China’s International Oil Strategy 2009

Philip Andrews-Speed, University of Dundee

This is discussed in respect to the overseas investment and the different objectives of the parties involved. Chinese Government context is set out in respect to energy, industry, social, financial and foreign policy. These are considered against the policy objectives of possible host Governments. A comparison of the objectives of NOCs is also provided, with Chinese NOCs focussing on reserves growth, profits, vertical integration, survival, international ambitions and price controls; whereas host NOCs objectives may include funding drivers (investment, loans), access to cheaper oil field services and new opportunities in China. The key issue is how the long the differing objectives may converge for, and what the scope for convergence may be.