B07 Oil and Gas Extraction

Woodside gains the backing of ASA

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Original article by Barry FitzGerald
The Australian – Page: 17 : 28-Jul-14

Investors in Woodside Petroleum will on 1 August 2014 vote on the proposed stock repurchasing move worth $A2.85bn that has been triggered by Royal Dutch Shell’s partial divestment. The latter is reducing its stake from 23.1% to 4.5%, and Woodside wants to buy back 9.5% at $A36.49 a share. The company has gained the backing, with some qualifications, of the Australian Shareholders Association. However it must still address concern by institutional investors such as superannuation funds at the lack of franking credits. On 25 July the stock closed at $A42.70

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, ROYAL DUTCH SHELL PLC, AUSTRALIAN SHAREHOLDERS’ ASSOCIATION

BHP surge sets stage for buyback

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Original article by Amanda Saunders
The Australian Financial Review – Page: 19 & 24 : 24-Jul-14

BHP Billiton expects its iron ore output for 2014-15 to top 245 million tonnes, after production in the Pilbara region of Western Australia for 2013-14 rose to about 225 million tonnes. Most analysts had forecast that output for 2014-15 will be around 230 million tonnes. Glyn Lawcock of UBS says the upbeat production forecast could prompt BHP to reveal a share buyback program when its 2013-14 financial results are released in August 2014

CORPORATES
BHP BILLITON LIMITED – ASX BHP|UBS HOLDINGS PTY LTD|RIO TINTO LIMITED – ASX RIO|FORTESCUE METALS GROUP LIMITED – ASX FMG|VALE SA|DEUTSCHE BANK AG|PENGANA CAPITAL LIMITED

PNG project pumps up Oil Search

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Original article by Matt Chambers
The Australian – Page: 18 : 23-Jul-14

Peter Botten, MD of Australian-listed Oil Search, on 22 July 2014 issued its output data for the second quarter of calendar 2014. Production was up 120% to 3.69 million barrels of oil equivalent, mainly due to the first shipments by the $US19bn ($A20bn) Papua New Guinea LNG project in which the energy group partners Santos and lead operator ExxonMobil. Oil Search’s revenue also rose some 100% to reach $US339.7m in the three months. On the day its stock closed $A0.04 higher at $A9.54

CORPORATES
OIL SEARCH LIMITED – ASX OSH|SANTOS LIMITED – ASX STO|PAPUA NEW GUINEA LNG PROJECT|EXXONMOBIL CORPORATION|DEUTSCHE BANK AG|INTEROIL CORPORATION|TOTAL SA

Buyback may go on hold as iron ore earnings fall

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Original article by Amanda Saunders
The Australian Financial Review – Page: 15 : 21-Jul-14

Analyst Paul Taggart says Credit Suisse expects any capital management initiatives at BHP Billiton to be deferred until August 2015 at the earliest. There has been ongoing anticipation of a stock buyback by the Australian-listed mining company. However, the iron ore price has contracted by nearly 25 per cent in 2014. The resources group’s 2014-15 earnings may fall by up to 14 per cent. BHP will issue its quarterly production results on 23 July 2014

CORPORATES
BHP BILLITON LIMITED – ASX BHP, CREDIT SUISSE (AUSTRALIA) LIMITED, UBS HOLDINGS PTY LTD

Indigenous group delays Buru

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Original article by Andrew Burrell
The Australian – Page: 18 : 21-Jul-14

The Yawuru Native Title Holders Aboriginal Corporation has rejected a push by the listed Buru Energy for access to traditional lands in order to carry out hydraulic fracturing. However the company already has the necessary exploration permits, while there is no right for the Yawuru people to force talks under the Native Title Act. Buru has signalled it wants to co-operate with the traditional owners on the shale gas exploration, and has stressed the positive effect on job creation and affordable gas supplies in Western Australia. Buru is setting the pace among groups trying to tap the Canning Basin unconventional gas region

