PTTEP reaches 72% in Cove Energy offer

by on July 26, 2012 10:13 am BST

The Thai oil firm set a minimum of 90% acceptances when it
first launched the offer for the explorer in May.

The company is the sole bidder for the takeover of Cove Energy after Shell pulled out of a five-month bidding war.

The Anglo-Dutch supermajor meanwhile confirmed its offer,
which it gave up on last week, had now lapsed after garnering around 1.25% of
Cove’s stock.

The pair had been battling for Cove Energy’s position in
high-impact gas plays off the coast of Mozambique.

Cove’s key asset is its 8.5% stake in gas-rich Area 1, which is estimated to hold recoverable gas resources of between 24 trillion and 50 trillion cubic feet.

It also holds a 10% stake in the Rovuma onshore play in Mozambique, as well as interests in seven deep-water blocks in Kenya.