S. Korea`s state-run oil company buys Canada`s Harvest Energy

SEOUL, Oct. 22 (Yonhap) -- South Korea's state-run oil corporation has bought a
Canadian energy company that can improve the country's self-sufficiency in the
critical resource, the government said Thursday.
The Ministry of Knowledge Economy said Korea National Oil Corp. (KNOC)
successfully concluded a US$3.95 billion merger and acquisition deal with Harvest
Energy that currently produces 53,400 barrels of crude and gas per day.
At present, production from oil and gas fields owned or partly controlled by
South Korean companies stands at around 188,000 barrels per day. This is to be
raised to 241,400 barrels with the latest deal.
The ministry in charge of the country's industrial and energy policies also said
the purchase is expected to push up South Korea's self-sufficiency in oil and gas
to 8.1 percent of total domestic demand from the current 6.3 percent.
South Korea imported 87 million barrels of crude last year.
Seoul has been pushing to win development rights or take over oil fields to
better insulate the country from sharp fluctuations in international oil prices.
yonngong@yna.co.kr
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