China has reached the oil deal with Angolan oil company Sonangol
China has reached the oil deal with Angolan oil company Sonangol, being ahead Indian rival Oil and Natural Gas Corporation almost at the last minute.
State-run Sonangol blocked an Indian move to buy Shell's 50 percent share in Block 18 for about 620 million dollars.
Indian company Oil and Natural Gas Corporation had almost closed the deal with Shell. The deal would have yielded about five million tonnes of crude oil daily for New Delhi from 2008-2009.
But the Chinese evidently cut a deal with the Angolan government at the last minute, resulting in Sonangol exercising its pre-emption rights.
China managed to swing the deal by offering aid to the tune of two billion for a variety of projects to Angola, compared to India's offer of 200 million dollars for developing railways.