Australia’s Beach Energy enters deal to buy Warrego

Australia’s Beach Energy said it had entered into a scheme implementation deed with compatriot Warrego Energy to buy the latter for about A$246 million ($165 million).

Under the deal, Beach would acquire all the issued shares in Warrego for A$0.20 cash per share, plus any net proceeds received from the sale of Warrego’s Spanish assets, by way of a members’ scheme of arrangement, it said in a statement.

Beach said the proposed deal is “strategically compelling” and provides a unique opportunity to complement Beach’s growth strategy in the Perth Basin.

“It adds an additional development opportunity for new gas supply beyond Beach’s Waitsia Stage 2 LNG volumes and gas exploration drilling which is soon to commence,” it said.

In August, Beach finalized finalized a deal under which it will supply LNG to a unit of energy giant BP.

Under the sales and purchase deal, BP Singapore will buy about 3.75 million tonnes of Beach’s expected LNG volumes from the second stage of the Waitsia gas project in Western Australia.

Warrego’s portfolio includes assets such EP469 and EPA-0127 in the Perth Basin in Western Australia, as well as two prospects in Spain, El Romeral and Tesorillo.

Beach said that the Warrego board of directors have unanimously recommended that the company’s shareholders vote in favor of the scheme.

It expects to complete the deal on March 8, 2023.

Most Popular

Excelerate buys GasLog LNG carrier

US FSRU player Excelerate Energy has purchased a 2007-built steam liquefied natural gas (LNG) carrier from GasLog Partners, a part of Greek LNG shipping firm GasLog, according to brokers.

NextDecade, Bechtel agree $9 billion EPC deals for two Rio Grande LNG trains

US LNG firm NextDecade and compatriot Bechtel have finalized EPC contracts worth $9.09 billion for the construction of the fourth and fifth trains and related infrastructure at the Rio Grande LNG facility in Texas.

Worley updates on CP2 LNG work

Australian engineering firm Worley has provided an update on its reimbursable EPC contract with US LNG exporter Venture Global LNG for the latter's CP2 LNG terminal in Louisiana.

More News Like This

Australia’s Santos expands CCS acreage

Australian LNG player Santos and joint venture partner Beach Energy have secured additional carbon storage acreage after they won...

Australia’s Beach Energy flags Waitsia delay

Australia’s Beach Energy said on Thursday that the second stage of the Waitsia gas project in Western Australia will...

Beach pens Waitsia deal with Webuild

Australia's Beach Energy has signed a deal with Italy's Webuild to complete the second stage of the Waitsia gas...

Waitsia contractor Clough placed under voluntary administration

Australian engineering and construction firm Clough, the main contractor of the Waitsia gas expansion project, was placed into voluntary...