Woodside keen on PNG

 WOODSIDE Petroleum says it has an interest to establish and grow its portfolio in Papua New Guinea’s oil and gas industry.

This followed Tuesday’s announcement by Oil Search of an offer made by Woodside for a merger of the two companies and the acquisition of all Oil Search shares by Woodside.

The proposal, according to Woodside chief executive officer Peter Coleman, “will create the regional oil and gas champion for Papua New Guinea and Australia with a global portfolio of world class assets and development opportunities”.

“Oil Search shareholders would represent 32 per cent of the combined entity.

“We admire Oil Search and the work it does in PNG, both in developing the oil and gas industry and in supporting the general community.

“We are committed to continuing Oil Search’s excellent work.

“Woodside looks forward to sitting down with Oil Search to discuss this proposal, which we believe delivers significant benefits to all stakeholders,” Coleman said.

Woodside had earlier stated that the proposal was consistent with its strategy in delivering high returns to shareholders and maximising its core assets.

A company spokesperson told The National that Woodside certainly had interest in PNG and in growing its portfolio, however, the company had stated that there was no certainty that discussions on the proposal would result in a transaction.