China's Sinopec buys 75% of Chevron’s South African assets
It is the Chinese petroleum and oil company’s first investment in a refinery in Africa
Hong Kong-listed China Petroleum & Chemical Corporation (Sinopec Corp), a subsidiary of Chinese state-owned oil, gas and petrochemical producer Sinopec Group, has agreed to pay $900m (R11.3bn) for 75% of Chevron’s South African assets, the company said on Wednesday. This is Sinopec’s first investment in an oil refinery in Africa although it has been active on the continent for more than 20 years, mainly in oil and gas exploration. In 2012 it partnered with PetroSA on a feasibility study for the proposed refinery at Coega, called Project Mthombo, which was never built. In the nine months to September, Sinopec Corp produced 322.29-million barrels of oil equivalent (boe) of oil and gas and refined 175.25-million tonnes of product. It had 30,721 Sinopec-branded service stations, mostly company operated. Total revenue was 1.36-trillion remnimbi (R2.5-trillion). Chevron sought a buyer for its local operations for more than a year as part of a global sale of about $15bn of assets. But the ...
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