Oil Search Rejects Santos Plan for $16 Billion LNG Giant
James Thornhill, Bloomberg News A Santos Ltd. pilot well operates on a farm property in Narrabri, Australia, on Thursday, May 25, 2017. A decade after the shale revolution transformed the U.S. energy landscape, Australia â poised to overtake Qatar as the worldâs biggest exporter of liquefied natural gas â is experiencing its own quandary over natural gas. Photographer: Brendon Thorne/Bloomberg , Bloomberg
(Bloomberg) Oil Search Ltd. rejected a takeover approach from Santos Ltd. that would create a A$22 billion ($16 billion) liquefied natural gas export giant with operations across Australia and Papua New Guinea.
Provided by Dow Jones By David Winning SYDNEY Santos Ltd. said it approached Oil Search Ltd. about a possible merger last month, but its proposal to create an energy company with a market value of 22 billion Australian dollars (US$16.1 billion) was rejected. Santos said it offered 0.589 of its own shares in exchange for each Oil Search share on issue. A deal would have led to Santos shareholders owning 63% of the combined company, with Oil Search investors holding the remaining stock. The proposal implied a value of A$4.25 for each Oil Search share, Santos said, representing a 16% premium to the stock s closing price on Monday.
Reuters
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July 19 (Reuters) - Oil Search (OSH.AX) Managing Director Keiran Wulff has resigned 17 months after taking charge over a long-term medical condition that the Papua New Guinea-focused company said had recently deteriorated.
The board had been in discussions with Wulff over complaints about his behaviour, Chairman Rick Lee said in a statement on Monday.
Lee said the board considered Wulff s behaviour was inconsistent with the standards expected by the Board in relation to his management style.
Since Wulff took over from his long-serving predecessor, there have been a slate of extreme events including lockdowns, a plunge in oil prices, emergency measures to secure the company s financial position, and the need for a sustainable strategy focused on energy transition, he said.