Woodside13 Aug 2020 10:57
From Upstreamonline today. Not saying Woodside would buy HUR but shows they (and probably many other oil companies) are thinking along the lines Stu was going on about recently, looking for assets where oil is flowing or about to.
https://www.upstreamonline.com/finance/light-at-the-end-of-the-tunnel-woodside-ready-to-pounce-on-m-a-opportunities/2-1-856960
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With the company recently committing to the Sangomar oilfield development off Senegal and final investment decisions in the pipeline for its Scarborough, Pluto Train 2 and Browse developments in Australia, Coleman said the company was looking to steer clear of anything with “a heavy capital requirement”.
Instead, the company would be looking for stakes that become available in assets that are already producing, or very close to production.
“I think just simply adding to our current portfolio, an asset that you don’t control, an asset that is long-dated in capex, just doesn’t make sense to be quite frank, as cheap as they might be in the market at the moment, we’ve already got world class assets that we need to develop and have laid fallow for long enough, so we need to focus on those,” he said.
However, in saying that, Coleman did not rule out more capital intensive opportunities completely, if those opportunities also came with operatorship, noting that control was important when prices were low or recovering.
“If we can get control, then obviously that opens up a broader set of assets for us and gives us more interest there,” he explained.
“But if they are new assets then we would be looking at something that is flowing or very close to flowing, something with a much lower capital commitment than our current portfolio.”
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