why the reluctance, page-19

Interesting commentary in the Fin Review yesterday about potential takeovers in the oil sector. OSH was the main one discussed - the large Chinese oil company (I forget the name) was the one mentioned as a possibility. Given their desire for influence in the Pacific it is understandable (they would have great influence on PNG if they owned a large part of this project). Also, it said there would be no FIRB issues with OSH.

Another candidate mentioned was AWE. I think this is a very real possiblity. Both OSH and AWE have very open share registers. Also, AWE is in the middle of some company making drilling at the moment. Both OSH and AWE are trading well below their NAV.

Woodside & STO were considered possibilities but there would be significant hurdles (Woodside has Shell already in there, and STO would face considerable FIRB scrutiny).

Interesting that this starting to be discussed.