CNOOC eyes Yukos assets
9 December 2005
China National Offshore Oil Corp (CNOOC) is interested in buying US$10 billion worth of non-core assets from Russian oil giant Yukos, group chairman Fu Chengyu is reported as saying in Shanghai Securities News. However, the company would require support from both governments to secure the deal. CNOOC, which withdrew a US$18.5 billion bid for California-based Unocal in August following considerable political opposition in the US, has been seeking overseas assets to boost production amid rising oil prices. Yukos, whose founder Mikhail Khordorkovsky was sentenced to eight years in prison for fraud and tax evasion, wants to liquidate its overseas assets before the end of next year to pay tax and debts.