Well-placed sources told ­Upstream that China’s state assets governing body, the Assets Supervision & Administration Commission of the State Council, has endorsed the framework ­acquisition plan for the farm-in deal, which is worth 1.203 billion yuan (US$182 million), boosting CUCBM’s total registered capital to 1.8 billion yuan.

CNOOC is designated to take over the overall business oper­ations of the restructured CUCBM, aiming to inject “several billion yuan” into the development of coalbed methane gas next year.

Sources