Nexen, Progress foreign takeover deals approved by Canadian government
SHAWN MCCARTHY AND STEVEN CHASE
OTTAWA — The Globe and Mail
Published Friday, Dec. 07 2012
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Ottawa has also given the green light to a bid by Malaysia’s Petronas to acquire Progress Energy, a Calgary producer with significant natural gas holdings in shale gas fields of northeastern British Columbia. Petronas is proposing to build an $11-billion plant in Prince Rupert, B.C., to liquefy gas and export to Asia.
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This is great news for BC! The new Pacific Northwest LNG terminal (which was given the green light to enter the design phase a few days ago) should be larger due to the approval of the Progress takeover.
Interesting that Nexen sold the Japanese nearly half of their NG holdings in northeastern BC in 2011, while forming joint ventures with CNOOC. I believe the US still has to approve CNOOCs takeover of Nexen Gulf of Mexico holdings. I assume CNOOCs takeover of Nexens UK/North Sea holdings is done.
I think the asians mostly just want Canadian LNG for export, as the demand for LNG in Japan and China is increasing fast. CNOOC can sell the oil it produces in Canada to US refiners, but more importantly gains Nexen's oil producing/exploration assets in the Gulf of Mexico and North Sea...