CNPC transfers 67 per cent interest in PetroKazakhstan to PetroChina
09 Jan 2007
The government proposes to review cutting retail fuel prices at the end of January if the cost of crude imports stabilises below $50 a barrel.China National Petroleum Corporation (CNPC) has transferred a 67-per cent interest in PetroKazakhstan (PKZ) to its oil subsidiary, PetroChina. The transaction was completed through the PetroChina and CNPC joint venture, CNPC Exploration and Development.
PetroChina signed the agreement with its parent company to acquire 67 per cent interest of PKZ for $2.73 billion in August 2006, and finalised in December.
Quoting a senior executive with PetroChina China's Xinhua news agency said the deal strengthens PetroChina as an international oil and gas reserves and also increases shareholder values.
CNPC Exploration and Development and Kazakhstan's state-owned oil and gas company Kazmunaygas now own 67 per cent and 33 per cent of interests in PKZ respectively.
CNPC took over PKZ in 2005 for $4.2 billion, making thje acqusition China's largest overseas acquisition.
After
closing the deal, China's top oil producer transferred
33 per cent of its shares in PKZ to Kazmunaygas last
July.
