Sinopec Negotiating To Buy Repsol's Argentina YPF -Report

China Petrochemical Corp., known as Sinopec Group, has reached a non-binding agreement with Spain's Repsol YPF SA (REP.MC) to purchase its Argentine subsidiary for more than $15 billion, Caixin Online reported Wednesday, citing unnamed people close to Sinopec. Although the Spanish-language El Confidencial newspaper reported earlier that China National Offshore Oil Corp. was in talks to buy Argentina's YPF for more than $9.16 billion, the source said the report was incorrect but that Sinopec had been in talks with YPF for some time and had reached an initial agreement, according to Caixin.

The person added that Sinopec hopes to get the approval of Repsol's board of directors to purchase a majority stake in the Argentine subsidiary.

Before signing a binding, commercial contract, Sinopec will also need approval from both the Spanish and Argentine governments, Caixin reported, quoting the person.

A Sinopec spokesman couldn't immediately be reached for comment.