China's CNPC secures big Canada-Kazakhstan oil deal (AFP)

[Up2Late]

(I wonder if the WH will make any comments on or try to stop this deal?)

China's CNPC secures big Canada-Kazakhstan oil deal

22/08/2005 22h38

OTTAWA (AFP) - Following a failed Chinese bid for a US oil company, China National Petroleum Corporation (CNPC) appeared to seal a deal to buy Calgary-based PetroKazakhstan Inc. for 4.18 billion US dollars. No other bidders seemed likely to top the 24.4 percent premium CNPC is willing to pay for the Canadian-listed firm that is largest private integrated oil company in Kazakhstan.

The deal will not face regulatory hurdles in Canada, officials said. The Canadian government introduced a bill in June that would allow it to block foreign takeovers of local companies for national security reasons.

The bill, expected to pass second reading in the House of Commons in September, came only days after allegations surfaced of Chinese corporate espionage in this country and less than one year after a failed takeover bid by the state-controlled China Minmetals Corp. for Canadian mining behemoth Noranda Inc. It first sparked concern about China's growing appetite for Canadian resource firms.

But Daphne Guerrero of Industry Canada said they will not review the PetroKazakhstan deal because "all of the company's operations are in the Republic of Kazakhstan." Meanwhile, PetroKazakhstan president and chief executive officer Bernard Isautier told investors during a conference call the government of Kazakhstan cannot object because it involves the sale of Canadian securities.

<http://www.afp.com/english/news/stories/050822223804.lxcjraee.html>
(more at link above)

[Maple]

1. Yaaaaaaaaaaaay Canada!

[wli]

2. Bushler unites the world against us again

We're headed straight down the economic toilet.