Canada may use Nexen deal to open Chinese markets

Canada’s industry minister indicated Tuesday that the government may use its review of Chinese state-owned oil firm CNOOC’s (CEO.NYSE, 0883.HKG) bid to acquire Canadian energy company Nexen (NXY.NYSE, NXY.TSE) as a means to push for further opening of the Chinese market, The Wall Street Journal reported. Christian Paradis, who oversees the ministry that reviews foreign deals, said the issue of further opening Chinese markets to Canadian companies would be considered as part of the review but did not say it would be a precondition for approving CNOOC’s bid. “What we hope is for Canadian companies to grow, not just here but everywhere in the world where they have opportunities,” he said. “And, as the government, we have to make sure they have the opportunities.” The US$15.1 billion deal would be China’s largest foreign acquisition and is also subject to approval by US regulators.