Australia’s AWE gets two takeover offers

Australian oil and gas producer AWE has attracted two takeover offers in the last seven days as companies are targeting AWE’s stake in the Waitsia gas project in Western Australia.

Australia’s Mineral Resources has on Monday offered A$484 million ($364 million) for AWE, topping a sweetened bid from state-owned China Energy Reserve and Chemicals Group (CERCG).

CERCG last Friday raised its all-cash offer slightly to A$0.73 a share, going straight to shareholders after AWE rebuffed a friendly approach.

According to a report by Reuters, the Chinese integrated energy firm said in a press release that subsidiary CERCG Australia is studying the viability of transporting LNG by road, rail and ship.

The company would use LNG container tanks which can maintain liquefaction for 110 days, the report said.

AWE said on Monday it will evaluate the two proposed takeover offers and provide shareholders with a recommendation in “due course.”

“Until that recommendation is provided shareholders should take no action in relation to the MRL proposal or the proposed offer from CERCG Australia,” the company said in a statement.

LNG World News Staff