News

March 11, 2009

Victoria Petroleum Still Seeks Buyer For US Assets As It Embarks On Another Busy Year Down Unde

One year on from a bruising boardroom battle that forced Victoria Petroleum to refocus and sell off its US assets, which were viewed by some shareholders as a costly distraction from drilling on home turf, and the company has yet to conclude a deal. In October the ASX-listed company accepted an offer from Adelaide Energy to buy its US assets, which include the producing Flour Bluff and Margarita gas fields, but by Christmas the deal had fallen through.

In this, Vic Pet is not alone.  Other companies are also finding it difficult to agree terms against a back drop of limited funding and falling commodity prices: as we reported recently, Sterling Energy has also struggled to find a buyer for its US assets.  Vic Pet investors will be keen for news of a sale so that capital and resources can be directed to its higher growth potential assets nearer to home, namely the Cooper Basin Oil Project in South Australia and Queensland and its...