CNOOC, Sinochem eye Devon's African assets-paper

HONG KONG, April 20 (Reuters) - Chinese offshore oil firm CNOOC (0883.HK) and chemical trader Sinochem Corp. will join the competition for West African oil and gas assets of Devon Energy Corp. (DVN.N) in a deal that could reach US$2 billion, a Hong Kong newspaper reported on Friday.

The South China Morning Post cited sources as saying CNOOC and Sinochem are preparing to bid separately for the assets, competing with other bidders including London's Tullow Oil (TLW.I), India's Oil and Natural Gas Corp. (ONGC.BO), and Canadian Addax Petroleum.

The assets in Equatorial Guinea, Ivory Coast, Nigeria, Gabon, Ghana and Angola have proven and probable reserves of 300 million barrels of oil equivalent, a source said.

The paper gave no further financial details.

Devon Energy had said on Wednesday that the sale of its oil and gas business in Egypt to Dana Petroleum Plc (DNX.L) would result in after-tax proceeds of about US$300 million, and was part of its plan to sell all of its African assets as it focuses on growth in North America and exploration in Brazil and China. It will open data rooms for its West African assets in Houston and London next week and expects bids by early July. (US$1=HK$7.8)