Thai PTT completes Australian Straits Resources deal

Mon Mar 21, 2011 4:12am GMT

* Seeks delisting of Australian mining firm
* Shares up 1.5 pct, outperform market

BANGKOK, March 21 (Reuters) - Thailand's top energy company, PTT Pcl (PTT.BK: Quote) said on Monday it had completed the acquisition of Australia's Straits Resources Ltd (SRL.AX: Quote) and would delist the coal miner from the Australian stock exchange

PTT told the Thai exchange the Federal Court of Australia had approved the takeover, under which PTT Mining Ltd (PTTML) would acquire all of the shares in Straits Resources, renamed International Coal Holdings Ltd (ICL), for A$544.1 million ($546 million).

The company said all the shares in ICL had now been registered in the name of PTTML.

PTT said in November last year it was buying 100 percent of the Australian mining firm as part of its long-term strategy to focus on high-quality coal assets with good growth prospects.

PTT Mining is a wholly owned subsidiary of PTT International Co Ltd, a holding company set up to invest in overseas businesses for the Thai energy giant.

State-owned PTT, Asia-Pacific's third-largest listed oil and gas firm by market value, has been looking to snap up foreign assets in a bid to diversify risk and bolster its presence in the international market.

PTT spent $335 million in April 2009 to buy part of Straits Resources' coal and salt assets, its first foray into the coal business and its second investment in Australia.

The company had said it expected to boost its coal output after the Straits Resources and other acquisitions to 30 million tonnes in the next five years.

At 0334 GMT, PTT shares were up 1.5 percent at 342 baht while the broader market .SETI was 1 percent higher. ($1= 30.30 Baht) (Reporting by Ploy Ten Kate; Editing by Alan Raybould,sourced reuters)

BP, Total win new coal bed methane blocks in Kalimantan

Mar 19, 2011 00:31

BP was awarded three blocks in Central Kalimantan, while French energy major Total won one block in East Kalimantan, the ministry’s director general for oil and gas, Evita Herawati Legowo, told reporters. Legowo said BP and its consortium partner have committed to investing $13.55 million for the first three years of exploration activities in the three blocks, while Total’s commitment is $4.3 million.

BP was one of four firms winning oil and gas blocks in November last year with total planned investment of $28 million.

Indonesia plans to offer 50 oil and gas blocks as well as 10 coal bed methane blocks in 2011 to investors as the country seeks to boost investment in the sector, the energy ministry said late last year.

The energy ministry will offer 39 oil and gas blocks via tender and the reminder through direct offer.

The Indonesian government expects 215.34 trillion rupiah ($23.78 billion) in revenue from the oil and gas sector this year based on an average price of $80 per barrel, data from the energy and mineral resources ministry showed in January.

The target is lower than actual 2010 revenues of 220.987 trillion rupiah. (sourced Reuters)

IT raids offices of JSW Steel, JSW Energy

Thu, Mar17, 2011

Investigators from the income tax (IT) department in Mumbai yesterday conducted searches at the offices of JSW Steel Ltd and JSW Energy Ltd for alleged evasion of income tax.

According to B Gaur, director general, IT investigation, Mumbai, there was a search going on but they could not divulge details. He added that the search operation was expected to continue till evening.

The searches started early in the morning at the Mumbai and
Rajasthan offices of JSW Group.

The companies, according to an official who requested anonymity said the companies had allegedly adjusted accounts to reduce tax liability.

According to JSW group spokesperson Sharmila Banerjee, who confirmed the raid at the company's Lower Parel office in Mumbai, the raids were a routine survey.

''It is part of the usual survey, and apart from that, there are no more details we have,'' she said.(By domain-b)

PH wants to increase coal imports from Indonesia

Wed, Mar09, 2011 16:26
By Amy R. Remo,Philippine Daily Inquirer

MANILA, Philippines—Energy Secretary Jose Rene D. Almendras is hoping to woo Indonesian coal firms, through their government, to increase their coal exports to the Philippines.

Almendras explained that he was asked by President Aquino to join him in his state visit to Indonesia to make sure “that Indonesia will be happy to sell us the coal that we need.”

“We’re not talking to the (Indonesian companies) directly. We’re talking to the Indonesian government to show our appreciation that they continue to sell us coal,” Almendras said.

The energy chief disclosed that there were also offers to increase coal supply contracts with Philippine companies, which was something that the government was aiming for given the number of new coal-fired power plants, expected to begin commercial operations over the next several years.

Although the Philippines has huge coal resources, local production remains short of demand. As such, companies secure most of their coal requirements abroad, particularly in Indonesia, which was reported to have supplied 89.8 percent of the country’s total coal imports in 2009, equivalent to 6.62 million metric tons. China provided 7.8 percent of coal imports and Vietnam, 2.4 percent.

Indonesia, to date, continues to be the Philippines’ largest source of coal, according to Almendras.

Over the next several years, the Department of Energy is anticipating the entry of new coal facilities in the main grids.

Aboitiz Power Corp. is putting up two coal-fired facilities in Subic (600 megawatts) and Davao (300 MW) to provide the much-needed additional capacities by 2014, while conglomerate San Miguel Corp. is also looking at constructing similar power plants in Mindanao.

Almendras earlier said Conal Holdings Corp. of the Alcantara family would also push through with the 200-MW coal facility in Sarangani, the first phase of which would start operating by 2012 while Phase 2 would be available by 2013. The same company, he added, would put up another 100-MW coal facility in Zamboanga.