Waiting on Libya: Verenex says NOC has not made formal offer.
Verenex waiting on NOC bid
Canadian junior Verenex Energy said today it has not received any notice from Libyan officials about their plans to trump a takeover bid made by state-controlled China National Petroleum Corporation (CNPC).
The head of Libya's state-controlled National Oil Company (NOC) has repeatedly stated plans to exercise its rights to match a C$499 million ($427 million), or C$10 per share, bid for Verenex made by CNPC's international arm made in February.
However Verenex, which operates in part of Libya's Ghadames Basin, where it has made several oil discoveries, said in a release that Libya has not presented an offer.
"The chairman of the NOC has publicly stated that the NOC intends to exercise a pre-emptive right and purchase all the shares of Verenex at C$10 per share," the company said in a statement included in its first-quarter earnings release. "Such intent has not as yet been formally communicated to Verenex and CNPC."
Verenex said it is still trying to get Libya to approve its sale to CNPC, according to a Reuters report.
The company said it lost C$2.6 million in the first quarter after posting a C$2.1 million profit in the year-prior period.