(BG-.L) BG Group PLC Buy/Sell

Nov 20 (Reuters) - European Oil & Gas:

Daily Telegraph

MORRISONS: NO SUCCESSION RUSH

Sir Ian Gibson, the non-executive chairman of WM Morrison , has said that the company hopes to have a successor to the poached chief executive Marc Bolland in place "early in the new year", but claimed that Morrisons was not in a rush and there was no deadline. Gibson made the remarks as the supermarket chain released results showing that like-for-like sales growth declined to 4.3 per cent during the 13 weeks to November. The figures were disappointing compared to City predictions of 4.6 per cent and the 7.8 percent growth seen in the first half of 2009.

INVESTEC CHIEF CONFIDENT ON RECOVERY

Investec has reported a 10 per cent fall in its pre-tax profits to 204 million pounds during the first half of 2009. The chief executive Stephen Koseff, however, noted that the bank's bad debts appear to be diminishing compared to last year. Although bad debts rose from 76 million pounds to 134 million pounds in the last six months, they had reached as high as 180 million pounds during the final half of 2008. Koseff expressed optimism for the future, whilst doubting that all the damage done by the financial crisis would be undone.

LADBROKES TO CLOSE CALL CENTRES DUE TO TAX

The bookmaker Ladbrokes is to close its call centre at Aintree, threatening 263 jobs. Employees are to be offered a chance to relocate, in order to reduce the number of redundancies. The company blamed its decision on tax regulations placed on telephone betting operators in the UK. "Telephone betting is a very competitive market", stated the Ladbrokes spokesman Ciaran O'Brien, "and one that is becoming increasingly difficult for UK-based operators, who face significantly higher levels of tax than those operating from offshore jurisdictions." Revenue fell 41.3 per cent to 9.1 million pounds during the first half of 2009.

QUESTOR

National Grid (Buy)

BG Group (Buy)

The Guardian

TESCO RINGS THE CHANGES WITH PLANS TO OFFER HOME PHONE.

Tesco is planning to increase its stake in the telecoms market, saying it sees more opportunities for big returns from mobile phone and broadband users. Tesco has recently announced a five-year deal with Cable and Wireless for it to supply Tesco with wholesale broadband packages, which it intends to supply to customers in bundled deals with its other products. Tesco is aiming to double its number of phone shops to 200 by the end of 2010.

BLUE-BLOOD CAZENOVE JOINS THE BLUE CHIPS

Cazenove has been bought-out by JP Morgan for one billion pounds. Most of Cazenove's shares were owned by current and former employees - David Mayhew, the chairman of Cazenove, stands to make 20 million pounds from the deal, with JP Morgan offering 535p a share. Mayhew has been at Cazenove for 40 years, and there have been speculations about his retirement for over a decade. He is to stay on as chairman but will no longer have a role in the management of the business.

OLIGARCHS BACK RUSSIAN NOVICE AS NEW CHIEF OF TNK-BP GROUP

In a move that proves the dominance of Moscow shareholders in the TNK-BP group, an inexperienced favourite of the Russian investors has been chosen as the new chief executive. Maxim Barsky, 36, will be trained at BP's headquarters in London for five months before assuming the position in 2011. BP has insisted that it was not steamrollered into the decision. BP's chief executive Tony Hayward said that he was "pleased" by the development.

The Times

LEGAL & GENERAL LINES UP EX-WOOLWICH BOSS AS CHAIRMAN

Legal & General, the UK's third-largest insurer, is set to appoint former Barclays chief executive John Stewart as its new chairman. L&G has been searching for almost a year for a replacement for Rob Margetts, who has served as chairman for almost ten years. L&G senior independent director Sir David Walker has begun canvassing shareholders over the prospective appointment, and the insurer is expected to announce next week that Stewart will take up the position from January.

BURBERRY TARGETS INDIA'S BRAND-AWARE MIDDLE CLASS

British fashion firm Burberry has applied for government clearance to launch a joint venture with Indian fashion retailer Genesis Colors. Burberry is hoping that it can match in India the growth it has achieved in China, where the company operates 44 stores and is enjoying double-digit percentage revenue growth. Burberry chief executive Angela Ahrendts said: "India is on a different curve. We only have about two stores there now but I see the same growth potential."

