CNOOC and Sinopec to Buy Angola Stake       

CNOOC Ltd. (HK: 0883) and Sinopec Group's wholly owned subsidiary Sinopec International Petroleum Exploration and Production Corporation intend to buy a stake in Angola block 32 for US$1.3 billion in cash, through their 50: 50 joint venture. CNOOC Ltd. said in a statement on July 17th.
   The jv has signed a sale and purchase agreement with Marathon International Petroleum Angola Block 32 Limited, a subsidiary of Marathon Oil Corporation, concerning acquiring a 20% working interest in the Production Sharing Contract and Joint Operating Agreement under Block 32, offshore Angola.
   The Block 32, with an acreage of 5 090 square kilometers, is an oil rich deepwater exploration block with 12 oil discoveries. The block is located about 150 kilometers off the coast in a water depth of 1 400 to 2 200 meters.
   The transaction is expected to be closed by year-end 2009, subject to governmental and regulatory approvals and the pre-option rights of the other parties to the Production Sharing Contract and Joint Operating Agreement.
    Upon completion of the deal, Marathon will retain a 10% working interest in the block.
    The block is operated by French Total, which owns a 30% stake, while Texas-based Exxon Mobil Corp holds 15%, Portugal's Galp owns 5% and Angola's state-owned oil company Sonangol owns 20%.