Canada approves Chinese, Malaysian takeover of energy producers
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This Tuesday, July 10, 2012 aerial photo shows a Nexen oil sands facility near Fort McMurray, Alberta, Canada. Canada gave the green light on Friday for state-owned Chinese and Malaysian firms to snap up two domestic energy companies, but said that in the future it would only approve investments in the oil sands by state-owned companies on an exceptional basis. -- PHOTO: AP
OTTAWA (REUTERS) - Canada gave the green light on Friday for state-owned Chinese and Malaysian firms to snap up two domestic energy companies, but said that in the future it would only approve investments in the oil sands by state-owned companies on an exceptional basis.
The US$15.1 billion (S$18.3 billion) purchase by China's CNOOC Ltd of Nexen Inc, will be the largest successful bid ever by a Chinese company if finally approved by U.S. regulators.
Caught up in the debate over CNOOC was the C$5.2 billion (S$6.4 billion) offer by Malaysia's Petronas for Progress Energy Resources Corp, which was initially turned down in October but will now be able to proceed.