CORPORATES
BURU ENERGY LIMITED – ASX BRU, YAWURU NATIVE TITLE HOLDERS ABORIGINAL CORPORATION, KRED ENTERPRISES PTY LTD, ASX LIMITED – ASX ASX

Woodside lifts output target

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Original article by Brian Robins
The Australian Financial Review – Page: 15 : 18-Jul-14

Australian-listed Woodside Petroleum produced 23.5 million barrels of oil equivalent in the second quarter of 2014, while sales were 24.8 per cent higher at $US1.67bn. There was an 8.7 per cent increase in output at the Pluto LNG project. Woodside now expects full-year output to be within the range of 89 million to 94 million barrels of oil equivalent

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, ROYAL DUTCH SHELL PLC, UBS HOLDINGS PTY LTD

Tor slaps Seven for ‘rushing’ Nexus sale

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Original article by Matt Chambers
The Australian – Page: 19 : 10-Jul-14

Hong Kong hedge fund Tor Investment Management has raised concerns about the hasty sale of Nexus Energy. It went into voluntary administration in June 2014 after rejecting an offer from Seven Group Holdings. It is thought that the deadline for the sale process is 31 July. Tor is concerned that Seven is using funding deadlines to force the sale of Nexus before other potential buyers can properly conduct due diligence

CORPORATES
NEXUS ENERGY LIMITED – ASX NXS, SEVEN GROUP HOLDINGS LIMITED – ASX SVW, TOR INVESTMENT MANAGEMENT (HONG KONG) LIMITED, McGRATH NICOL AND PARTNERS SERVICES PTY LTD, GRESHAM ADVISORY PARTNERS LIMITED, ROYAL DUTCH SHELL PLC

Oil Search takes a healthy interest in PNG

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Original article by Rowan Callick
The Australian – Page: 21 : 9-Jul-14

Oil Search is involved in the provision of health services in Papua New Guinea. Under the leadership of MD Peter Botten, the Australian group began providing community health programs for its own staff and contractors. This expanded to meet a range of health needs, leading to the establishment of a health foundation. The entity now manages donor funds and co-ordinates delivery of health services. Botten says the program is supported by shareholders and is vital for the company’s social licence to operate

CORPORATES
OIL SEARCH LIMITED – ASX OSH, WOODSIDE PETROLEUM LIMITED – ASX WPL, BILL AND MELINDA GATES FOUNDATION

Woodside gas deal ramps up trading arm

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Original article by Brian Robins
The Australian Financial Review – Page: 17 : 2-Jul-14

A LNG marketing and trading division was established by Australian-listed Woodside Petroleum in 2011. After recently abandoning a planned major investment in a gas field offshore Israel, Woodside has now boosted the trading arm by signing a deal with US group Cheniere Energy. The latter will supply 850,000 tonnes of LNG annually for two decades and possibly a third, from its Corpus Christi facility in Texas. Woodside will buy the gas for 15% above the domestic US spot price and an additional $US3.50 per million British thermal units

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, CHENIERE ENERGY INCORPORATED, BG GROUP PLC, BP PLC, CREDIT SUISSE (AUSTRALIA) LIMITED

75,000 jobs to go in mining’s new phase

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Original article by Barry FitzGerald
The Australian – Page: 21-22 : 2-Jul-14

Justin Fabo, senior economist corporate and commercial at ANZ Banking, predicts the Australian resources and related services sector to shed up to 75,000 jobs by 2016. This would be a decline of 28%, and result from the transition from the construction to production phase at many mining and energy projects. Already, over-capacity in the market has brought redundancies at coal and iron ore operation. Fabo stresses that out of the 75,000 workers affected, a large share will be temporary migrants, and that these will simply return home rather than add to the nation’s unemployment rate

CORPORATES
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, AUSTRALIAN WORKFORCE AND PRODUCTIVITY AGENCY