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Unocal 'almost backed China bid'
(Agencies)
Updated: 2005-07-26 07:10

Any purchase by CNOOC would have had to be examined by President George W Bush's administration, a process that could have taken months.

Political concerns centred both on America's $160bn trade deficit with China, whose economy is surging ahead.

To compensate for the risk of delays in seeking regulatory approval, Unocal insisted CNOOC raise its offer, despite the fact that it already trumped Chevron's.

Meanwhile, CNOOC had made repeated efforts to reassure politicians that its takeover would not jeopardise jobs or become a security risk.

But despite the concerns of both parties nearly being ironed out, no increased bid was put forward by CNOOC.

Unocal shareholders are due to vote on the Chevron bid at a meeting on 10 August.

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