Chinese groups interested in oil assets in Brazil

14 September 2010

Sao Paulo, Brazil, 14 Sept – The China National Offshore Oil Corporation (CNOOC) and China Petrochemical Corp (Sinopec) are interested in acquiring a stake in Brazilian oil company, OGX Petróleo e Gás Participações, businessman Eike Batista, owner of the EBX group said in Sao Paulo Monday.

A few months ago, OGX Petróleo e Gás Participações said it planned to sell off minority stakes of between 20 and 30 percent in some oil blocks following a number of discovered in shallow water in the Campos basin off the coast of Rio de Janeiro state.

Batista said that all the large oil companies in the world were potential buyers, and mentioned that US$7 billion was the minimum amount to acquire a stake in OGX.

The Chinese oil groups are in the market for assets and in the past Sinopec acquired Addax Petroleum for US$8 billion, a quarter of the US$32 billion that was spent in 2009 by Chinese companies to buy foreign companies involved in exploration of natural resources.

In 2010 Sinopec paid US$3 billion for a 40 percent stake in Peregrino, an oil field in the sea off Brazil, which was 100 percent-owned by Norway’s Statoil.

OGX Petróleo e Gás Participações is part of industrial conglomerate EBX, which is owned by Eike Batista, Brazil’s richest man. (macauhub)

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