This is just the beginning....Just last week BHP’s Petroleum...

This is just the beginning....

Just last week BHP’s Petroleum boss Mike Yeager named the Canning Basin in Western Australia as the most likely region where BHP’s American shale operations could be deployed in Australia.

Mr Yeager confirmed that BHP was “pushing hard” on Australian shale, and was already talking to landowners.
Sure enough, today’s OBL deal gives Fortescue exposure to the Canning and Carnavon basins in WA, as well as some permits in Victoria.

OBL is already starting to sound like Fortescue – the self proclaimed “third force” in iron ore – by saying today that it was working to become the “third force” in Canning Basin shale.

Credit Suisse analyst Matthew Hope said Fortescue probably had longer-term ambitions to become a diversified company, and had previously attempted to diversify beyond iron ore.


Read more at:

http://www.smh.com.au/business/mining-and-resources/fortescue-surprises-with-oil-investment-20121115-29dsq.html