BHP sells Australia gas stake to PetroChina


BEIJING (AP) — BHP Billiton Ltd. said Wednesday it has agreed to sell its stake in a proposed Australian gas project to Chinese state-owned energy producer PetroChina for $1.6 billion.

PetroChina is Asia’s biggest oil producer by volume and, along with other Chinese energy companies, has been acquiring assets abroad to profit from increased Chinese demand for imported oil and gas.

BHP said the sale covers its 8.33 per cent interest in the East Browse Joint Venture and 20 per cent interest in the West Browse Joint Venture, located off Australia’s west coast. The Australian mining giant said other partners in the Browse joint venture have the right to match the offer and the deal still requires regulatory approval.


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“PetroChina has acquired an interest in a world class gas resource and BHP Billiton has exited a non-strategic asset,” said BHP Billiton’s chief executive for petroleum, J. Michael Yeager, in a statement.

Last week, another Chinese state-owned energy company, CNOOC Ltd., received Canadian government approval to acquire oil and gas producer Nexen for $15.1 billion.

BHP Billiton Ltd.: www.bhpbilliton.com

PetroChina Ltd.: http://www.petrochina.com.cn

© 2012 The Associated Press. All rights reserved.

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BHP sells Australia gas stake to PetroChina


BEIJING (AP) — BHP Billiton Ltd. said Wednesday it has agreed to sell its stake in a proposed Australian gas project to Chinese state-owned energy producer PetroChina for $1.6 billion.

PetroChina is Asia’s biggest oil producer by volume and, along with other Chinese energy companies, has been acquiring assets abroad to profit from increased Chinese demand for imported oil and gas.

BHP said the sale covers its 8.33 per cent interest in the East Browse Joint Venture and 20 per cent interest in the West Browse Joint Venture, located off Australia’s west coast. The Australian mining giant said other partners in the Browse joint venture have the right to match the offer and the deal still requires regulatory approval.


advertisement

“PetroChina has acquired an interest in a world class gas resource and BHP Billiton has exited a non-strategic asset,” said BHP Billiton’s chief executive for petroleum, J. Michael Yeager, in a statement.

Last week, another Chinese state-owned energy company, CNOOC Ltd., received Canadian government approval to acquire oil and gas producer Nexen for $15.1 billion.

BHP Billiton Ltd.: www.bhpbilliton.com

PetroChina Ltd.: http://www.petrochina.com.cn

© 2012 The Associated Press. All rights reserved.

More articles filed under Business News

Leave a Comment

Please use the comment box below for general comments, but if you feel we have made a mistake, typo, or egregious error, let us know about it. Click here to "call us out." We're happy to listen to your concerns.