Ann: Speculation Regarding Israeli Petroleum Lice, page-9

re: Ann: Speculation Regarding Israeli Petrol... This article from Eureka Report is negative on the Israel move:

http://www.eurekareport.com.au/article/2012/10/24/oil-gas/woodside%E2%80%99s-hot-spots-gamble


The aftershocks of a Woodside win could be profound, such as:

Elevating the company’s risk profile even higher, because a multi-billion-dollar LNG project in Israel would be a prime target for that country’s aggressive neighbours;
Force Shell to accelerate its sell-down of Woodside shares, a process started two years ago; and
If Shell sells, who could emerge with its 23% stake in Woodside.

Whatever does occur in the next few weeks, investors would be wise to look at Woodside in a different way than they did as recently as last month.

It is no longer the near-annuity they saw, reaping cash off domestic oil and gas production and paying handsome dividends.

Woodside is a company chasing growth, but it’s doing it in a way which significantly raises risk (and the potential reward), and its past pursuits of global growth have all failed.