Four years ago, United States denied China’s bid for Unocal on national security grounds. Four years later, the state-owned China National Offshore Oil Corp. (CNOOC) is reportedly in negotiation to purchase leases by the Norwegian StatoilHydro in U.S. waters in the Gulf of Mexico. China has a growing demand for oil but its local supply is stagnant, so China is looking for sources abroad especially in U.S. waters. Gulf of Mexico is the source of about a quarter of U.S. crude oil production. [latimes.com]
Read the full story, China’s push for oil in Gulf of Mexico puts U.S. in awkward spot, at the Los Angeles Times site.