Home Business Politics Life Culture��Edu Sci��Tech Sports Photos
��Search
China Observer
�� Chinese "self expression" on the rise
�� World manned spaceflight embraced a triangular balance of power
�� Women entrepreneurs have stronger leadership
Photos
�� Traffic safety education with fun
�� Gold and gems "grand waterworks in Yuanmingyuan Park"
�� "Motorcycle Baby" showed up
��Home>>Business
CNPC completes acquisition of PetroKazakhstan
www.chinanews.cn 2005-10-27 16:47:14
(Source: Xinhuanet)
BEIJING, Oct. 27 - China National Petroleum Corporation (CNPC) announced
Thursday morning it has successfully acquired Canada-based
PetroKazakhstan Inc. (PK) through its wholly-owned subsidiary CNPCI.
Wednesday morning, Canadian time, the China's largest oil producer saw
its planned acquisition of PK through CNPCI was granted "unconditional"
final order by the Queen's Bench Court, Calgary, Canada.
CNPC's bid for PK is 55 US dollars per share, totaling 4.18 billion US
dollars, the largest overseas takeover transaction ever made by a Chinese
company.
Lukoil of Russia, one of CNPC's major rival in the deal made noappeal,
indicating the completion of all legal procedures of the transaction.
To date, the transaction has been completed, announced CNPC.
At local time Wednesday afternoon, Chinese Premier Wen Jiabao met
Kazakhstan Prime Minister Danial Akhmetov in Moscow, when attending the
Shanghai Cooperation Organization Summit.
Both Premier and the prime minister expressed their strong support for
the mutual-benefit cooperation between CNPC and KazMunaiGaz over PK after
the completion of the acquisition.
Kazakh Prime Minister promised to help to resolve all remained problems
of PK in Kazakhstan together with CNPC after the deal is closed.
Early in the shareholders meeting of PK held last Tuesday, 99.04 percent
of all the voting shares were affirmative for the acquisition.
According to relevant transaction procedures, the outcome of the
shareholders meeting needs to be sanctioned by the Canadian court.
However, in the court hearing of last Tuesday, the lawyer of Lukoil
claimed that the company has the first right of refusal to buy a 50
percent stake in Turgai Petroleum, a joint venture between PK and Lukoil.
In this connection, the Court postponed its ruling to Wednesday.
CNPC and PK concluded the negotiation on August 21 over the transaction
with the signing of the"Arrangement Agreement".
According to CNPC, after two months of heavy workload, all formal
approvals and legal procedures have been obtained and completed. At
present, CNPC staff is working with PK and the hand-over of business is
under way. Operation of PK is maintained as usual, and employees are
unaffected.
PK Inc is an international energy company registered in Canada,with all
of its assets, such as oilfields and refineries, in the Republic of
Kazakhstan. PK's total annual production capacity of crude oil exceeds
seven million tons.
Since its first presence in Kazakhstan in 1997, CNPC has developed good
relationship with local government by strictly following local laws and
regulations as well as international bestpractices of the industry.
Upon acquisition, in the spirit of win-win and mutual benefit, CNPC will
choose to cooperate with KazMunaiGaz, the state oil company of Kazakhstan
to operate and manage the PK project, said CNPC.
The two parties signed a memorandum of understanding on Oct. 15,according
to which KazMunaiGas will obtain a certain amount of PK shares enough to
have strategic control over the development of the country's mineral
resources, together with the equal right forjoint management over
Shymkent refinery and its products.
PK owns 12 oil fields, and exploration licenses in 6 blocks in
Kazakhstan, with great exploration potential.
CNPC said it is confident that taking advantage of CNPC's strength in
capital, technology and management, as well as CNPC's valuable experience
in Kazakhstan, the production capacity of PK will be increased, and thus
provides the Sino-Kazakhstan oil pipeline expected to be completed at the
end of this year with a reliable supply.
The increase of investment in Kazakhstan and the acceleration of PK's
development will help to ensure the stable supply of oil products of the
country and boost local economy, said the company.
��Court okays PetroKazakhstan sale to CNPC
��CNPC bid for PetroKazakhstan accepted
Copyright� 2004 Chinanews.com. All rights reserved.
Reproduction in whole or in part without permission is prohibited.
Disclaimer: viewpoints in the website do not represent China News Service
Learn Chinese, Chinese Mandarin
No comments:
Post a Comment