Kunlun Energy shares surge after asset deal

Shares of Kunlun Energy Co hit a seven-month high in Hong Kong on Tuesday after its parent PetroChina Co said it was selling its entire holding in PetroChina Kunlun Gas to Kunlun Energy for 14.8 billion yuan ($2.28 billion).

Following the announcement, Kunlun Energy shares jumped by about 3 percent to 6.86 yuan on the Hong Kong Stock Exchange.

China National Petroleum Corp, also known as PetroChina, had formed two companies - Kunlun Energy and PetroChina Kunlun Gas - to expand its natural gas business in China. It controlled 58.3 percent of Kunlun Energy and 100 percent of PetroChina Kunlun Gas.