Repsol 40% shares Sinopec 7.1 billion U.S. dollars to exploit Brazilian oilfields

After the Sinopec Group in 2009 to 7.24 billion U.S. dollars to the Swiss oil and gas enterprises Addax oil company into the arms, the company recently invested 7.1 billion U.S. dollars to buy Spanish Repsol (hereinafter referred to as "Repsol") company in Brazil local enterprises.　　If the acquisition is approved, it also means that Sinopec group in the oil and gas resource-rich South America market to obtain great development space. In addition, the industry also believes that the Sinopec group at the level of takeover, this asset may be injected into the listed company Sinopec (600028.　　SH), so that Sinopec's existing 40 million tons of crude oil production has been improved to stabilize domestic oil supply will also play a positive role.　　Cut into the Brazilian market this time, Sinopec Group in the international Oil exploration and Development Co., Ltd. to buy Repsorbacy company, for this will be 7.1 billion U.S. dollars to subscribe to the latter's new shares, so as to exchange 40% of the shares, the remaining 60% shares are still Repsol all. Repsol, Spain's largest industrial company, achieved a net profit of € 1.559 billion in 2009, with operating profits of 780 million euros in upstream operations.　　At present, the group's oil reserves of about 120 million tons, natural gas reserves of 207.9 billion cubic meters (Sinopec 197.1 billion cubic meters), oil production is currently about 22.1 million tons.　　Notably, unlike last year's Sinopec takeover of the Swiss Addax oil company, the Sinopec Group did not disclose Repsorbacy's crude oil production sales.　　Haitong Securities According to a new study, Repsol, Brazil has the largest number of exploration blocks of foreign enterprises, in the end of 2009, in Brazil, there are 23 exploration development blocks, a total of 3035 square kilometers. China Petrochemical group related personage yesterday told "First financial daily", the current Repsorbacy company shares a number of major Brazilian exploration basins: Santos, Campos and Espiritosanto.　　And Santos's salt area is one of the 10 major development goals of Repsol. Brazil is one of the world's few offshore oil and gas-rich regions, and Sinopec is tapping into the country's oil and gas resources in various ways.　　In May this year, Sinopec and Petrobras and the Bank of China signed a loan-for-oil deal of $10 billion trillion, and Sinopec will have a stable source of Brazilian oil for the next 10 years.　　According to our correspondent's exclusive news, CMB's two oil companies will also explore other businesses, such as the development of mature Brazilian oilfields, joint bids for Brazilian and third country oil and gas fields and so on.　　The purchase price is on the high side? For this acquisition, some people think the bid may be high. Haitong Securities quoted experts analysis, said Sinopec 7.1 billion U.S. dollars to buy assets value of 10.664 billion U.S. dollars (adjusted value of 17.773 billion U.S. dollars), the purchase price if converted to oil prices, to reach $15 per barrel. In September this year, another Brazilian firm bought the sameThe price of production is 8.5 dollars per barrel. However, 15 of dollars is not particularly high in the eyes of other investment agencies. Sinopec acquired a 55% per cent stake in SSI Holdings in the group this March. SSI has a 50% interest in 18 blocks in Angola. At the time, the deal was priced at $1.678 billion trillion, "corresponding to 93.35 million barrels of equity in eastern Angola, with a purchase price of $18 per barrel."　　Wanguo analyst Zheng that the 15~18 dollar's acquisition price is equivalent to the international reserve transaction price. From the recent two years of the Sinopec takeover case can be found that Sinopec more value the future growth of the enterprise capacity of space and development potential. SSI's oil and gas blocks in Angola have a real Nissan capacity of 225,000 barrels, which is limited by OPEC and is now only 72,500 barrels per day, so there will be more room for improvement in the future.　　And Addax Company's existing exploration and development blocks total 25 (of which 15 exploration, 10 development, distributed in the sea, there are 17), while the drilling ring for 111, the Enterprise 2P oil recoverable reserves up to 537 million barrels. In addition, the Sinopec Group of senior executives on different occasions, the future plans to the group's crude oil production gradually injected into the listed companies.　　The increase of crude oil upstream business plate can obviously improve the self-sufficiency rate of Sinopec.　　At present, Sinopec's crude oil processing capacity is 180 million tons, but the actual crude oil production is only about 40 million tons, more than 70% of the crude oil needs to be procured from overseas.　　Therefore, Sinopec's 16 million tons of overseas assets, coupled with the new acquisition of Repsorbacy Company's new production can be fully injected into the listed companies, not only can make Sinopec's oil supply is protected, but also can contribute to the profits of listed companies. Sinopec said the Brazilian project's deal would also require regulatory approval from the Chinese government, while also working with Repsol to continue developing local oilfields.