Macquarie lifts Central Petroleum bid

Macquarie Group has raised its bid for the oil and gas minnow Central Petroleum, which has entered a trading halt.

Macquarie Group has raised its bid for oil and gas minnow Central Petroleum, with the target entering a trading halt as it assesses the new deal.

The development comes after a November bid from Macquarie worth $75.8 million was knocked back by the Central Petroleum board. At that time the Richard Cottee-led Central Petroleum had said it was open to a higher offer than the 17.5 cent proposal. The company’s shares last changed hands at 16.5c.

Central Petroleum said its view on the revised offer would be forthcoming by Monday.

In November, the group said it had granted due diligence access to Macquarie to encourage a higher offer. Macquarie already has a 2.3 per cent stake in its target and serves as its chief financier. It drew closer ties in December by purchasing Santos’s 50 per cent holding in the Mereenie oil and gasfield near Alice Springs, making it a JV partner with Central Petroleum.

The company has long had grand ambitions in the Northern Territory, with the appointment of Mr Cottee in 2012 brightening the spotlight.