Monday, March 9, 2009


Much interest is being shown in the prospects for First Australian Resources as it gets close to announcing its partner to develop its huge prospect off shore from Senegal.DeepLode has previously written on the circumstances surrounding the fortuitous position that FAR has found itself in with this tenement.
The share market forum Hot Copper ( has much speculation on its FAR thread.
DeepLode's pick is that the Chinese Government will pull a surprise on us and one of its oil companies will be announced as the joint venture partner to manage the project.
DeepLode's reasons for this have been put to readers previously.
Deeplode's position has been strengthened by reports coming out of Hong Kong and now hitting the news wires that one of the potential joint venture partners, Tullow Oil, is the latest Africa-focused energy firm to draw Chinese takeover interest.
Chinese oil giants Sinopec Corp, CNOOC and China National Petroleum Corporation -- parent of PetroChina-- have all looked at Tullow, three un-named Hong Kong-based bankers have told Reuters.
DeepLode suggests that we would be talking $US10b to get Tullow interested in any deal.The Chinese oilers' modus operandi is to hunt down a target and then the Chinese Government decides which entity will be the vehicle for the bid.
DeepLode will shortly be going up to Hong Kong so will be listening closely to any gossip.
But an announcement may come sooner than that.

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