China buying Kazakh energy assets

BEIJING, Oct. 2 (UPI) -- China is continuing its purchases of Kazakh energy assets.

Xinhua news agency reported Thursday that the China Investment Corp., the country's sovereign wealth fund, Wednesday announced it had paid $939 million for a stake in Kazakhstan's JSC KazMunaiGas Exploration Production oil and gas company.


The CIC is China's sovereign wealth fund, with a capitalization estimated at $300 billion.

According to a statement on the CIC Web site, the corporation purchased about 11 percent of KMG EP's Global Depository Receipts through its Fullbloom Investment Corp. subsidiary, which is wholly owned by CIC.

KMG EP's stock is listed on the Kazakhstan Stock Exchange and its GDRs are traded on the London Stock Exchange.

Following the CIC announcement of its purchase KMG's GDRs rose 9.95 percent to $22.10 in London trading.

In April China National Petroleum Corp. agreed with Kazakhstan's state oil firm KazMunaiGas to jointly buy oil producer MangistauMunaiGas for $3.3 billion.

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