The statement said the deal would complement CNOOC ’s offshore production in China with Nexen assets

China s top offshore oil producer CNOOC Ltd has agreed to buy Calgary-based Nexen Inc for about $15.1 billion in one of the most ambitious acquisitions by a Chinese company to date that may test Ottawa s tolerance of foreign takeovers. Photograph by: Stuart Gradon
HONG KONG - China's top offshore oil producer CNOOC Ltd has agreed to buy Calgary-based Nexen Inc for about $15.1 billion in one of the most ambitious acquisitions by a Chinese company to date that may test Ottawa's tolerance of foreign takeovers.
"The aggregate value of the consideration of the proposed acquisition is approximately $15.1 billion (approximately HK$117.2 billion), and is to be payable in cash," CNOOC said in a statement filed on the Hong Kong stock exchange.
"The current indebtedness of Nexen of approximately $4.3 billion (approximately HK$33.6 billion) will remain outstanding. The company intends to fund the proposed acquisition through existing cash resources and external financing."
The statement said the deal would complement CNOOC 's offshore production in China with Nexen assets in many of the world's most significant producing regions, including Western Canada, the UK's North Sea, the Gulf of Mexico and offshore Nigeria.
The deals in Canada haven't yet awakened the political opposition seen in the United States in 2005 when CNOOC bid $18.5 billion for U.S oil and gas producer Unocal Corp. The backlash flights travel holiday usa free hotels fly york money sale killed that deal, upsetting Sino-U.S. relations.
flights travel holiday usa free hotels fly york money sale " CNOOC has been seeking overseas acquisitions, as the domestic reserves are limited. But there has been many limits, things like foreign companies are reluctant to sell, price too high. This deal would be quite successful," she said.
BMO Capital Markets and Citigroup Global flights travel holiday usa free hotels fly york money sale Markets Inc advised CNOOC while Nexen was advised by Goldman Sachs and RBC Capital Markets. © Copyright (c) The Calgary Herald       E-mail this Article Print this Article Share this Article
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China s top offshore oil producer CNOOC Ltd has agreed to buy Calgary-based Nexen Inc for about $15.1 billion in one of the most ambitious acquisitions by a Chinese company to date that may test Ottawa s tolerance of foreign takeovers. Photograph by: Stuart Gradon, Calgary Herald       E-mail this Gallery Print this Gallery Share this Gallery
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