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Monday, 17 October 2005

KAZAKHSTAN PERMITS CHINESE OIL DEAL

Published in News Digest

By empty (10/17/2005 issue of the CACI Analyst)

Kazakhstan will let a Chinese state-owned energy firm buy key oil assets in a deal that gives the central Asian nation a share of those assets. During the weekend, the government of Kazakhstan agreed to let China National Petroleum Corp. buy PetroKazakhstan, a private company, for $4.
Kazakhstan will let a Chinese state-owned energy firm buy key oil assets in a deal that gives the central Asian nation a share of those assets. During the weekend, the government of Kazakhstan agreed to let China National Petroleum Corp. buy PetroKazakhstan, a private company, for $4.8 billion from the company\'s Canadian owners, the Wall Street Journal reported Monday. As part of that agreement, CNPC promised to sell a one-third interest in PetroKazakhstan to an arm of the government of Kazakhstan. Kazakhstan\'s state-owned KazMunaiGaz energy company will buy the 33 percent stake in PetroKazakhstan from CNPC for about $1.4 billion. Also, CNPC and KazMunaiGaz will split ownership of an oil refinery and agree to process a certain amount of crude through the facility, named Shymkent, the newspaper said. (UPI)
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