oil hungry big australian

Hi threaders

While my trading data is on the blink the Captain has had to resort to some good old fashioned investment fundamentalism and detective work and i am on the sniff.

While pouring through The Financial Review today I was forced to put the cappacino back on the saucer and read with some higher concentration levels as an article I read could have some positive implications for BPT.

The article on pg 20 of todays's fin review - BHP aims for higher octane - is worth reporting to BPT threaders. The article talks in light of its (BHP) takeover of RIO and how BHP would acquire significant oil clout if the takeover was successful.

"We would Love to see (petroleum) get back up to 20-30% of the combined new organisation, and ... it will have unlimited abilities to do that" says Michael Yeager (Head of BHP petroleum)...He said " that on top of a portfolio of development and exploration assets the company would increasingly look towards acquisitions in the petroleum space"

What could this mean for BPT?
1. Joint ventures BPT and combined BHP/RIO entity perhaps?
2. BPT a takeover target? - How many other quality oil producers are diversified enough for BHP's usual complex tastes? BPT fits the bill IMHO.
3. If the RIO takeover project fails surely the Big Australian will have some contigency plans for other petroleum acquisitions (such as BPT) so BHP petroleum division can maintain it's aim for continued expansion in energy. "The division had already achieved it's target of 10% volume growth for 2008, a rate it hoped to maintain for the next 4 years" (Fin review 14/5/2008 p20)

These are just my thoughts ... I wouldn't buy BPT soley on this info ... still, it is food for thought ... who knows. Remember though ... you read it here first LOL.

That is all for now loved ones

Capt. Goodvibes
Love Callasthenitics Director

DISCLOSURE
I hold BPT

PS still on the tweed coast Far North NSW. Surf has been good. Will see WA friends in about a week and 1/2.