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Gas looms large in China Resources merger

The $22 billion merger between power and gas subsidiaries of state-owned China Resources Group will create one of the country’s largest integrated energy utilities The $22 billion merger between power and gas subsidiaries of state-owned China Resources Group will create one of the country’s largest integrated energy utilities.
By Colin Shek, Hang Dong and David Lore 10 May 2013 0 1964
A map showing the gas projects of China Resources Gas at the end of 2012.

China Resources Power (CR Power) and China Resources Gas (CR Gas) confirmed on Friday they will merge to form one of China’s largest integrated energy and utilities groups with a market capitalisation of roughly HK$170 billion ($21.9 billion).

The merger – announced via a joint statement with the Hong Kong Stock Exchange (HKSE) – ends days of speculation that came after both companies suspended trading of shares on Monday in Hong Kong.

Prior to Friday’s statement, analysts told Interfax this week the suspension was the prelude to a merger...