Westside has other ground it can develop and produce and give none of that to SANTOS/GLNG.
Yes the GSA is watertight but ONLY for the Meridian field.
That is my point regarding Westside not owning the block next door. The Chinese can spend all of Westside's resources developing that ground first and not have to give any of it to GLNG (as per the terms of the GSA).
Remember if The Chinese gain 50.1%, the entire business is up for review!
Westside can in theory keep producing 12 T/J p/Day for 20 years in the Meridian field and only give that much to GLNG whilst pocketing all the gas from every other field to sell to Petro China or direct to LNG ltd for Fisherman's landing.
Interesting the Chinese say in their offer, they will review the decision on the G.B?? That says to me, time and resources from Westside may suddenly open that up for development also.
If the Chinese gain control, suddenly The Meridian field will not be their priority IMO.
The political climate re: CSG in QLD is not a problem. Especially with Westside so for SANTOS / GLNG the writing is on the wall....
GLNG wont get their GAS from Eastern Star Gas's dirt nor anywhere in NSW so they better secure Westside or else...
"through the roof" ;)
WCL Price at posting:
41.0¢ Sentiment: Buy Disclosure: Held
