Woodside Apache Takeover

So what does this mean for CVN and the Carnarvan Basin?

Woodside gets ACCC clearance for Apache deal

Date
March 5, 2015 - 9:41AM

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Angela Macdonald-Smith

Under the deal, Woodside is buying Apache's stake in Chevron's Wheatstone LNG project under construction in WA.
Woodside Petroleum got the go-ahead from the competition regulator to buy Apache's Western Australian liquefied natural gas and oil assets, part of a $US3.75 billion ($4.79 billion) deal agreed in December.
The approval was expected, despite some concerns among gas users within WA that the deal could reduce competition in domestic gas supply.
Australian Competition and Consumer Commission chairman Rod Sims said that after the purchase, Woodside would still face "strong competition" from other WA gas suppliers, including Apache, Chevron and Santos.
Apache isn't selling all its gas assets in WA to Woodside and will still supply gas from its Macedon, Varanus Island and Devil Creek projects. Those assets are also for sale, however, with negotiations understood to be continuing with a Macquarie-advised group.
Under the December deal, Woodside is buying Apache's stake in Chevron's Wheatstone LNG project under construction in WA, which will also supply users within WA. It will also take over Apache's holding in the Balnaves oil field in the Carnarvon Basin, and in the proposed Kitimat LNG export project in western Canada.
Mr Sims recognised the concerns raised about the impact on competition in WA gas, however, and signalled further transactions would come under close examination.
"The ACCC will continue to monitor the supply of domestic gas in WA and any future acquisitions in this area will be scrunitised carefully," he said in a statement on Thursday.
Woodside chief executive Peter Coleman has signalled his interest in further potential acquisition opportunities that may arise in the current weak oil price environment.


Read more: http://www.smh.com.au/business/mini...pache-deal-20150305-13vjgp.html#ixzz3TSt4yFfI