Related Articles
Forward article link
Share PDF with colleagues

Exxon's PNG InterOil plan has hit some hurdles

The company's bid comes unstuck over undervalued gas reserves

ExxonMobil is running into new hurdles as it tries to buy Papua New Guinea (PNG)-based gas explorer InterOil. The move would give it a dominant role in one of Asia-Pacific's most competitively priced sources of liquefied natural gas. Despite implicit endorsement from the PNG government and after trumping rival takeover efforts by Woodside Energy and Oil Search, Exxon's move is being thwarted by InterOil's founder and third-largest shareholder, Phil Mulacek, who says the bids still significantly undervalue the target's hydrocarbon assets. Exxon launched an $2.5bn unsolicited scrip-based bid - a bid offering shares instead of cash - for InterOil in mid-2016 but raised this to around $3.9bn i

Also in this section
Turkey gears up
22 March 2017
The country must cross several hurdles before it can channel significant gas supplies to Europe
Mozambique needs less haste, less speed
8 March 2017
Bureaucracy, financing problems and last-minute wrangles are slowing Rovuma Basin projects
Evergreen gas problem
6 March 2017
After years of decline, the continent's demand is rising again, creating a new battlefield for exporters