Drive to Tap into China Demand Spurs Partnerships

The Financial Times reports on a slew of new deals which have Western oil companies cooperating with Chinese partners on various projects around the globe:

Royal Dutch Shell has teamed up with PetroChina for a joint bid for Arrow Energy, the Australian gas company; Total of France is expected to work with CNOOC to develop Tullow Oil’s assets in Uganda; and BP has formed a partnership with China National Petroleum Corp to develop the giant Rumaila oil field in Iraq.

The circumstances of each deal are different. In Iraq, for example, where the projects are technically straightforward but have political and security risks, having a Chinese partner provides important benefits to BP.

Samuel Ciszuk of IHS Global Insight says CNPC brings political clout because it is state owned, as well as a “skilled, cheap workforce and a willingness to invest in a low-margin project”.

Yet while these partnerships have a variety of motives, there is often a common ambition behind them; western companies hope to build on their respective relationships to secure greater access to the Chinese market.


Subscribe to CDT


Browsers Unbounded by Lantern

Now, you can combat internet censorship in a new way: by toggling the switch below while browsing China Digital Times, you can provide a secure "bridge" for people who want to freely access information. This open-source project is powered by Lantern, know more about this project.

Google Ads 1

Giving Assistant

Google Ads 2

Anti-censorship Tools

Life Without Walls

Click on the image to download Firefly for circumvention

Open popup

Welcome back!

CDT is a non-profit media site, and we need your support. Your contribution will help us provide more translations, breaking news, and other content you love.