TRINITY MIRROR BIDS FOR NORTH EAST SLOT IN ITV LOCAL NEWS

Publisher Trinity Mirror is bidding alongside the Press Association and television producer Ten Alps for the chance to make an ITV regional news bulletin for the North East. Trinity Mirror is already the owner of several newspapers in the region and hopes that these would form the basis for a new Tyne-Tees news service, to be part-funded by public money. ITV has complained that regional news bulletins will become uneconomic when the UK switches to digital television, and Labour ministers are keen for money from the BBC licence fee to be used to help fund regional news on ITV.

TEMPUS

National Grid (A solid hold)

PayPoint (Too soon to check out)

AEA Technology (Take profits)

The Independent

SAB MILLER RAISES A GLASS TO UK SALES

SAB Miller has reported that volumes increased amongst its leading beer brands in the UK during the six months to 30 September. The brewer's UK business, Miller Brands, grew volumes of Peroni Nastro Azzurro by 35 per cent over the period and increased volumes of Pilsner Urquell by 26 per cent. The brewer reported earnings before interest, tax, depreciation and amortisation were down two per cent to 2.19 billion dollars over the half year period, with pre-tax profits falling to 1.5 billion dollars, after exceptional charges of 239 billion dollars.

HALFORDS PROFITS SOAR BY 24 PER CENT

Halfords has reported a 24 per cent increase in pre-tax profits to 60.9 million pounds for the 26 week period to October 2, driven by a 2.1 per cent increase in underlying sales during the second quarter and tight cost controls. David Wild, chief executive of the bike and car parts retailer, said: "We can certainly continue sales for the remainder of this quarter, but we are a bit more nervous about the first quarter of next year with VAT going up, unemployment rising and the impact of sterling on buying products from overseas."

KIER NAMES SUCCESSOR TO VETERAN CHIEF EXECUTIVE

Paul Sheffield has been appointed as the successor to Kier chief executive John Dodds when he stands down from the construction and engineering services group next April. Mr Sheffield is currently Kier's head of construction, infrastructure and overseas business, and has been with the group since joining as a graduate engineer in 1983. Out-going chief executive Dodds said: "I've worked with Paul Sheffield for over 25 years and I'm absolutely convinced that he is the right man to lead Kier into the future. Paul is highly talented and I look forward to working with him to ensure a seamless transition during the lead up to my retirement."

INVESTMENT COLUMN

National Grid (Buy)

Unite Group (Buy)

Huntsworth (Hold)

Prepared for Reuters by Durrants
Keywords: PRESS DIGEST British business Nov 20

COPYRIGHT

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RNS Number : 7520C BG GROUP plc 19 November 2009

News Release

19 November 2009

BG Group announces record productivity from well tests on the Iracema appraisal well in the Tupi area, Santos Basin, Brazil

BG Group (25%) and partners Petrobras (65% and operator) and GALP (10%) have completed two drill stem tests (DSTs) on the Iracema well (4-RJS-647 or 4-BRSA-711-RJS) in the BM-S-11 appraisal area in the Santos Basin pre-salt, offshore Brazil.

DSTs were carried out over two zones with aggregate production amounting to 10 500 barrels oil per day of light 32° API oil and 17 million standard cubic feet per day (mmscfd) of gas. Flow rates were facilities constrained.

The Iracema appraisal well has confirmed the presence of an excellent quality light oil bearing reservoir, 33 kilometres north-west of the original Tupi discovery well (1-RJS-628A or

1-BRSA-369A).

The well in-flow performance recorded during the tests was the highest so far achieved in BG Group's Santos Basin interests. Ultimately, development well flow rates of up to 50 000 barrels oil equivalent per day (boepd) are anticipated; these rates being constrained by production facilities rather than reservoir performance.

