Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Strictly: Drilling II -- Ignore unavailable to you. Want to Upgrade?

To: Roebear who wrote (9513)	3/18/2002 10:07:19 AM
From: isopatch	Read Replies (1) \| Respond to of 36161

Aussie bids for US sm cap gasser ESNJ <Sunday March 17, 11:01 pm Eastern Time Australia's Santos To Buy US' Esenjay Exploration MELBOURNE -(Dow Jones)- Australian oil and gas company Santos Ltd. (STOSY) said Monday it is to acquire for around US$80 million U.S. -based Esenjay Exploration Inc. (ESNJ) under an agreed merger. Under the merger Santos will offer to purchase for cash all outstanding common shares in Esenjay for US$2.84 a share, representing a 4.4% premium to their closing price Friday. In a statement Santos Managing Director John Ellice-Flint said the acquisition will provide a base for further growth in its U.S. operations. "Santos is growing steadily in the U.S. through a combination of successful exploration, production optimization and acquisitions," Ellice-Flint said. He said the U.S. gas market offers attractive fundamentals, with margins " generally better than in Australia ."> biz.yahoo.com Apparently Iso isn't the only one who thinks the small US NG explorers are excellent bargains at recent prices. ESNJ has more debt than I like to see. But they have an excellent team of geoscientists and what looks to me like a very attractive inventory of prospects to drill. On balance, 2.84 looks a little low to me. So, wouldn't be surprised to see another bidder surface in the next few weeks. If not, I might just buy some Santos.<g> Isopatch