Tags
Recent Comments
Receive "The World According to Tom Barnett" Brief
Where I Work
Where I write
Buy Tom's Books
  • Great Powers: America and the World After Bush
    Great Powers: America and the World After Bush
    by Thomas P.M. Barnett
  • Blueprint for Action: A Future Worth Creating
    Blueprint for Action: A Future Worth Creating
    by Thomas P.M. Barnett
  • The Pentagon's New Map: War and Peace in the Twenty-first Century
    The Pentagon's New Map: War and Peace in the Twenty-first Century
    by Thomas P.M. Barnett
  • Romanian and East German Policies in the Third World: Comparing the Strategies of Ceausescu and Honecker
    Romanian and East German Policies in the Third World: Comparing the Strategies of Ceausescu and Honecker
    by Thomas P.M. Barnett
  • The Emily Updates (Vol. 1): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    The Emily Updates (Vol. 1): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    by Vonne M. Meussling-Barnett, Thomas P.M. Barnett
  • The Emily Updates (Vol. 2): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    The Emily Updates (Vol. 2): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    by Thomas P.M. Barnett, Vonne M. Meussling-Barnett
  • The Emily Updates (Vol. 3): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    The Emily Updates (Vol. 3): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    by Thomas P.M. Barnett, Vonne M. Meussling-Barnett
  • The Emily Updates (Vol. 4): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    The Emily Updates (Vol. 4): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    by Thomas P.M. Barnett, Vonne M. Meussling-Barnett
  • The Emily Updates (Vol. 5): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    The Emily Updates (Vol. 5): One Year in the Life of the Girl Who Lived (The Emily Updates (Vols. 1-5))
    by Vonne M. Meussling-Barnett, Thomas P.M. Barnett, Emily V. Barnett
Search the Site
Subscribe to Blog
Monthly Archives
Powered by Squarespace
« Iran gearing up for naval fight in PG versus US | Main | (WPR Feature) Skipping Out on the Bill: Obama's Cost-Free Drone Wars »
10:37AM

The CNOOC bid for Nexen: the inevitable next step in the NorthAm-East Asia energy evolution

Cnooc's bid is the first super-big buy into NorthAm energy (three times the Syncrude buy in 2010).  It follows similar buys into Australia (Rio Tinto), Iraq-KRG (Addax) and Latam (Repsol Brazil).

Cnooc, by all accounts, learned from the failed Unocal bid and built all manner of business and personal networks before launching this bid.  Lotsa regulatory hurdles on this one, but I'm betting Canada ultimately says yes, especially since Nexen's board backs it. Ottawa can't close itself off to China's resource demand and opening itself up to that flow requires some buy-back transactions like this.

References (2)

References allow you to track sources for this article, as well as articles that were written in response to this article.

Reader Comments (2)

In addition to tapping Canadian sources (an obvious need for China), the move is made to gain valuable know-how on enhanced drilling and shale gas fracking and extraction techniques, to be used at home. It's a common way (used by other foreign firms too, especially EU ones) to gain the needed know-how quickly and avoid too many years of lagging behind in experience on the same matter.

August 1, 2012 | Unregistered CommenterL.Nannetti

"the move is made to gain valuable know-how on enhanced drilling and shale gas fracking and extraction techniques, to be used at home." Yes and it won't work. Chinese state-run companies are innovation challenged. Chinese companies can't figure out how to remove SO2 from the exhaust at their power plants, they sure aren't going to figure out shale-oil extraction. Once you get acquainted with China's engineering capabilities you come to know they are terrible in this regard. Most 3rd world countries just get foreign companies to do things like this. China has to do everything themselves and they screw it up.

August 6, 2012 | Unregistered CommenterDavid Dunn

PostPost a New Comment

Enter your information below to add a new comment.

My response is on my own website »
Author Email (optional):
Author URL (optional):
Post:
 
Some HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>