Conoco Sells Stake in Syncrude to Sinopec
Conoco (NYSE:COP) has sold its 9 percent stake in Syncrude to Sinopec International Petroleum Exploration and Production (NYSE:SHI) for $4.65 billion, the company said on Monday. Syncrude is an oil sands project in Canada.
The move by Conoco was part of their strategy to pay down their huge debt load, with a goal of divesting of $10 billion in assets over the next two years for that purpose.
With this acquisition, China's investment in the oil sands projects in general stands at about $10 billion.
Recently Conoco announced it was selling its stake in Lukoil, the Russian oil producing giant, which would raise $4.9 billion at existing prices.
Already these two major deals are close to the stated goal of Conoco, so we'll see if they continue on with big deals, or now look to smaller deals to reach their goal.
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