The excellent characteristics of the pre-salt carbonate reservoirs in BG Group's concessions, confirmed by recent appraisal wells, have a highly significant positive influence on expected well recoveries, well density, development capital expenditure and project economics.

BG Group Chief Executive Frank Chapman said "We are delighted with the results of this latest appraisal well, situated 33 kilometres from the initial Tupi well. This provides further evidence of the very large areal extent and prolific nature of the pre-salt discoveries we have made. We will be working closely with our partners to consider the optimum Tupi and Iracema development sequence, following this outstanding result."

Further evaluation of the well data is on-going and work on field development options has been initiated. BG Group and its partners will continue the activities and investments foreseen in the Evaluation Plan approved by the Brazilian National Petroleum Agency (ANP), including the drilling of further wells in the area.

Iracema, in the BM-S-11 appraisal area, was drilled to a depth of 5 000 metres and completed in September 2009. It is located in 2 210 metres water depth, around 250 kilometres off the coast of the State of Rio de Janeiro.

RNS Number : 6621C BG GROUP plc 17 November 2009

News Release

17 November 2009

BG Group and Petrobras joint Santos Basin gas development

BG Group today announced the signing of a Joint Venture Agreement (JVA) with the Brazilian oil company Petroleo Brasileiro SA (NYSE:PBRA - "Petrobras") focused on developing Floating Liquefied Natural Gas (FLNG) as an additional option to commercialise the material associated natural gas reserves in the Santos Basin pre-salt, offshore Brazil.

Under the agreement, Front-End Engineering and Design (FEED) contracts will be awarded for a new FLNG vessel.

This FLNG vessel will operate close to the planned Santos Basin Floating Production, Storage and Off-Loading (FPSO) vessels. The vessel will process and liquefy the associated natural gas from the pre-salt fields before offloading to LNG ships.

The FLNG processing capacity is anticipated to be up to 14 million cubic metres per day of associated gas. The 3.0 million tonnes per annum (mtpa) LNG produced would be shipped either to Petrobras-operated regasification terminals at Pec?and Guanabara Bay to supply the Brazilian domestic market or exported to other global markets. BG Group is a significant participant in the Brazilian domestic market, holding a majority interest (60.1%) in Comg, Brazil's largest gas distribution company. In 2008, Comg?supplied gas to 1 000 industrial, 9 000 commercial and 650 000 residential customers in S?Paulo state. Average daily volumes increased almost five-fold between 1999 and 2008, from 3.0 million cubic metres per day (mmcmd) to 14.6 mmcmd.

BG Group has developed a leading position in the global LNG industry, supplying customers in 20 LNG importing countries worldwide, with a flexible global supply portfolio, a fleet of modern ships and international commercial and logistical capabilities. This enables the Group to respond quickly to opportunities to secure greater margins. Petrobras operates 22% of the global deep waters oil production and holds the world's largest number of offshore production units (FPS and ships).

BG Group Chief Executive Frank Chapman said: "We are delighted to extend our already close working relationship with Petrobras as we jointly consider options to develop the very material associated natural gas potential of the Santos Basin pre-salt. This agreement draws on a range of strengths within each company, combining Petrobras' expertise in ultra-deepwater exploration and development with BG Group's proven skills at all points of the global gas value chain."

Indicative timeline

The tender for the development of the FLNG FEED project was issued in August 2009. In October 2009, several consortia consisting of international suppliers with liquefaction and FPSO construction experience were invited to present their initial proposals.

In December 2009, FEED contracts will be awarded to up to three of the consortia invited to bid, in accordance with the qualification criteria established for the tender process. The decision to develop separate FEED projects in parallel is intended to foster competition between the consortia, contributing to a reduction in the overall cost of the FLNG vessel.

The successful bidders will prepare their FEED proposals through 2010. BG Group and Petrobras anticipate making the Final Investment Decision (FID) in 2011. The FID outcome will be based on technical and economic feasibility studies of each of the FLNG FEED projects presented. It will also take into account an assessment of the viability of alternative development options such as the installation of new subsea pipelines connecting the Santos Basin pre-salt to onshore gas processing facilities.