Shell Energy Holdings and Petro China International Investment Company have welcomed the announcement by the board of Arrow Energy to recommend its shareholders vote in favour of the firms’ joint proposal to acquire 100% of Arrow shares.
The two companies in a joint venture called CS CSG have reached an agreement with Arrow to pay $4.30 a share for all the shares in Arrow, representing a total of $3.2 billion.
The offer is subject to customary conditions including regulatory approvals and Arrow shareholder approval.
“The proposal is good for jobs, good for Queensland and good for the long-term future of the CSG industry in Australia. In addition to the quality of its assets, both Shell and PetroChina are attracted to the quality of Arrow’s employees, all of whom should be proud of the role they have played in building this great company.” Shell’s chairman in Australia, Russell Caplan, said.
“The CSG to LNG project to be developed by the joint venture is an extremely exciting project and Shell’s and PetroChina’s technical and financial capabilities will underpin the next phase of this significant development,” Qiliang Bo, vice president of PetroChina Company Limited, said.
