BG Group makes a move for QGC

UK gas major BG has made a A$5.2 billion ($3.2 billion) all-cash takeover play for Australian coalbed methane gas producer Queensland Gas Company in a bid to bolster its position in the Asia-Pacific liquefied natural gas market.

31 October 2008 0:01 GMT Updated 31 October 2008 0:01 GMT

By Russell Searancke and Iain Esau, London

QGC has recommended that its shareholders accept BG's final offer price of A$5.75 per share, which is an 80% premium on QGC's closing price of A$3.20 on 23 October.

QGC is Australia's third-ranked CBM gas producer behind Origin Energy and Santos. Its shares jumped 80% on resuming trade on the Australian bourse to match the BG offer price, having been placed on halt last Friday.

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BG Group makes a move for QGC