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Briefs

Caltex gets more time

CALTEX will have an extra three weeks to strengthen its case to acquire 302 Mobil petrol stations before the Australian consumer watchdog reaches a decision. The Australian Competition and Consumer Commission has agreed to extend its deadline for a decision on the proposed acquisition from yesterday to December 2. Caltex requested extra time to respond to concerns raised by the commission in a lengthy statement of issues released in September. The commission found that almost 200 service stations were in areas that would still enjoy significant competition but that a fifth of the 302 Mobil sites might raise competition concerns. Caltex shares closed down 29? at $10.32.

Pluto contracts awarded

WOODSIDE has awarded dual engineering contracts for the second and third processing units from its Pluto project despite not having secured enough gas for them to proceed. The global energy giant said Foster Wheeler and WorleyParsons (through a joint-venture arrangement) and KBR would provide front-end engineering design for Pluto trains two and three.

The move follows Chevron last month outplaying its rival by signing a deal with two suppliers that Woodside had expected to provide gas for Pluto. Woodside said the defection would not affect its timeline for Pluto, which was on track for first gas by the end of next year and the first LNG in early 2011.

BANKING

CBA chief warns on regulations

COMMONWEALTH Bank chairman John Schubert has warned that moves to toughen already conservative liquidity requirements by Australia's regulators could hamper economic recovery and would drive up costs.

Speaking at the bank's annual meeting in Perth yesterday, Mr Schubert said although more work needs to be done on the regulatory system, it made no sense to burden Australian institutions with unnecessary regulations based on the failures of their international counterparts. It's important that we do not follow a global 'one-size-fits-all' approach to the regulation of Australian financial services organisations which, unlike their global peers, have not failed, he said.

MERGERS

Iron companies look to Brazil

CENTAURUS Resources and Glengarry Resources have agreed to merge and have their sights set on becoming a significant producer of iron ore in Brazil. The Perth-based companies have entered into an agreement to merge by way of an off-market takeover bid. Centaurus' board has recommended its shareholders support the agreement. "Glengarry has made an attractive offer to Centaurus shareholders which not only provides an immediate uplift in the value of Centaurus shares but also provides the opportunity for our shareholders to be part of a well-funded company with the capability to accelerate the development of our Brazilian iron ore assets," Centaurus managing director Mark Papendieck said.