China’s Top Oil Gaint Reportedly Plans to Exit Western Markets in Fear of Sanctions, Returning to Domestic IPOs

A Nexen oil sands facility is seen in this aerial photograph near Fort McMurray, Canada, on July 10, 2012. Nexen was sold to China's CNOOC Ltd. in December 2012. The Canadian Press/Jeff McIntosh

China is selling its oil fields in the United States, Canada, and Britain due to fear of Western sanctions, according to a recent Reuters report. Experts say Beijing’s over-reliance on U.S. markets and technologies could be fatal in the case of being sanctioned or losing its overseas assets.

China’s top offshore oil and gas producer, China National Offshore Oil Corporation (CNOOC), is preparing to exit its operations in the United States, Canada, and Britain due to the threat of sanctions, industry sources told Reuters. The company seeks to unravel its $15 billion investment in Canada’s Nexen, which produces approximately 220,000 barrels per day in the North Sea, Gulf of Mexico, and Canada’s oil sands.