Spain-based oil producer Repsol YPF SA is pursuing discussions to sell a stake in its Argentine unit to China National Petroleum Corp. or CNPC, rather than Chinese oil producer Cnooc Ltd., Bloomberg reported quoting two people familiar with the matter.
There are no formal offers for the unit, although the sale will help the company raise funds for new exploration projects in regions like Brazil's offshore Santos Basin. China is seeking to secure oil supplies, the report added.
Repsol is reportedly not in discussions with Cnooc currently. However, the Bloomberg report added that Repsol and CNPC have not agreed on the terms of any deal and future discussions with Cnooc could not be ruled out.
Cnooc, the Hong Kong-listed unit of state-controlled China National Offshore Oil Corp., was preparing a bid for a minority stake in YPF. It wanted to team up with Repsol on oil and gas exploration and development.
India's Oil & Natural Gas Corp. is reportedly negotiating with three Russian companies to bid jointly for a stake in YPF.
For comments and feedback: editorial@rttnews.com