December 10, 2012
TORONTO (AP) -- Canada's natural resource minister says foreign state control of the country's oil sands sector has reached the point where further ownership would not benefit Canada.
Joe Oliver said Monday the percentage of Chinese-owned investment in the oil sands will still be under 10 percent after the government approved China's biggest overseas energy acquisition Friday, a $15.1 billion takeover by Chinese state-owned CNOOC (NYSE: CEO ) of Canadian oil and gas producer Nexen (NYSE: NXY ) .
Oliver says new rules are in place and a deal like that would likely not be approved in the future. He says Canada will only consider future takeover deals by state-owned companies in exceptional circumstances.
Concerns had been raised that it could lead to a flood of deals that put control of Canada's vast energy resources in China's hands.