Petrochina to Buy BHP Stake in Australia LNG Project

BHP Billiton (NYSE: BHP  ) has announced it is selling its minority stakes in two Australian offshore natural gas fields to PetroChina (NYSE: PTR  ) , the largest of China's three state-owned oil companies.

PetroChina will pay $1.63 billion for an 8.33% stake in the East Browse joint venture project and a 20% stake in the West Browse project, collectively known as Browse LNG. The deal is subject to the standard regulatory approval and is expected to close in the first half of next year.  

This isn't the first time ownership stakes in these two fields have turned over. Just this past August, Royal Dutch Shell (NYSE: RDS-A  ) picked up Chevron's (NYSE: CVX  ) stake in the project.  The project is operated by Australia's Woodside Energy, and its other JV partners include BP (NYSE: BP  ) and Japan Australia LNG.

BHP Billiton's chief executive of petroluem, J. Michael Yeager, identified the two stakes as non-strategic assets for the company. China routinely spends billions of dollars acquiring energy assets. Just last week, Canada approved the $15 billion acquisition of Nexen (NYSE: NXY  ) by CNOOC (NYSE: CEO  ) , another state-owned oil operation.

link


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2150587, ~/Articles/ArticleHandler.aspx, 9/30/2014 12:00:41 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement