Chinese company makes takeover bid for coal seam gas company

Australia's Queensland coal seam gas (CSG) operator WestSide Corporation said Monday it had received an off-market takeover bid from Landbridge Group, a private firm based in Shangdong Province, China, for all of the shares in WestSide for cash consideration of 36 AU cents (32.54 U. S. cents) a share.

The takeover bid will be worth about 160 million AU dollars ( 144.61 million U.S. dollars).

The board of WestSide is reviewing the terms of the intended bid, and the conditions to a bid being made, the company said.

WestSide shares had gained three cents to 29 AU cents (26.2 U.S. cents) by 1223 local time on Monday. "The Intended Bid is highly conditional and subject to, amongst other things, the approval of various third parties (including Chinese and Australian government regulatory approvals) and Landbridge undertaking due diligence,"WestSide said in a statement Monday.

WestSide Corporation is an Australian Securities Exchange (ASX)- listed company with gas production and significant uncontracted gas reserves and exploration interests in Queensland.

It operates the Meridian SeamGas CSG fields west of Gladstone in Queensland, and has interests in several gas exploration programs the Bowen Basin.