Shareholders of Canada-based PetroKazakhstan Inc. (PK) approved
an offer by CNPCI, a wholly-owned subsidiary of China National
Petroleum Corporation (CNPC), to
acquire 100 percent of its assets for US$55 per share at a meeting
early this morning, according to CNPC.
Investors holding a total of 46,896,714 shares took part in the
meeting, held in Calgary, Alberta in Canada, and 99.04 percent of
votes, in terms of shares, were cast in favor of the offer, said a
CNPC official.
The closing of the acquisition is subject to other conditions,
including approvals of Canadian courts and the Kazakhstani
government, the official said.
If successful, the US$4.18 billion deal would be the biggest
acquisition of a foreign company ever completed by a Chinese
company, and it would help promote long term cooperation between
the CNPC and the Kazakhstani petroleum industry, according to the
official.
CNPC is China's largest oil producer and describes itself as a
leading global integrated energy company engaged in both upstream
and downstream operations, oil and gas field engineering and
technical services, as well as petroleum materials and equipment
manufacturing and supply.
The company announced on August 22 that it was participating in
the acquisition bid for PK through CNPCI.
To clear the way for the trade, the CNPCI signed a memorandum of
understanding (MOU) with KazMunaiGas, the state oil company of
Kazakhstan, on Saturday.
According to the MOU, KazMunaiGas will obtain enough PK shares
to have strategic control over the development of the country's
mineral resources, together with equal rights for joint management
over Shymkent refinery and its products.
Registered in Canada, PK is an integrated energy company with
all of its assets in Kazakhstan and an annual production capacity
of more than 7 million tons of crude oil. Its shares are traded on
the Toronto, New York, London and Frankfurt exchanges.
(Xinhua News Agency October 19, 2005)