China bids $15B for Calgary oilsands firm

China is looking to buy Canadian oil, and they are willing to pay over $15 billion in cash for it. China National Offshore Oil Company has bid to take over Calgary-based oil and gas firm Nexen for $15.1 billion (U.S.), the CBC reports.

The state-owned Chinese oil company will reportedly pay $27.50 per share, making it the largest transaction ever attempted by the Chinese government. CNOCC plans to keep all employees and make Canada a hub for operations in the west, writes Yahoo.

Nexen said the deal needs approval from regulators, including those in the United States, writes CNN, and the full transaction should be worked out by the end of 2012. The deal also needs Canada’s federal government”s approval, in accordance with the Investment Canada Act, which is no guarantee.

In 2009, Ottawa blocked a $39 billion foreign takeover bid of Potash Corp. of Saskatchewan from an Australian company. The NDP has asked for a full public review of the deal, reports Canadian Business.