Origin Energy (Australia) Ltd - proposed acquisition of exploration permit ATP 788P from Pangaea
Type of assessment
Informal Review
Reference
37328
Acquirer(s)
Origin Energy (Australia) Ltd
Target(s)
Pangaea ATP 788P Pty Limited
Industry
Coal Seam Gas exploration
Summary
Origin Energy proposed to acquire exploration permit ATP 788P from Pangaea.
Outcome of assessment
Not opposed
Total review days *
17
Commenced public review
24th April 2009
Date completed
19th May 2009
Market definition
The ACCC considered that two markets were relevant for the assessment of this matter:
- the market for the production and supply of wholesale gas in the southern Queensland region connected by pipeline infrastructure (including Brisbane, Gladstone and Mt Isa); and
- the market for the production and supply of wholesale gas in the southern states (NSW, VIC and SA).
Competition analysis
The ACCC considered that the proposed acquisition was unlikely to result in a substantial lessening of competition in the relevant markets. Factors informing this conclusion included:
- the low aggregation of gas reserves which would be held by the merged entity relative to the total gas reserves available for supply by other wholesale gas producers and suppliers in southern Queensland; and
- the existence of several competitors who continue to provide alternative supply options for customers.
Review timeline
Date
Event
24th April 2009
ACCC commenced review under the Merger Review Process Guidelines.
8th May 2009
Closing date for submissions from interested parties.
19th May 2009
ACCC announced it would not oppose the proposed acquisition.
* Total Review days = Total business days less public holidays and time during which the review was suspended.
