• 4 minutes Pompeo: Aramco Attacks Are An "Act Of War" By Iran
  • 7 minutes Who Really Benefits From The "Iran Attacked Saudi Arabia" Narrative?
  • 11 minutes Trump Will Win In 2020
  • 15 minutes Experts review Saudi damage photos. Say Said is need to do a lot of explaining.
  • 3 mins Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 6 hours Hong Kong protesters appeal to Trump for support.
  • 4 hours Millennials: A boil on the butt of the work ethic
  • 5 hours A little something for all you Offshore swabbies
  • 18 hours Iran Vows Major War Even If US Conducts "Limited Strikes"
  • 13 hours Ban Fracking? What in the World Are Democrats Thinking?
  • 16 hours Europe: The Cracks Are Beginning To Show
  • 25 mins When Trying To Be Objective About Ethanol, Don't Include Big Oil Lies To Balance The Argument
  • 4 hours Memorize date 05/15/2018 cause Huawei ban is the most important single event in world history after 9/11/2001.
  • 37 mins LA Times: Vote Trump out in 2020 to Prevent Climate Apocalypse
  • 3 hours Saudi State-of-Art Defense System looking the wrong way. MBS must fire Defense Minister. Oh, MBS is Defense Minister. Forget about it.
  • 6 hours US and China are already in a full economic war and this battle for global hegemony is a little bit frightening
  • 4 hours Shale profitability
  • 13 hours Let's shut down dissent like The Conversation in Australia
The Biggest Week In 50 Years For Oil

The Biggest Week In 50 Years For Oil

Oil markets saw the biggest…

Oil Wealth Could Fund Free Education In This State

Oil Wealth Could Fund Free Education In This State

Money from New Mexico’s general…

Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Chinese Energy Conglomerate Begins Talk to Buy Rosneft Shares

Rosneft HQ

A Chinese energy conglomerate is in early talks to buy a stake in Russian energy giant Rosneft, according to exclusive sources who spoke to Reuters.

Senior executives at both firms have begun negotiations regarding a deal, the sources told the news agency. Already, CEFC China Energy chairman Ye Jianmin and Rosneft CEO Igor Sechin have held two meetings regarding future agreement.

Reuters sources did not reveal information on the cost of the deal, but one source suggested Rosneft would be open to selling the Chinese company a portion of its retail business, which includes 150 storage facilities, as well as thousands of filling stations and gasoline tankers.

CEFC plans to expand its influence by becoming an international energy company through its involvement with Russian oil and gas companies.

So far, Rosneft has sold a 19.5 percent stake to Glencore and the Qatar Investment Authority (QIA—a sovereign wealth fund) for $11.8 billion. Both Glencore and the QIA told The Wall Street Journal that the deal’s details did not include a right for Russia to buy back Rosneft shares from the Glencore-QIA consortium they had formed for the deal.

British Petroleum owns 19.75 percent of the company. An additional sale of shares that would reduce the Russian government’s ownership to below 50 percent would require a special governmental decree.

"We consider the Chinese market as the most promising and actively developing. The company will increase its cooperation with Chinese partners in all business areas and make public statements accordingly as joint projects are developing," the company told Reuters over email.

Related: Oil Futures Point To Higher Oil Prices

Russia supplies the most oil to China of all of the country’s most prominent suppliers, including OPEC leader Saudi Arabia.

Beijing Gas attempted to purchase a 20 percent stake in Rosneft last year but it is unclear if that deal went through.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play