Bloomberg has an article on Australian natural gas and coal seam gas companies Woodside and Santos – Santos, Oil Search of Better Value Than Woodside, JPMorgan Says .
Santos Ltd. and Oil Search Ltd., which are developing liquefied natural gas projects in Asia Pacific, are of “superior” value to Woodside Petroleum Ltd., JPMorgan Chase & Co. said.
“Woodside is overvalued versus peers based on our capital expenditure estimates for its LNG projects, and also given greater uncertainties in LNG growth,” Mark Greenwood, a Sydney- based analyst for JP Morgan, said in a Jan. 22 note to clients.
Woodside, operator of Australia’s North West Shelf LNG project, is building a A$13 billion ($11.8 billion) LNG project in Western Australia, and planning new ventures at Pluto, Sunrise and Browse gas deposits.
“We do not think Browse and Sunrise are at a mature enough stage currently to secure heads of agreements, and timely exploration success is required for Pluto-2 to meet its target final investment decision date at the end of 2010,” Greenwood said. …
East Timor will block Woodside’s plans to develop the Sunrise LNG plant, the Associated Press reported this month, citing a statement from Secretary of State Agio Pereira.
