Outbid Shell considering next Cove Energy move

Cove Energy has a significant stake in gas finds offshore Mozambique. (Image source: Cove Energy)Cove Energy has a significant stake in gas finds offshore Mozambique. (Image source: Cove Energy) Royal Dutch Shell is considering its options regarding exploration company, Cove Energy, after it was outbid by Thailand's PTT

According to a company statement, Shell has extended the deadline for shareholder acceptances of its 220 pence per share offer by three weeks.

"Shell is currently considering its options and will make a further announcement if appropriate," the statement said.

Investors now appear to expect Shell to put in a higher bid for Cove, which has a stake in Mozambique's significant offshore gas reserves, after its US$1.8 billion offer was beaten by PTT's bid of US$1.9 billion.

The board of Cove had originally recommended Shell's offer to its shareholders, but later advised investors to accept PTT's 240 pence a share bid.

Any deal is subject to approval from the government of Mozambique.

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