Brightoil completes purchase of Bohai Bay oil blocks

PUBLISHED : Monday, 11 August, 2014, 10:25am
UPDATED : Tuesday, 12 August, 2014, 7:10pm

Hong Kong-listed Brightoil Petroleum has announced the finalisation of a US$1 billion acquisition of oil blocks in northeast China from Anadarko Petroleum, a New York-listed firm that specialises in oil exploration.

Brightoil has bought a 40 per cent stake in a 124 sq km offshore oil block, and a 29 per cent stake in an 88 sq km block. Both are in Bohai Bay and are producing.

The marine bunkering and transportation firm says the acquisition takes it into offshore oil production for the first time and that its oil and natural gas storage and production will “increase immensely”.

Brightoil’s upstream assets prior to the acquisition comprised gas fields in the Xinjiang Uygur Autonomous Region.

It announced the acquisition on February 18.

Brightoil shares rose 2.1 per cent to HK$2.46 at 10.13am on Monday.