BEIJING Nov 9 CNOOC Ltd, China's top
offshore oil and gas producer, said on Friday it is confident of
winning regulatory approval from Canada this year for its $15.1
billion bid for Nexen Inc .
State-controlled CNOOC launched China's richest foreign
takeover bid in July when it agreed to buy Nexen. But the
success of its bid began to look shaky after Canada held up
Malaysian state oil company Petronas' $5.2 billion bid for
Progress Energy Resources Corp.
Canada has extended its review for the CNOOC-Nexen deal by a
month to Dec. 10 to determine whether the takeover would bring a
"net benefit" to the country.
CNOOC Chairman Wang Yilin said it was "normal" for the
Canadian government to extend its review, adding that he expects
the deal to be completed by year-end.
Wang was speaking to reporters on the sidelines of the
Communist Party congress in Beijing.
Canada's Prime Minister Stephen Harper said on Thursday that
his government will make decisions very soon on foreign
investment proposals it is considering and on the broader
framework for dealing with such investments.
Nexen's portfolio includes operations in oil sands and shale
gas in the province of British Columbia, among assets around the
Industry sources have said CNOOC's bid might have a better
chance of success compared to the Petronas deal as only about a
quarter of Nexen's assets are in Canada, while Progress Energy's
operations are centred in Canada.
CNOOC is pressing on in its search for overseas assets as it
has only nine years worth of reserves based on current
production levels - one of the lowest ratios among global oil