BB
I think its a bargain. SGL has 2P reservesof 41PJ & 3P reserves of 54 PJ from 2 assets Camden & Newcastle. target is 2P reserves of 1000 PJ by 2012. To do that they need an agressive drilling campaign & money to drive that.
The combined 2P reserves between AGL SGL will be 534 PJ which means a lot to AGL. Looking at the current reserves of 41PJ I think $160m appears 2b a realistic offer as AGL already has 50% stake in SGL so its simply a matter of doubling up & control the show for them.
The proposed 42.5c offer is a wt'd avg for the last 90 days which is bad timing for SGL as the stock got hammererd in the 20's range, all in all its a bargain purchase.
Classic example of those with money will make the move now.
cheers
SGL
ricegrowers limited
BBI think its a bargain. SGL has 2P reservesof 41PJ & 3P...
Currently unlisted. Proposed listing date: MONDAY, 8 APRIL 2019 11:00AM ##