Mosaic Oil receives buy out bid
AGL Energy, Australia's largest gas and electricity retailer, has launched a bid to buy out oil and gas explorer Mosaic Oil for $A123m.The non-binding offer for Mosaic is at 15 cents a share – almost double Mosaic's ASX closing price of 7.80 ce
Nina Fowler
Thu, 01 Jul 2010
AGL Energy, Australia’s largest gas and electricity retailer, has launched a bid to buy out oil and gas explorer Mosaic Oil for $A123m.
The non-binding offer for Mosaic is at 15 cents a share – almost double Mosaic’s ASX closing price of 7.80 cents on 30 June 2010.
Shares in Mosaic rose sharply following announcement of the bid and last traded at 13 cents.
The acquisition is designed to support an agreement between AGL and Queensland Gas Company for a gas storage facility at depleted Mosaic gas fields in central Queensland, subject to AGL acquiring 100% of Mosaic by certain dates.
Mosaic holds interests in three gas and oil exploration projects in the Taranaki Basin, including a half share in the PEP 51151 permit operated by L&M Petroleum.
Last week, Mosaic announced the sale of Papua New Guinea subsidiary Mosaic Oil Niugini to an unnamed buyer for $US11m.
Nina Fowler
Thu, 01 Jul 2010
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