The Canadian governent blocked Malaysian state oil company Petronas' C$5.17 billion ($5.22 billion) bid for gas producer Progress Energy Resources Corp on Friday, in a ruling that could have huge implications for the far larger proposed takeover of Nexen by China's state-owned CNOOC. "I can confirm that I have sent a notice letter to Petronas indicating that I am not satisfied that the proposed investment is likely to be of net benefit to Canada," said Christian Paradis, Canmada's Minister of Industry in a statement.Petronas has up to 30 days to make any additional representations and submit any further undertakings that could make the deal more palatable to the Canadian government.
Progress Energy Resources Corp (Progress) is engaged in the exploration for, and the acquisition, development and production of, oil and natural gas reserves in the provinces of British Columbia and Alberta. Shares of PRQ fell by 0.87% or $-0.19/share to $21.65. In the past year, the shares have traded as low as $9.44 and as high as $22.94. On average, 2286570 shares of PRQ.TO exchange hands on a given day and today's volume is recorded at 9977101.
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