Canada nixes oil company takeover

Progress Energy Resources\' top executive Saturday defended the proposed takeover of the Canadian company by Malaysia\'s state-run oil company. The Canadian government on Friday blocked Petronas\' proposed multibillion-dollar takeover of the Calgary company, saying it wasn\'t in the country\'s best interests. But Progress Energy\'s chief executive officer, Michael Culbert, said in a statement the firm will spend the next month determining \"the nature of the issues and the potential remedies,\" the Canadian Broadcasting Corp. reported. \"The long-term health of the natural gas industry in Canada and the development of a new [liquified natural gas] export industry are dependent on international investments,\" Culbert said. Canadian Industry Minister Christian Paradis said purchase, valued at between $5 billion and $6 billion, failed Canada\'s \"net benefit test.\" \"I can confirm that I have sent a notice letter to Petronas indicating that I am not satisfied that the proposed investment is likely to be of net benefit to Canada,\" Paradis said a statement. The Canadian government also is taking a look at the buyout of Nexen Inc. of Calgary by China National Offshore Oil Corp., which would be a $15.1-billion deal.