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SHANGHAI — Independent oil and gas group Imperial Energy Corp. PLC confirmed Monday that it has received an approach regarding another "possible cash offer" for the company.
Imperial Energy, whose shares are traded in London, did not identify the company involved. But the statement issued on its Web site followed reports by British-based media that state-owned Chinese oil refiner Sinopec Corp. was planning an offer.
London's Sunday Telegraph reported over the weekend that Imperial had agreed to let Sinopec begin due diligence on a possible offer for Imperial, valued at 1.1 billion pounds ($2.2 billion). The report did not give the source of the information.
That report followed earlier rumors that India's Oil & Natural Gas Corp., or ONGC, was making a bid for Imperial.
Imperial Energy earlier acknowledged that it was in negotiations on a possible offer.
"The board of Imperial confirms that it has received another approach in relation to a possible cash offer for the company," said Imperial's statement. "There can be no certainty that any offer will ultimately be made for the company or as to the terms on which any such offer might be made," it said.
The company said a further announcement would be made "when appropriate."
According to its Web site, Imperial Energy, founded in 2004, is an independent oil and gas exploration company with holdings mainly in western Siberia and Kazakhstan. Both China and India have encouraged their state-owned oil and gas giants to diversify and expand their access to scarce energy resources.
Sinopec, whose parent company is China Petroleum & Chemical Corp., is Asia's biggest oil refiner by capacity. Its earnings have been pummeled in recent months by the widening gap between surging international crude oil prices and Chinese domestic prices for oil products, which are government-controlled.
Calls to the offices of the spokesmen for both Sinopec and its parent company rang unanswered Monday.
Sinopec's Shanghai-traded shares fell 2.2 percent Monday to 11.13 yuan. Its shares traded in Hong Kong slipped 2.3 percent to 8.10 Hong Kong dollars.
