The Globe and Mail reports in its Saturday edition that five years after Ottawa put the
brakes on a surge of foreign
investment, a new wave of
Chinese investors is quietly
snapping up energy
companies. The Globe's Jeff Lewis, Jeffrey Jones and Nathan VanderKlippe write that last fall, Shanghai
Energy bought oil and gas properties
from Endurance Energy, a
Calgary-based producer that, unable
to pay its bills, sought
bankruptcy protection in the
spring of 2016. It owed banks
about $221-million.
The deal's backers are among
a new breed of Chinese investors
who are plowing fresh
dollars into Canadian energy
firms in a takeover binge
that has largely escaped public
notice.
Feasting on assets from debt-hobbled
domestic producers
and companies in receivership,
a handful of well-connected Chinese
financiers and oil executives
have spent nearly $2-billion
in a series of deals since Ottawa
imposed restrictions on buying
by state-owned enterprises in
2012, a move thought to have
soured China on the Canadian
oil patch.
Spyglass Resources, New
Star Energy, Twin Butte
Energy, Hyperion Exploration
and others have been
snapped up with private Chinese
capital amid the energy-industry
downturn.
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