Nexus dismisses talk of $480m Shell takeover offer

Shares in Nexus soared almost 30 per cent after a newspaper report suggested its shareholders had been sounded out about a $480 million offer from Shell.

Shell is considered a natural acquirer because it has rights to Nexus's Crux field off the West Australian coast, with adjacent fields that could be used to feed its Prelude floating liquefied natural gas project.

About 80 million Nexus shares were traded yesterday, well above average for the stock, indicating that moves may be afoot for an acquisition.

"That is about 8 per cent of the shares, which is far too much to pass off on day traders, so it definitely seems that something is going on," a source said.

Nexus shares finished up 7?, or 23 per cent, at 37.5?.

Its company secretary, Susan Robutti, said it was aware of media reports of an imminent transaction. "In respect of these articles, Nexus advises that it has not been approached by any party, nor is it in discussions with any parties in respect of a takeover of the company," she said. "The company is not aware of any other reason for the price and volume change."

A Shell spokeswoman said the company did not comment on what it regarded as media speculation.

Nexus has been considered a prime takeover target since its refinancing troubles during the global financial crisis resulted in the dilution of ownership in core assets.