Mitsui makes full bid for Australian miner AWE, well above Chinese offer

TOKYO - Mitsui & Co. President and CEO,  Tatsuo Yasunaga, has confirmed that Mitsui has submitted to the Board of the Australian miner AWE Limited a non-binding proposal to acquire 100% of its issued shares.

The Proposal from Mitsui represents:

• 14.5% premium to the value of the Mineral Resources Limited scheme of arrangement proposal (MinRes Scheme) announced on 21 December 2017;

• 74.3% premium to the undisturbed AWE share price; and

• 30.1% premium to the unsolicited, conditional takeover bid of A$0.73 per AWE share by China Energy Reserve and Chemical Group Australia (CERCG Australia).

Mitsui said it has obtained Foreign Investment Review Board (FIRB) approval for the Proposal, and that the proposed acquisition of AWE is consistent with Mitsui’s ongoing strategy to invest in high quality oil and gas assets in Australia.

 In particular, Mitsui said, it believes AWE’s interest in the Waitsia Gas Project has the potential to be an attractive source of future gas supply to a wide range of Western Australian gas customers.

Mitsui, through its wholly owned subsidiary Mitsui E&P Australia (MEPAU), and AWE have had a long-standing partnership for more than 15 years, built through their current joint venture partnerships in the Casino Gas Project in Victoria and Petroleum Exploration Permit 55768 in New Zealand, and previous joint venture partnership in the Tui Project in New Zealand.

Through their subsidiaries, Mitsui and AWE were also previous joint venture partners in the Cliff Head Project in Western Australia and the BassGas Project in Victoria.

Mitsui is also part of a 50:50 joint venture with Japan Australia LNG (MIMI), which holds a one-sixth interest in the North West Shelf Project, and approximately 14% of the Browse Project.  www.mitsui.com.au (ATI).