01-29-2014, 03:15 AM
Considering OSH to fit the definition of "strategic partner" is a stretch IMO. Might they be a minoroty partner? Maybe. But hardly "strategic". No real value added near-term or long-term. They are not particularly good at finding oil/gas and IOC has outpaced them with seismic work as well as discovery. They have local ties, but so does IOC. XOM saved their "Hides" (pun intended) with PNG LNG. JAPEX or other equivalent fits the "strategic" label, but not OSH.
OSH needs some additional coat-tails to try and latch onto for PR purposes to hit their A $8.55 target and make PNG whole. For IOC since the "strategic" would buy likely later down the road and would be buying part of Total's share would not help cash-wise near-term. What a true "strategic" adds is access to markets, financing, technology, know-how etc. That's not OSH.
OSH needs some additional coat-tails to try and latch onto for PR purposes to hit their A $8.55 target and make PNG whole. For IOC since the "strategic" would buy likely later down the road and would be buying part of Total's share would not help cash-wise near-term. What a true "strategic" adds is access to markets, financing, technology, know-how etc. That's not OSH.