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'Palm' pid='37903' datel Wrote:That's the valuation based on the one report. As always let's see what it ends up being real. Will be lots of chit flying around next couple of days; could be Duma was standing in the way of a deal getting done. Toilet plunger removed that clog maybe.
I guess it's possible that Duma could have been a bribed, corruped, GCI charged with an obstructionist role. Would seem strange though, since there is no history of such behaviour with the Hon. Duma in his IOC dealings.
Maybe our new COO again demonstrated an inability to be held hostage by 3rd world self servers acting sovereign of law and contract.
"Mr. O'Neill, it's IOC/TOT or Duma. Your choice"
http://www.theage.com.au/business/woodsi...-vfab.html
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Oil Search, Papua New Guinea's biggest oil firm, has said previously that it was in talks to buy into the Elk and Antelope fields, which French oil giant Total SA acquired a stake in last December in a deal worth up to $3.6 billion.
Oil Search had been due to release its full-year results on Tuesday but postponed that for at least two days due to the pending deal. It declined to comment on the transaction it was working on.
"As soon as we have something finalised, we'll release our results and information about the transaction," Oil Search's Investor Relations Manager Ann Diamant said.
Total bought a 61 percent interest in InterOil's license holding the Elk and Antelope fields in December and said it may sell down a 19 percent stake in a deal that would need InterOil's approval.
A spokesman for InterOil declined to comment on whether a transaction was in the works.
Citi analysts estimated if Oil Search picked up a 19 percent stake on the same terms as Total, it would need to pay up to $1 billion in three stages, after the fields were appraised and a final decision was made to develop them.
Oil Search would need to tap equity markets or take on debt to help fund a deal, which would involve an initial payment of around $193 million in the first quarter of 2014, Citi said in a December note.
Oil Search is set for strong growth beginning in the third quarter of 2014, when the $19 billion PNG liquefied natural gas project, 29 percent owned by Oil Search and operated by ExxonMobil, is to start exporting.
Analysts expect Oil Search's annual profit to quadruple to more than A$800 million over the next two years on the back of PNG LNG exports.
The Elk and Antelope fields are seen as potential source of gas for an expansion of the PNG LNG project or for a proposed rival plant, called the Gulf LNG project.
Oil Search is seen as a potential takeover target for bigger oil companies, like Woodside Petroleum and Royal Dutch Shell looking to get a foot into LNG expansion opportunities in Papua New Guinea, which would help them avoid the hefty costs of building new LNG projects from scratch.
Oil Search is 15 percent held by Abu Dhabi's International Petroleum Investment Co (IPIC) - a stake which the PNG government wants to buy back when a five-year A$1.68 billion ($1.5 billion) exchangeable bond it issued to IPIC expires on March 5.
PNG has lined up funding through UBS to redeem the bond but as the government arranged the funding only this month, it won't be able to meet the March 5 deadline to complete all the paperwork and is pressing Abu Dhabi for more time, two people familiar with the process said.
The sources declined to be named due to the sensitivity of the negotiations with IPIC.
Oil Search's pending acquisition may further complicate the bond redemption, depending on the impact of the deal on Oil Search valuations and any potential dilution from an equity raising.
The bond was tied to an Oil Search share price of A$8.55. Oil Search shares last traded at A$8.57, valuing the company at A$11.5 billion.
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From Bloomberg:
"The trading halt in Sydney should remain in place until Feb. 27 or an announcement is made, the Port Moresby-based company said today in a statement. It deferred releasing its full-year earnings, due today, until the deal is completed."
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One scenario . Totals deal with IOC remains the same. Oil Search buys this percentage from total. Would put a valuation on the e/a project of $6 Billion . Implied valuation of $120 per share for just E/A. Alas we have no details just scenarios.IOC could deliver the minority interest to Total and borrow the money from the banks until they were paid their resource payment. Need details.
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12 days ago CEO Walrus in charge stated:
"De Margerie also confirmed that Total was planning to sell five percentage points of its 37.5% share in the Elk-Antelope liquefied natural gas project in Papua New Guinea, and that negotiations were underway with an undisclosed party."
