Canadian oil sands operator that Chinese state energy giant Cnooc (CEO) has agreed to buy, says the two extended the deadline for the closing of the $15B proposed deal by 30 days, as they await U.S. government approval. Key regulatory approvals have been received from Canada, the U.K., the EU and China. | 1 Comment
Jan. 18, 2013, 9:10 AM
Dec. 11, 2012, 6:11 AMCNOOC's (CEO) acquisition of Nexen (NXY) overcomes another hurdle after an official at the U.K.'s energy ministry says Britain "will not stand in the way" of the deal. Nexen owns a 43% holding in the in the North Sea Buzzard oilfield, which is used to help set the benchmark Brent crude price. Of greater import, perhaps, is what the U.S. will say. | 1 Comment
Dec. 10, 2012, 6:45 PMTaking nothing for granted, Nexen (NXY) interim CEO Kevin Reinhart told Reuters today that Cnooc's (CEO) takeover was "nowhere near done," despite securing the blessing of Canadian regulators. Approval by the U.S. Committee on Foreign Investment is the final hurdle in finishing the deal, and the U.S. has been traditionally been more wary than Canada of Chinese investment. | 3 Comments
Dec. 10, 2012, 8:52 AMCnooc (CEO) still needs approvals from the U.S. and U.K. governments to complete its takeover of Nexen (NXY), but Canada was the key risk as NXY's assets in the U.S. are not material and the British government is investor-friendly, Macquarie analysts say. The U.S. approval process may prove "noisy and emotive in the press," but ultimately the deal will be cleared. NXY +14.6% premarket. | Comment!
Dec. 7, 2012, 5:19 PM
Dec. 7, 2012, 4:48 PM
Dec. 7, 2012, 3:43 PMAfter an initial pop higher, Nexen (NXY -6.6%) shares have been dropping ahead of the Canadian government's announcement after the close on its decision regarding Cnooc's (CEO +0.5%) proposed takeover. CEO had offered to acquire NXY for $27.50/share; shares were trading at $17.06 at the time of the deal announcement and ~$23.40 a few minutes ago. | Comment!
Dec. 7, 2012, 3:23 PM
Dec. 7, 2012, 10:29 AMCanada's government refuses to offer any hints on the timing of a decision on a bid by China's Cnooc (CEO -0.4%) for Nexen (NXY +0.8%). Canada's industry minister must rule whether the $15.1B offer is of net benefit to Canada. Currency markets also are anxiously awaiting the news, as the decision could significantly move the Canadian dollar. | Comment!
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