Sinopec agrees USD2.5bn oil shale deal

Sinopec agrees USD2.5bn oil shale deal
China Petrochemical Corporation (Sinopec) has started the new year with a significant international acquisition, agreeing to invest up to USD2.5bn for a one-third stake in five US oil shale projects owned by Devon Energy. Sinopec International Petroleum Exploration and Production Corp, a wholly owned subsidiary of state-owned Sinopec, will pay Devon USD900m in cash for its stake in the projects and as much as USD1.6bn in the form of a drilling carry that will fund 70% of Devon’s capital requirements.