20 days ago:
"InterOil has already sold a $3.6 billion stake to French multinational Total but the company is looking to sell off a portion before signing binding terms"
Katy by the door!
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'jft310' pid='37913' datel Wrote:
One scenario . Totals deal with IOC remains the same. Oil Search buys this percentage from total. Would put a valuation on the e/a project of $6 Billion . Implied valuation of $120 per share for just E/A. Alas we have no details just scenarios.IOC could deliver the minority interest to Total and borrow the money from the banks until they were paid their resource payment. Need details.
Ken,
I was thinking last night about the OSH and Duma announcements and how this cannot be a coincidence. My crazy thoughts are OSH wants to team with IOC/TOT. IOC/TOT want to use the common infrastructure that PNG LNG project has. Duma wants a seperate project. O'neil wants the project as quickly as possible. Thereby, Duma is gone, OSH joins IOC/TOT, and IOC/TOT joins the PNG/LNG project infrastructure. Yes, I know Exxon is a big factor here but OSH has been acting on the PNG/LNG behalf, hence the trading halt to have Exxon and OSH agree to the details, along with PNG, IOC/TOT.
This may be a crazy idea, but it would be huge and the first IOC train design and could start immediately with additional add on trains as the the gas is proven thru drilling.
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02-25-2014, 11:20 PM
(This post was last modified: 02-25-2014, 11:22 PM by Dmarque.)
'Tree' pid='37906' datel Wrote:
'Palm' pid='37903' datel Wrote:That's the valuation based on the one report. As always let's see what it ends up being real. Will be lots of chit flying around next couple of days; could be Duma was standing in the way of a deal getting done. Toilet plunger removed that clog maybe.
I guess it's possible that Duma could have been a bribed, corruped, GCI charged with an obstructionist role. Would seem strange though, since there is no history of such behaviour with the Hon. Duma in his IOC dealings.
Maybe our new COO again demonstrated an inability to be held hostage by 3rd world self servers acting sovereign of law and contract.
"Mr. O'Neill, it's IOC/TOT or Duma. Your choice"
http://www.theage.com.au/business/woodsi...-vfab.html
Friends:
Duma had to be one of the biggest impediments to the efficiency of freemarket capitalism in PNG restricting a proper valuation of our asset and the completion in the bidding process in the struggle for control to the most responsible suitor. This event is so significant that i think at least 25% of Maui's Champagne should be cracked opened in celebration~!!!
Just a thougth~!
Dmarque
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[quote='will2bgreat' pid='37915' dateline='1393333827']
[quote='jft310' pid='37913' dateline='1393329583']
One scenario . Totals deal with IOC remains the same. Oil Search buys this percentage from total. Would put a valuation on the e/a project of $6 Billion . Implied valuation of $120 per share for just E/A. Alas we have no details just scenarios.IOC could deliver the minority interest to Total and borrow the money from the banks until they were paid their resource payment. Need details.
Ken,
I was thinking last night about the OSH and Duma announcements and how this cannot be a coincidence. My crazy thoughts are OSH wants to team with IOC/TOT. IOC/TOT want to use the common infrastructure that PNG LNG project has. Duma wants a seperate project. O'neil wants the project as quickly as possible. Thereby, Duma is gone, OSH joins IOC/TOT, and IOC/TOT joins the PNG/LNG project infrastructure. Yes, I know Exxon is a big factor here but OSH has been acting on the PNG/LNG behalf, hence the trading halt to have Exxon and OSH agree to the details, along with PNG, IOC/TOT.
This may be a crazy idea, but it would be huge and the first IOC train design and could start immediately with additional add on trains as the the gas is proven thru drill
could be. Exxon needs gas we know that . Bloomberg this AM says OSH would make staged payments like total . Reported to. Say $193 million down with payments up to $1.2 Billion . Values E/A at $6 Billion up to price. We are at anse marcel sint Martin can't see much
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