HDR hardman resources limited

woodside looking for a takeover target

  1. 666 Posts.

    The following news item about Woodside indicates that they are looking to take over a junior. Perhaps they have Hardman in their sights? Time will only tell!

    Woodside ready to buy

    By Barry FitzGerald

    WOODSIDE Petroleum remained ready to make an acquisition to add to its growth story, the group's departing managing John Akehurst said yesterday.

    Unlike the unsuccessful "big bang" approach of the past 12 months, any acquisition was likely to be low-key in that it would leverage off Woodside's increasing reputation as a low-cost operator of production assets.

    He said that it was clear that the world's big oil companies were letting go assets that were not in the high return, long life category.

    That meant that any acquisition by Woodside from the majors, while opening up a new dimension, would necessarily involve assets that Woodside would need "to operate at low cost".

    While Mr Akehurst left open the "big bang" acquisition growth option, the group's acting chief executive from September 1, Keith Spence, argued at an analysts' briefing that an acquisition was not necessary to confirm growth.

    An explorationist from way back, Mr Spence sees major growth coming from the group's exploration effort.

    Woodside started to regain favour with the market yesterday, offering up both "organic" growth from more than a half a dozen development projects and growth that might come from acquisitions.

    In his last presentation to the financial community, Mr Akehurst confirmed that optimisation and "sensible" acceleration of near-term production growth opportunities would result in forecast production growth from 54 million to 58 million barrels of oil equivalent in calendar 2003.

    -THE AGE

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