Addax shuts offices in Geneva, Houston and Aberdeen

Dealdey

As a fall out of its bribery scandal, Addax, a subsidiary of China’s Sinopec has close down its offices in Geneva, Houston and Aberdeen.

It would be recalled that Addax had agreed to pay a total sum of USD31.85 million to settle its bribery charges. Addax has confirmed the closures saying its parent firm Sinopec International Petroleum Exploration and Production Corporation (SIPC) would integrate the three offices into a new technical centre in Beijing.

“This rationalisation, designed to reduce management duplication, improve efficiency and secure long-term business sustainability, will see Addax Petroleum’s Geneva office integrated with SIPC’s headquarters in Beijing, and the Geneva office closed by the end of this year.”

The statement said that Addax’s operating companies will start reporting directly to SIPC headquarters from August 9, and Addax will run a consultation process for its 174 affected staff in Geneva to mitigate the impact of the organisation change, it said.

The bribery scandal surfaced when Addax’s chief executive Zhang Yi, the Chief Executive Officer of Addax Petroleum in Geneva, Switzerland was arrested over questionable dealings he had in Nigeria.

Addax Petroleum was originally part of the Addax & Oryx Group of Companies (AOG) which was founded in 1987. The company was acquired by Dino per in 2009.