Imo NXS is in an excellent competitive position relative to STO, ORG, AWE or ARQ.
1) Adjacent acreage with possibility of BMG extension.
2) PRRT synergy between large exploration/development CAPEX and BMG PRRT liabilities.
Thirdly BMG clearly requires a more sophisticated, skillful approach. NXS has the relevant skillbase, neither ARQ nor ORG do, STO probably, and AWE possibly sufficiently so ex Tui.
AZA/NXS merger made sense for similiar reasons last year. Trouble was an AZA led merger was value destroying, whereas an NXS led merger should be value building. The contrast in the two management styles, and their relative effectivenesses, has been stark.
EL
AZA
anzon australia limited
