China's CNOOC to buy Cinda AMC's Hubei Dayukou Chemical stake for 530 mln yuan
12/17/2007
BEIJING (XFN-ASIA) - China National Offshore Oil Corp, the parent of CNOOC Ltd, said it agreed to pay 530 mln yuan to raise its stake in Hubei Dayukou Chemical Co, a chemical fertilizer maker, to 83 pct from almost 30 pct.

CNOOC, the country's top offshore oil and gas producer, wil buy the entire 53.19 pct stake in Hubei Dayukou now held by state-owned debt-clearance firm China Cinda Asset Management Co.

CNOOC and Cinda signed a transfer agreement on Dec 8.

The company said Hubei Dayukou will report a net profit this year but it did not elaborate.

CNOOC plans to build new facilities for Hubei Dayukou that will allow it to produce 800,000 tons per year of sulfuric acid, 300,000 tons of phosphoric acid and 600,000 tons of ammonium phosphate, according to state media.

CNOOC is also the parent of China BlueChemical Ltd., a chemical fertilizer maker.

( 1 usd = 7.4 yuan )