Coal seam gas explorer Ormil Energy has shifted its attention from the Illawarra to Botswana, launching a takeover bid for a company with gas assets there.
Its target, Energy Botswana (EBL), is an unlisted Australian company that holds potentially lucrative coal seam gas licences in the African country.
The surprise move came after Ormil's controversial plans to drill 16 exploratory boreholes in the northern Illawarra ground to a halt.
The expiry of a key exploration licence earlier this year left the project in limbo.
Ormil blamed its joint venture partner Apex Energy for the "administrative oversight".
The company hopes its takeover bid will allow exploration in Botswana to begin quickly.
"Ormil is still confident in the potential of its New South Wales assets, but progress has been slowed by political conditions beyond our control," managing director Tom Fontaine said.
"With this merger, Ormil can use the strong existing EBL team combined with our CSG exploration experience to build value in EBL's Botswana assets while issues in NSW are resolved."
But Stop CSG Illawarra said it hoped the merger marked the end of Ormil's exploration activities here.
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Illawarra Mercury
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