Sharechat Logo

Shell applies for Fletcher Energy again

By Phil Boeyen, ShareChat Business News Editor

Friday 20th October 2000

Text too small?
Energy company Shell has lost little time in reapplying to the Commerce Commission to buy Fletcher Energy, this time offering to divest additional assets if it gains approval.

Just last week the Commerce Commission turned down Shell's proposal to buy Fletcher's energy division, saying the company would have market dominance in the current gas production market, the post-2009 gas production market, and the LPG production market.

Commerce Commission chairman, John Belgrave, says in its second application Shell promises to divest all of Fletcher Energy's equity interest in a number of energy fields, including Tariki, Ahuroa, Waihapa, Ngaere, Ngatoro and McKee.

Shell will also divest a 10% equity share in the Maui field, and a 3.6% equity interest in the Pohokura field and in the petrol exploration permit associated with that field, to take its equity interest there to 48%.

Shell says the divestments will happen within 12 months of settlement.

Mr Belgrave says the Commerce Commission will now investigate the impact the new proposal will have on the gas related markets it has previously assessed.

The Commission has 10 working days to make a decision but the time can be extended if necessary.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Fletcher vote still on
Legal action still possible in Fletcher Challenge insider case
Shell sweetens Commerce application for FEG
Deane rallies the troops at Fletcher AGM
More time please says Commerce Commission
Fletcher sells NZR stake for $34 million
Shell wants to work it out
Fletcher hopeful FEG sale still on
"Nope" says Commerce Commission to Shell
D-Day for Fletcher Challenge - market slams Building & Forests

IRG See IRG research reports