how do we save metgasco, but not nsw?

I thought of a great idea how we can save Metgasco and ditch Barry O'Farrell's dream of building gas reserves for NSW as its ironic for what moves he is taking at the moment.

The main game now given he changed the playing field, is to build shareholder value.

My answer is: Metgasco to seek opportunities outside of NSW (while we still hold those assets in the Clarence Morton Basin until the govt gives the "clear" new guidelines).

You might think "you fool" of course.

But my answer and idea is for Metgasco to merge with a company like "Real Energy".

Who is "Real Energy"? Real Energy is the company setup by the ex-Mosaic Oil team, after AGL's successful takeover of Mosaic Oil. Real Energy has acquired Bow Energy's (former ASX code: BOW, now part of Arrow Energy) oil & gas permits in the Cooper Basin.

Why the "Cooper Basin"? Well if you look at the M&A activity that has happened in the Cooper Basin, you can really count more than all your fingers you have.

1. BPT bought out Delhi Petroleum
2. BPT previously attempted to buy DLS, but failed
3. DLS tried to takeover the then Innamincka Petroleum (INP) (now Acer Energy), but failed
4. Ian Davis, ex-BG Group CFO joins VicPet (Victoria Petroleum VPE) and changes the company to Senex Energy (SXY) and refocuses the company from CSG in Surat Basin to shale gas opportunities in the Cooper Basin
5. BPT buys Impress Energy (ITC), but SXY tries to block it, prompting BPT to up the Impress offer and wins the takeover
6. SXY takeovers over Stuart Petroleum (STU)
7. Innamincka Petroleum appoints ex-Arrow Energy MD Nick Davis as Chairman. Nick changes the name from Innamincka to Acer Energy with a Cooper Basin focus.
8. BG Group controlled QGC farms-in ATP940 (next to PEL218 & ATP855)
9. BPT takeover Adelaide Energy (ADE) to consolidate its position in PEL 218 and ATP 855.
10. Unlisted Real Energy farms-in and acquires Bow Energy's (BOW) Cooper Basin assets
11. Ex-Stuart Petroleum CEO forms Ambassdor Oil & Gas (AQO)
12. Cooper Energy (COE) buys Somerton Energy (SNE) from BPT.
13. Drillsearch launches takeover of Acer Energy, but Senex Energy tries to block
14. DLS ups Acer Energy offer, Senex gives up Acer dream
15. US oil giant Chervon farms-in PEL218 and ATP855 by taking up 60% of BPT's share in the two permits for $349m

So why Real Energy? Its firstly a unlisted company and attempted to list on the ASX after Ambassdor Oil, but due to market conditions it has held back those listing dreams.

Why would Real merge with Metgasco? Two reasons, yes: (1) backdoor listing for Real Energy (similar to the Amadeus Energy AMU and unlisted Lonestar Resources merger to form LNR); and (2) access to Metgasco cash capital to put it to good use to exploration in the heating up Cooper Basin and add shareholder value to hammered Metgasco shareholders.

Why would Metgasco merge with Real? (1) NSW is full of uncertainty with a hypocritical premier who barely understands the economics of his state, and the lack of realisation of gas shortages for the state of NSW. (2) a excellent opportunity to enter the Cooper Basin.

What do I think? Metgasco merges with unlisted Real Energy and changes the company name to Real Energy and ASX ticker. Take on board a successful ex-Mosaic Oil board with Peter Henderson as the MD of the merged company. Combine the two technical teams together, which results in synergies. Exploration activity will boast Metgasco/Real Energy's share price. A win-win situation for both combined shareholders.

Uncertainty with NSW CSG activities is removed as the CMB assets become non-core assets.

http://www.realenergy.com.au/