Sinopec’s domestic gas drive faces new setback

摘要

China’s relentless pursuit of energy assets does not always translate into instant suc- cess, as state-controlled Sinopec is still discovering in its own back yard. With fellow Chinese state-controlled producer CNOOC on track to complete a $17.9bn takeover of Canadian independ- ent Nexen, Sinopec’s comparatively paltry HK$16.7bn ($2.15bn) offer late last year for Chinese gas distributor China Gas Holdings has been stuck in neutral ever since (WPA, 6 January, p7). Only Chinese regulators’ decision to extend their review period is keeping the deal alive, with Sin- opec and its joint-venture partner Chinese gas distributor ENN having until 6 August to meet regulatory conditions and possibly make a revised offer.