Herbert Smith and its Dutch alliance Stibbe have together advised China National Petroleum Corporation (CNPC) on its acquisition of 35% interest in Syria Shell Petroleum Development (SSPD), currently 100% owned by Shell. Shell was advised by its own in-house legal team.

 “We have seen a very significant upswing in outbound acquisition activity by Chinese companies who are keen to secure energy resources and are looking around the world to meet their future needs,” said Anna Howell, Herbert Smith’s lead partner on the deal. In March, Howell also led a team of Herbert Smith lawyers in advising China National Offshore Oil Corporation’s acquisition of 3.6 million tonnes (per annum) of LNG for a 20-year period from Queensland-based BG Group.

CNPC’s stake acquisition in SSPD highlights the Middle East as one of the hot investment destinations for PRC oil and gas companies.

In addition to the acquisition, Qatar Petroleum, on behalf of the government of the State of Qatar, earlier signed a new exploration and production sharing agreement with Shell and PetroChina for Qatar Block D. 

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