PetroChina withdraws A$185 mln bid for WestSide

WestSide Corp. , an Australian company with coal seam gas prospects in Queensland state, said Tuesday that PetroChina Co. has withdrawn a 185.1 million Australian dollar (US$184.7 million) takeover offer for the company.

PetroChina made the indicative offer of 52 cents per Westside share back in November.

WestSide said in a filing Tuesday that the Chinese company told it that it decided to pull its offer "because the general situation in Australia has changed so much".

No further explanation was given for the decision, which comes as a number of giant gas-export projects in Queensland experience cost blowouts due to the strength of the Australian dollar and labor shortages.

By the close of trade Tuesday, WestSide shares had fallen 11% to 25 cents each. The company said discussions with other parties potentially interested in investing in the company, either through a gas-sales agreement, joint venture or full takeover, were continuing.