hartley's research report ..., page-17

Thought this was interesting about AWE and Perth Basin from Bloomberg, the implications for NWE are obvious. The article is mainly aimed at SXY, but covers the Perth Basin as shown below.


Chevron Shale Bet Down Under Makes Senex Target: Real M&A

http://www.bloomberg.com/news/2013-03-06/chevron-shale-bet-down-under-makes-senex-target-real-m-a.html

....

‘Free Option’

AWE may also appeal to buyers seeking unconventional assets, said Williams and Flynn, the lawyer at Gilbert & Tobin. The Sydney-based company has a market value of A$694 million and is exploring in the Perth Basin, a region about 300 kilometers north of Western Australia’s state capital. Shares of AWE rose 2.6 percent the day of the Chevron announcement, when Senex added 7.5 percent, its biggest gain in six months.

The proximity of the basin to Perth and tightening supply make new sources of gas in the area “commercially attractive,” according to the report last year by CSIRO. Western Australia’s gas demand is projected to double between 2010 and 2030, the state government estimates.
AWE shares have dropped so much that its unconventional assets are “essentially a free option” for investors, said Mark Greenwood, an analyst at Citigroup Inc. in Sydney.
AWE fell 1.5 percent today to A$1.31 in Sydney trading.
The company expects to consider a shale partnership in Western Australia in mid-2013 after completing some tests and may bring in a partner this year, Managing Director Bruce Clement said in a phone interview.




:-) Hopefully the Unconventionals will warm up with a takeover or two.