Sinopec (China) in $128 billion Iran oil, gas deal [View All]

[TexasLawyer]

Sinopec in $128bn Iran oil, gas deal
Rowan Callick, China correspondent

November 29, 2006

CHINA'S second-biggest oil company, Sinopec, is on the verge of signing a $US 100 billion ($128 billion) energy deal with Iran. This will provide China with 150,000 barrels of oil a day and 250 million tonnes of liquefied natural gas over the next 25 years.

Gholamhossein Nozari, the managing director of state-owned National Iranian Oil, said "all elements of the contract have been finalised". The deal, he said, was at market rates.

As part of the contract, Sinopec will gain a 51 per cent stake in the Yadavaran oil field near the Iraq border.

Under its contract with Australia's North West Shelf partners, China National Offshore Oil Corporation is buying about 92 million tonnes of LNG over the same period, but for a price less than half today's market rate.

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http://www.theaustralian.news.com.au/story/0,20867,20838580-643,00.html