CNOOC to float Oil Base shares

BEIJING, Oct. 24 (UPI) -- The China National Offshore Oil Corp. plans to float shares of its subsidiary Oil Base Group in 2008.

"We will only have several assets, such as oil refining, chemicals, bitumen and fuel oil, and gas-fired power, after the listing of our subsidiary," said Fu Chengyu, general manager of CNOOC. "However, we are to inject the assets into CNOOC Oil Base as occasion acquires."

Previously, CNOOC held 10 firms, each specialized in prospecting, exploitation, production, processing, transportation or selling of oil and gas. Chengyu said CNOOC Oil Base Group had been scheduled to take itself public next year.

He compared the parent company to an incubator.

CNOOC hopes to turn all of its businesses of refining, renewable energy and petrochemicals into listed companies before 2010.

CNOOC Oil Base Group was founded in December 2004 and restructured and established with the combination of CNOOC Bohai Corp., Nanhai West Corp., Nanhai East Corp., Donghai Corp. and CNOOC Enterprises Corp.