Offshore staff
US, GoM -- Woodside Petroleum Ltd's subsidiary, ATS Inc., plans to tender an official takeover offer for Energy Partners Ltd. (EPL).
ATS intends to begin a tender offer for the outstanding shares of the New Orleans-based independent at $23.00 per share in cash, subject to an increase to $24.00. The company already has a 4.5% stake in EPL.
In response to Woodside's acquisition intentions, EPL immediately advised its shareholders "to take no action at this time in response to an unsolicited proposal from ATS."
EPL says its Board of Directors will meet in due course to review and discuss the ATS proposal and will advise the stockholders of its position.
The offer will be conditional on EPL's shareholders voting to reject the company's merger agreement with Lafayette-based Stone Energy Corp.
"We are building a significant presence in the Gulf and the acquisition of EPL would be a valuable addition to what is already an important business for us," says Don Voelte, Woodside chief executive. "Woodside already has considerable operations in Louisiana and this acquisition allows us to grow our presence in the New Orleans area."
EPL has reported interests in 120 blocks, almost all of which are in the Gulf of Mexico.
As at Dec. 31, 2005 the company reported proved reserves of 59.3 MMboe, comprising 53.1% oil and 46.9% gas. In 2Q06, EPL recorded average daily production of 28,117 boe.
08/29/06
