Tuesday, August 02, 2005

CNOOC pulls out of Unocal Game

It looks like Unocal will remain a California company, as the chinese oil company seeking to buy out the Southern California oil giant has pulled out of the picture:

The giant Chinese oil company Cnooc today ended its $18.5 billion takeover bid for the Unocal Corporation of America, citing fierce political opposition to its bid in Washington that it called “regrettable and unjustified."

The decision, which was announced this morning in New York, ends a fierce takeover fight between Cnooc and the Chevron Corporation, which have both been vying to acquire Unocal’s valuable oil and natural gas assets, much of which are based in the United States and Asia.

The move now clears the way for the Chevron Corporation of America to finalize its acquisition of Unocal for about $17 billion in cash and stock, much less than the Chinese bid but an offer that comes with none of the political opposition that Cnooc has encountered in the United States.