Photographer: Hassan Ammar/AFP via Getty Images

CEFC China Quashes Speculation Aramco IPO Could Be Next Target

  • Company deepened oil ties with $9 billion Rosneft deal
  • CEFC has grown from small local trader to global operation

CEFC China Energy Co., the company buying a $9 billion stake in Russia’s biggest oil company, quashed speculation that it also wants a piece of Saudi Arabia’s energy giant.

“No, not for now,” CEFC Executive Director Yong Li said Thursday when asked about the possibility his company would participate in the Saudi Arabian Oil Co. initial public offering next year.

CEFC, which has grown from a small local trader to a global operation with interests from oil fields to terminals and finance, has supported Chinese President Xi Jinping’s efforts to boost investment and construction across a trade route between China, Asia and Europe. Its 14.16-percent stake in the Kremlin-backed Rosneft will be its largest investment so far.

Speaking at the same event in Verona, Italy, on Thursday, Rosneft Chief Executive Officer Igor Sechin said the company isn’t considering participating in the Aramco IPO either. He named legal and legislative risks to the listing, without specifying what they were.

"I wish them success,” he said. “We are interested in this happening, we welcome it."

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