Sinopec's Addax move gets Beijing nod

Addax chief: Jean Claude Gandur

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Tan Hwee Hwee

 12 August 2009 02:26 GMT

Sinopec has been given official approval by the Chinese government to complete a reported $7.2 billion acquisition of Swiss-headquartered player Addax Petroleum.

The offer is subject to several conditions including acceptances by shareholders holding combined interest of no less than 66.66% in Addax.

The deal also provides for a termination or break-up fee of $300 million if the acquisition is not completed within“certain specified circumstances”, as earlier reported in Upstream newspaper .

Korea National Oil Company was earlier reported to be considering a rival bid for the West Africa-based oil producer.

Addax holds assets in Nigeria, Cameron and Gabon with a combined 538 million barrels of proven and probable oil reserves as of the end…

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