BHP's (BHP -1.5%) willingness to pay a 65% premium for Petrohawk (HK +62.7%) shows that mining...


BHP's (BHP -1.5%) willingness to pay a 65% premium for Petrohawk (HK +62.7%) shows that mining companies will pay top dollar for natural gas plays (UNG +2.5%), despite the stubbornly low price of the commodity itself. JPMorgan's Mark Lear says acquisition targets could include: RRC +6.6%, BEXP +6.1%, KOG +5.7%. Also surging: COG +7%, CHK +6.7%.

From other sites
Comments (3)
  • Art Trader
    , contributor
    Comments (120) | Send Message
     
    Maybe BHP will try to buy out some of HK 's partnerships - Like the other Kinder Morgan's half 50% of KinderHawk . At the very least, the good news for KMP and KMI is that they have assets that are valued way below the market price.
    15 Jul 2011, 10:53 AM Reply Like
  • Windsun33
    , contributor
    Comments (4431) | Send Message
     
    Some of the other companies mentioned will be good buys once they drop off the M&A hype bandwagon scope, but up a bit much for me right now, based purely on speculation.
    15 Jul 2011, 10:55 AM Reply Like
  • Art Trader
    , contributor
    Comments (120) | Send Message
     
    Kinder Morgan didn't even get mentioned. I don't think they're pure M&A material, just some of the non-core assets. Exploration (or "gathering") is kind of peripheral for a primarily pipeline company.
    15 Jul 2011, 10:59 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs