News: STX UPDATE 1-Mineral Resources steers away from Warrego Energy buyout plan

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Jan 18 (Reuters) - Australia's Mineral Resources Ltd (MIN) said on Wednesday that it will not make a takeover offer for Perth-based Warrego Energy (WGO) , citing over-inflation of gas asset prices in the Perth-basin.

Warrego, which holds the West Erregulla gas fields in North Perth Basin in Western Australia, has lately been at the center of M&A attention, attracting offers from gas players such as Beach Energy (BPT) , Strike Energy (STX) and Gina Rinehart-owned Hancock Energy.

Mineral Resources also confirmed that it had acquired a 19.17% strategic stake in Warrego.

Hancock, which has made a A$0.36 per share bid for Warrego, said last week that it has received acceptances from Warrego shareholders holding about 26.1% of the company's shares.

Earlier this month, Hancock Energy had raised its offer to A$0.36 a piece from A$0.28 per share of Warrego, valuing the oil and gas explorer at A$440 million ($309.14 million), while attaching a condition that the updated bid would be applicable if it got 40% acceptance from Warrego shareholders. ($1 = 1.4233 Australian dollars)