PNG: speculation Oil Search subject of $5billion bid
Updated
Stock market shares in Papua New Guinea's biggest oil field operator, Oil Search, have had their biggest gain in five years following speculation that China National Petroleum Corp is interested in bidding for the company. The South China Morning Post says Oil Search may get a bid for as much as five billion dollars from China National and its Hong Kong listed unit PetroChina Company.
Presenter: Geraldine Coutts
Speakers: Peter Botton, Managing-Director of Oil Search
BOTTON: Well clearly this morning there's been some speculation on a press report in a Hong Kong based newspaper around the potential to have a Chinese company make a bid for Oil Search. What I can say is what our statement has made to the Australian stock exchange that there's been no formal or informal approaches by any organisations around a potential bid for the company. There remains interest by a number of countries to participate in the commercialisation of PNG's large gas resource, but that's a much broader question and a much broader issue. But as our statement said this morning there has been no formal or informal approaches to buy the company.
COUTTS: The South China Morning Post did say that there's a study bid as much as five billion for the Port Moresby based Oil Search company. What do you know about that?
BOTTON: Absolutely nothing apart from what I read in the newspaper.
COUTTS: And is five billion a ballpark if this hypothetical case should go through?
BOTTON: Look I can't speculate on numbers, I'm not going to speculate on numbers. We have a very valuable set of assets that I'm certainly not going to speculate on the actualities of those numbers.
COUTTS: According to the same article there's more than one set of interests being expressed in taking over Oil Search PNG?
BOTTON: Look I've read the article clearly, but again I can't speculate.
COUTTS: Is it for sale?
BOTTON: Look it would be naive to think that any assets or set of assets isn't for sale at the right price at the right time, but the reality is we've not received anything formal or informal and don't anticipate to doing that unless something fundamental changes.
COUTTS: Are you expecting a formal or informal approach soonish?
BOTTON: Look I'm not speculating about anything like that.
