Oil Search

Oil Search (OSH) has a target price of A$7.08/share and a recommendation to Buy/High Risk from Australian stockmarket analyst Macquarie Research Equities.

Oil Search Ltd (OSH): LNG Phase II - Hides Potential Could Underwrite Expansion

Oil Search (OSH) has a $7.20 share price target and an Outperform recommendation with a suggested upside of up to 15 percent in the stock from Australian stock analyst Macquarie Research Equities.

Is It Too Late To Get Upside In Gas?

Here is an Australian Energy update from Australian market analyst UBS.

What do WPL, STO and OSH look like at US$100/bbl oil price parity for LNG?

Is our LT assumption of US$10/mmbtu conservative?:

We have recently upgraded the UBS our oil price forecast by a material amount, but we have left our long term Asia Pacific LNG pricing assumption of US$10/mmbtu unchanged. Is this too conservative?

Asia Pacific LNG prices are moving towards oil price parity:

Oil Search (OSH) has a retained Outperform recommendation and a 12 month share price target of $6.30 from Australian shares analyst Macquarie Research.

Oil Search (OSH): Energy Sector Review

UBS has released some of their analysts' thoughts on the Australian energy sector, especially in the area of Oil Prices. In light of the recent strength in the oil price, the analysts have reviewed two oil pricing scenarios - Futures Curve and WTI spot to determine their impact on forecast EPS, valuations and our share price targets for our Australian E&P company coverage. Scenario 1: WTI Futures curve: average WTI oil price US$75/bbl: Applying the futures curve increases 2008 EPS forecast most for Tap (+84%), Santos (+47%) and Woodside (+41%).

from Australian stock analyst Macquarie Research Equities. The oil company's stock price has jumped on the back of speculation of a bid. Shares in Oil Search (OSH) rallied as much as 19% in trade today after speculation emerged that the stock was in the sights of a corporate predator. In response to the press speculation in the South China Morning Post that CNPC Exploration was considering a bid of US$5bn (~A$5.50/share), Oil Search (OSH) has informed the market that it has not received any formal approach from any party regarding a takeover. The press report suggesting that CNPC (the equal joint venture between China National Petroleum Corp and its Hong Kong-listed subsidiary PetroChina) was planning to bid saw OSH rally to $4.60/share from Friday's close of A$3.85 per share before settling back to around $4.30 (up 11%).

While it would appear that this is not a signal of imminent corporate activity, it does support the view that the upside for OSH available from its large volume of undeveloped, stranded gas in PNG could be attractive to potential suitors. In previous analysts' research, they we have highlighted the possibility of takeover given the apparent increased level of appetite for LNG optionality in Asia from both Asian and international E&P companies. The recent price suggested by the Woodside:Petrochina LNG deal would support the view that China is increasingly attracted to gas importation despite the current high pricing environment. While the analysts believe the speculation may not be based on an immediate threat it does give an indication that substantial upside is available if ExxonMobil progresses with an LNG development. The New PNG Government will sit tomorrow for the first time under returning PM Sir Michael Somare and we anticipate the address to the nation will carry a strong message regarding the Governments expectations on a LNG development. Read a previous stock recommendation for Oil Search. The company was a previous Loser of the week