SMH: APA Group ready to add to pipeline portfolio

APA Group chairman Len Bleasel is counting on strong support in debt and equity markets for any acquisition to add further growth to the gas pipeline giant's portfolio, with the $4 billion-plus pipeline being sold by BG Group in Queensland shaping up as the leading target.

Speaking four weeks before final bids are due on the BG pipeline, Mr Bleasel noted "a lot of interest" in the asset, which APA and several industry competitors, as well as financial players, have been eyeing.

Restricted by confidentiality agreements from commenting on the BG process, Mr Bleasel said APA was keen on "anything that's up for sale ... and any opportunities to build, own and operate pipelines".

APA's $800 million of cash and undrawn debt funding as of June 30 has grown by $780 million of proceeds from the recent sale of its 33 per cent in gas distributor Envestra to powerful counter-bidder Cheung Kong Group. MORE