Australia’s Beach Energy said it has completed the merger with Drillsearch, and the latter is now a wholly owned subsidiary of Beach.
Issue of new Beach shares to Drillsearch shareholders will occur on Tuesday, and trading of these shares will commence on Wednesday, March 2, on a normal settlement basis.
Acting Chief Executive Officer, Neil Gibbins, said, “From Beach’s perspective, the merger provides an additional 19,000 km2 of gross acreage within our core Cooper Basin area. It delivers full ownership of our key Western Flank oil and gas permits, expands our gas and gas liquids acreage, and provides an enlarged exploration footprint.”
The focus now turns to integration, which will initially target cost reductions and portfolio optimisation. Beach Energy aims to have it completed by 30 June 2016, allowing a large portion of the expected $20 million in synergies to be realised during FY17, Gibbins added.
In relation to the merger, Belinda Robinson and Robert Cole have resigned from the Beache’s board, and Jim McKerlie and Phillip Bainbridge have joined the board as non‐executive directors, with immediate effect.
LNG World News Staff