AWE issues matching rights to Mineral Resources before taking up Mitsui proposal

Company News

by Kathy Skantzos

In response to Mitsui’s proposal to take over oil and gas company AWE (ASX:AWE), the company has issued a matching rights scheme to Mineral Resources (ASX:MIN) offering to match the proposal.

Mineral Resources (ASX:MIN) has three business days to match Japanese company Mitsui’s takeover proposal for a cash consideration of $0.95 a share.

AWE says it intends to enter the agreement with Mitsui if Mineral Resources does not respond or match the proposal.

During the December quarter, AWE entered a gas sales agreement with Origin Energy (ASX:ORG) to take over the Casino Henry gas production from March to December 2018.

The company also raised $48 million in an institutional placement and share purchase plan during the quarter.

Shares in AWE (ASX:AWE) are trading 0.77 per cent lower at $0.97.