Sources from California said Chevron made it clear it had no intention to sell Unocal's Asia assets to China National Offshore Oil Corporation (CNOOC) provided its 16.4 billion USD bid in cash-and-stock for Unocal was successful.

Unocal's Asia business accounts for 70 percent of its total assets and represents the most promising part of its asset portfolio.

Chevron's Vice Chairman of Board Peter J. Robertson unveiled the strategy in an interview. This would dismiss the concern on the market over the possible spin-off of Unocal assets. Mr. Robertson clarified that the case of acquisition by Chevron for Unocal's America assets and another contender for its Asia assets was not what Chevron had expected from the bidding.

Unocal's shareholders will vote on Chevron's offer on August 10 and the US government may review CNOOC's bid.

There were reports about CNOOC's attempt of seeking international strategic partner to join the competition. CNOOC has made no confirmation about this so far.

CNOOC's price closed high in Hong Kong stock market at 4.925 yuan, rising 3.68 percent. By press time Unocal was trade at 65.33 USD in New York Stock Exchanges, lower than CNOOC's 67 USD offer.

Chevron, which is vying for the merger with CNOOC, is also a partner of CNOOC. The two sides signed an MOU as early as 2001 on the collaboration on the exploitation of the Gorgon gas field in Australia.

By People's Daily Online