PetroChina consolidates its natural gas businesses

PetroChina informed that it has signed the agreement to sell its equity in PetroChina Kunlun Gas to Kunlun Energy for approximately US$2.28 billion. 

Both, Kunlun Gas and Kunlun Energy are units of PetroChina, distributing gas to households and distributing liquefied natural gas for commercial purposes, respectively.

Under the agreement, PetroChina will transfer 100 percent of its equity interest in Kunlun Gas to Kunlun Energy.

The agreement will also allow PetroChina to unite its natural gas businesses and avoid internal competition, as well as to strengthen its competitiveness on the market.

In order to go through, the deal still requires approvals from Kunlun Energy shareholders and China’s governmental authorities.

LNG World News Staff