China Petroleum and Chemical Corp (Sinopec) is nearing an agreement to buy a majority stake in Chevron Corp's South African assets, which are estimated at $1-billion, two people familiar with the transaction said.
The sources said that Sinopec, Asia's largest oil refiner, was the last bidder remaining, and close to completing a deal with the US oil major.
If the deal is finalised, it will be Sinopec's first refinery asset in Africa, forming a part of the Chinese major's global fuel distribution network.
Sinopec declined to comment.
Chevron first announced plans in January 2016 to sell the stake in the business unit, which includes a 110 000 bl/d refinery in Cape Town, South Africa.
Chevron spokesman Braden Reddall said "the process of soliciting expressions of interest in the 75% shareholding is ongoing."
The remaining 25% interest is held by a consortium of black economic empowerment shareholders and an employee trust. A second bidding round closed on September 30, additional sources said.