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PetroChina to pay $2.6 bn for Peru oil and gas assets

AFP | Last Updated: Wednesday, November 13, 2013 - 20:18

Beijing: PetroChina will pay USD 2.6 billion to acquire oil and gas interests in Peru, the company said Wednesday, in China`s latest move to secure crucial energy supplies.

PetroChina, the listed unit of China`s biggest energy firm China National Petroleum Corp (CNPC), will acquire a Peruvian subsidiary of Brazilian state-owned giant Petrobras, it said in a statement to the Hong Kong Stock Exchange.

The target company fully owns two oil and gas blocks in Peru and a 46 percent stake in a third, Petrochina said, adding the deal would expand its operations in Latin America and promote development of its overseas business.

China is seeking oil, natural gas and other raw materials to keep the world`s second largest economy moving.

Beijing is also encouraging companies to make overseas acquisitions to gain market access and international experience.

PetroChina`s parent CNPC and another Chinese energy giant, China National Offshore Oil Corp., last month each took a 10 percent stake in Brazil`s "Libra" field, alongside three other firms.

Before the Peruvian deal was announced PetroChina closed down 2.41 percent in Hong Kong on Wednesday and fell 1.54 percent in Shanghai, where it is also listed.

First Published: Wednesday, November 13, 2013 - 20:18
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