|Yep, the deed is done. It surprised me that the vote was almost unanimous.
On the plus side, AEL holders will find the market in ROC shares is more liquid.
The fall in the oil price should see more bids for oil companies. The credit crunch/redemptions/sector rotation/predatory shorting have made many oilers vulnerable, imv. We'll see.|
|fireplace-I have'nt researched but see how many options / shares the directors have in AZA.|
|If AEL have been shafted lets hope the market recognise ROC's astuteness and revalue their shares post TO. (Little chance).|
|I think AEL board have shafted us somewhat. I doubt AZA would be keen on ROC takeover and Nexus are unlikely to be best pleased either. ROC are desperate for our cashflow to keep on drilling dry holes. Its a disgrace we have been sold out this cheaply.|
|On re-reading the RNS's I see wahat you mean. But if ROC take AEL (who's only asset is a 53% share in AZA) wont ROC be in the driving seat anyway, why should they offer more for AZA? Also would ROC's shareholders accept that as the share price has already been decimated partly as result of this TO.|
|I was under the impression that AZA did not have to vote until the AEL deal was done and that AEL would be 'a done deal even if AZA shareholders rejected the deal.|
|P@, What do you mean by the rest I thought this bid included AZA as well as AEL?|
|Well they're not getting my vote,after they get AEL on the cheap they'll bid for the rest at a decent price and we'll be the mugs !|
|Today's update is very helpful. Shareholders needed some clarification following the recent oil price and stockmarket volatility.
I ask myself if AEL's directors simply lost interest in the business and want to move onto new pastures?
My opinion, fwiw, is that this is being sold off too cheaply. I would prefer to see both AZA and AEL continuing as independent listed businesses, throwing off a lot of cash for their shareholders for the next few years.
If I had a holding in AEL, I would be voting against the takeover.|
|Odd RNS - looks like the Directors don't want the shareholders to accept the offer.|
|Now it's even more difficult to see why AEL/AZA holders should accept the ROC offer.
Does the timing of this announcement suggest that the directors would like a higher offer to come from somewhere?|
|Reserves nearly double and the share price doesn't budge an inch!!
THE Basker Manta Gummy joint venture has significantly increased its oil and gas reserves at the project in the Gippsland Basin off the Victorian coast.
The joint venture, in which Anzon Australia has a 40 per cent share and Beach Petroleum 30 per cent, yesterday said it had proven and probable reserves of 74.2 million barrels of oil equivalent.
This compares with the last reserve estimate in August, 2006 of 39.2 million barrels.
Anzon said yesterday the reclassification of the gas and associated liquids at the project was the major reason for the increase. The previous reserve figure contained only the oil in place, as a decision to commercialise the gas had not been made.
The joint venture plans to double production at BMG by the second quarter of 2010, and expects to start drilling with two rigs by the end of the year to give extra production capacity and potentially more reserves.
The $1.2 billion expansion also includes a 90km high-pressure pipeline, allowing first gas sales from the project, plus a new floating production, storage and offloading vessel.|
yes i know what you mean, aelaza should remain independant.|
|I've looked at the offer update.
1.33 ROC shares for each AEL. That values AEL at about 74p but it's at 83p in the market.
Why the valuation gap? Market asleep/Ed 123 asleep/market thinks deal will fail/market thinks higher offer will come along ?????
Wouldn't AZA/AEL be better off as independents?
I've held AEL in the past, out atm.|
|Around current levels I think shareholders would be much better off just running AEL for cash. The same applies to most of the sector. Why bother with spending money on exploration when the market doesn't afford you a decent rating. If they just used surplus cash to buy back shares the share price would soon shoot up to closer to 200p. Hoping another bidder enters the fray here. A cash offer at about 110p would be enough to win the day. We just seem to end up with crocs who have duff assets which get plugged and abandoned. It is like they desperate for our cashflow to prop up their duff assets.|
|Can't help thinking that this will ultimately end up in Chinese hands (or rather ROC will).|
|GoodGrief. Nice news, indeed, but the stockmarket is not applying rational pricing to oil stocks atm. The hedge funds are making hay, selling down the sector and triggering stop losses of others. Sadly, the rules and regulators are not up to the job, in my opinion. This is a casinomarket, not a stockmarket.
ROC has been trashed, along with the others.
The takeover appears to be going ahead and is presumably supporting AEL's shareprice. AEL is outperforming the sector by falling less than the average!
