Anadarko selling Chinese unit for $1.1bn

U.S. Oil and gas company, Anadarko Petroleum Corp., said that it has inked a stock purchase agreement with a Hong Kong-listed oil trader to sell its Chinese subsidiary for nearly 1.1 billion U.S. dollars. The Texas-based company has signed the agreement with a wholly owned subsidiary of Brightoil Petroleum whereby Anadarko will divest its Chinese subsidiary for 1.075 billion dollars. "This transaction accelerates the recognition of value from a non-operated legacy asset and continues to demonstrate our commitment to active portfolio management," said Anadarko Chairman, President and CEO Al Walker. "We value our long-term relationship with CNOOC (China National Offshore Oil Company), wish them continued success and look forward to future partnering opportunities." The subsidiary to be divested owns Anadarko's non-operating interest in China's Bohai Bay field. CNOOC has been Anadarko's partner and the majority stakeholder in the Bohai project. In 2013, Anadarko's net oil sales volumes from Bohai Bay averaged approximately 11,000 barrels per day. The transaction is expected to close later this year, according to the statement. As of year-end 2013, Anadarko had approximately 2.79 billion barrels-equivalent of proved reserves, making it one of the world' s largest independent exploration and production companies. Brightoil, which has a market value of 2.9 billion dollars, is the third-largest marine fuel supplier by volume in Singapore, which is the largest bunkering port in the world.