conversation with jh, page-37

BG picked up Pure (PES) for $1Bill this year.

BG acquired Queensland Gas Company (QGC)through a $4.88 bill takeover last year, after losing out in a hostile attempt to purchase Origin Energy for $13.8 billion.

All had Proven Reserves.


Now, what would CTP be worth to them when CTP proves up reserves?? Would they be interested before or take a punt and wait.
Like everyone, they use finance, and finance companies would use Proven Reserves to lend against. JH would not sell out for peanuts, so CTP needs Proven Reserves to get what JH wants if CTP would consider a takeover.


Get Drilling. Hey, whats wrong with drilling Johnstone first for oil before we go out checking the coal seams ??

I am sure there would be change out of $4-5mill from Johnstone.


BG scoops up Pure Energy
March 24, 2009

Britain's BG Group has secured coal seam gas explorer Pure Energy Resources in a $1.02 billion takeover bid after the target's second largest shareholder and former rival bidder agreed to the offer.

Arrow Energy, which has a 20.31% stake in Pure Energy, accepted the $8.25 cash per share offer after dropping its own cash and scrip takeover bid for the Queensland-based coal seam play last week.

As second biggest shareholder, Arrow Energy is expected to realise a profit of about $200 million from the sale of its Pure Energy stake, increasing its cash reserves to more than $700 million.

BG Group was forced to extend its takeover on Monday by two weeks to April 6 as it awaited a decision from Arrow Energy on its Pure Energy stake.

Arrow Energy's Singapore-based chief executive Nick Davies said more value could be achieved for its shareholders by accepting BG Group's offer and investing the funds elsewhere.

Arrow Energy has a strategic partnership with Royal Dutch Shell and is one of a number of group's evaluating the development of liquefied natural gas projects to commercialise its coal seam gas resources.

Increasing energy demand has prompted the entry into Queensland's coal seam gas sector of several large international players including BG Group, Malaysia's state-owned Petronas, and ConocoPhillips, as they seek to develop LNG projects for export to Asian markets.

Mr Davies declined to comment whether the company would direct its attention and funds to other Australia coal seam gas projects or companies after losing out in the Pure Energy takeover play.

"I can't comment on whether or not we are looking externally, but we have a lot to do internally and that is the priority,'' Mr Davies said.

"There is still obviously quite a few smaller companies in Australia, but certainly internationally there is also quite a few opportunities.''

BG Group last year acquired coal seam gas producer Queensland Gas Company through a $4.88 billion takeover last year, after losing out in a hostile attempt to purchase Origin Energy for $13.8 billion.