Cue Energy returns to NZX as listing rules align
Cue Energy returns to NZX as listing rules align with Australia’s, Tweedie says
By Peter Kerr
Cue Energy's relisting on the New Zealand Stock Exchange is because it is now easier to do so, and an opportunity for Kiwi investors to get into a local oil energy stock, said Chairman Richard Tweedie.
The managing director of closely held Todd Energy said Cue was delisted four years ago because NZX's rules around resource stocks were much less flexible than its Australian stock exchange counterpart.
"NZX no longer has those listing rules, they're far better, in fact perfectly aligned with the ASX," said Tweedie. "Those impediments no longer exist."
An often heard desire by NZ investors to directly be able to invest in New Zealand oil exploration and production is another reason to list Tweedie said.
Cue owns 5% of the
recently brought on-line Maari oil field, while Todd Energy
owns 16%. Todd Energy is the largest shareholder in Cue with
Productive oil fields next to Maari have recently been discovered, and Cue and Todd between them have a number of exploration licences over other areas.
"Here is an opportunity for New Zealanders who are aware of the success of Todd, and that further and further on we might work together with Cue," Tweedie said.
"We would like more people to own and trade Cue shares. That's what it is all about," he said.
Cue currently has 693 million shares listed the Australian Stock Exchange and Port Moresby Stock Exchange, with a market capitalisation of approximately NZ$200 million. Twenty six percent of the company's shareholders are New Zealanders who together hold 40% of Cue Energy's shares.
New Zealand doesn't have great depth in its capital markets, and NZX has welcomed Cue back to its listings Tweedie said.
"Getting back on the NZX board will provide a little more depth," he said. "With New Zealand oil production up on the board, we'll definitely have more to offer the NZ investor."