At some point the pack (speculators) will move on from selling oil stocks, and more normal pricing will return.|
|This latest shipment has got to be worth at least £15m to Anzon Energy Ltd. and another shipment is scheduled for late September.
RNS BMG OPERATIONS UPDATE
The BMG Joint Venture is pleased to advise that its offshore operations in Gippsland, Victoria, continue to produce trouble free and achieved a significant production milestone last Thursday 31st July with its 5 millionth barrel of crude oil.
In addition, the Joint Venture has recently completed yet another ship-to-ship (STS) cargo lifting in Western Port Bay with a 597,000 barrel sale to Itochu at a price in excess of US$130, which was a premium to APPI Tapis reflecting the high quality of the crude. This is the JV's 14th lifting from the operation. Its next lifting, also a STS, will be 600,000 barrels in late September.|
|Must be drifting down due to lack of interest...|
|ROC Takeover Offer for AZA-Notice of Register Date
RNS Number : 4204A
Roc Oil Company Limited
1 August 2008
ROC OIL COMPANY LIMITED ("ROC")
STOCK EXCHANGE RELEASE
ROC TAKEOVER OFFER FOR ANZON AUSTRALIA LIMITED
- NOTICE OF REGISTER DATE
Roc Oil Company Limited (ACN 075 965 856) gives notice pursuant to section 633(4) of the
Corporations Act 2001 (Cth) that 6 August 2008
is the date which has been set, in accordance with section 633(2) and 633(3), for the purposes
of determining the people to whom the
Bidder's Statement dated 30 July 2008 in relation to the takeover bid for ordinary shares in
Anzon Australia Limited (ACN 107 406 771) is to
|BMG oil, gas to double
UP TO $1.2 billion will be spent on doubling production from the Basker Manta Gummy oil and gas field in the Gippsland Basin off the Victorian coast.
The BMG joint venture, dominated by Anzon Australia (40 per cent) and Beach Petroleum (30 per cent) said yesterday it had signed a letter of intent with BW Offshore to design, supply and operate a floating production, storage and offloading (FPSO) vessel for the site.
The FPSO - effectively a tanker fitted to process gas and oil - would be connected to the coast via a 90km high-pressure pipeline, allowing the first gas sales from the project.
It would also allow tankers to take on oil directly from the new facility, rather than shuttling the oil to shore for offloading.
Gas is processed at BMG but reinjected for later use.
Anzon managing director Andrew Young said it would be the first gas processing on a offshore vessel in Australia, as well as the first offshore ship-to-ship oil transfer.
"There will be no logistical downtime," Mr Young said.
"You'll lift the average oil rate for three reasons - one, because you've got more wells, two, you've got less logistical downtime and three, because you're able to handle the gas."
The development would include doubling oil production to about 20,000 barrels a day, and supplying up to 120 million cubic feet of gas a day to the Eastern Gas Pipeline.
The joint venture would initially lease the $400 million FPSO from BW for five years, with an option to extend up to 15 years, and spend up to $1.23 billion drilling wells and completing sub-sea connections to supply the increased capacity.
Anzon shares closed 3 lower at $1.30 yesterday while Beach stock was down 5 to $1.255.|
|Nice, but the problem is that it would cost over US$1 billion and the increased production would be two years away. For AEL holders, a relatively quick takeover by ROC may be better?
This is only my own speculation ............. possibly management are trying to demonstrate more value in order to get the best deal for shareholders?|
|Pleasing progress... (alas not replicated in the share price)...
BMG Project Major Expansion
LOIs signed for New FPSO and Drilling Rig
The Basker Manta Gummy (BMG) Joint Venture (JV) is pleased to announce its intent to move forward on a major expansion of its Oil & Gas Development in the Gippsland Basin (Vic L26, L27 and L 28).|
|Reading between the lines, i think the AEL directors are also directors of AZA so they have agreed to the AEL offer but are considered related parties and thus have, by default, agreed the AZA deal.
It's the AZA non-execs, who aren't interested in AEL, who have said they will take advice and suggest shareholders do not act in the meantime.
Things to consider....
ROC's drilling success affecting the price of ROC's shares.
(There is no adjustment factor as there was with Nexus)
No definitive news on the sidetracked well that was the centre of the dispute with Nexus.
Nexus still have a large stake.
Just an opinion but I am surprised that the current producing assets are being sold relatively cheaply. AZA must be coining it at present. At least ROC will remain on AIM and thus holders can stay exposed to any upside.|