WestSide Corporation Limited (ASX:WCL) Letter to Shareholders - Announcement of 2-for-5 Entitlement Offer To Raise Approximately A$25.4 Million

Brisbane, Mar 9, 2012 AEST (ABN Newswire) - On 8 March 2012 WestSide Corporation Limited (ASX:WCL) announced a non-renounceable pro rata entitlement offer to raise approximately A$25.4 million ("Offer"). Eligible WestSide shareholders will be entitled to subscribe for 2 new fully paid ordinary shares in WestSide ("New Shares") for every 5 WestSide ordinary shares they hold for an issue price of A$0.25 per New Share.

The net proceeds of the Offer will be used to undertake the next stage of work at the Meridian SeamGas gas fields in Queensland's Bowen Basin. This work will be directed at maintaining and increasing gas production to supply existing and future customers. Some of the proceeds of the Offer will be invested in a field development feasibility study required for a Final Investment Decision to support possible new gas sales agreements. A portion of the proceeds will also be used to fund WestSide's joint venture share of exploration programs within its Bowen and Galilee Basin tenements.

The Offer is open to all WestSide shareholders with a registered address in Australia, New Zealand or Indonesia ("Eligible Shareholders").(1) The entitlements of Eligible Shareholders to participate in the Offer will be determined by reference to the number of shares they hold at 7pm (AEDT) on Monday 19 March 2012 ("Record Date").

Details of the Offer will be set out in the offer document ("Offer Booklet"), a copy of which will be lodged with the Australian Securities Exchange (ASX:ASX) and made available on the ASX's website at www.asx.com.au and on WestSide's website at www.westsidecorporation.com on or before 22 March 2012. Eligible shareholders will also be mailed an Offer Booklet together with a personalised Entitlement and Acceptance Form by no later than 22 March 2012. Shareholders whose registered address is not in Australia, New Zealand or Indonesia will not be sent an Offer Booklet.(2)

Key information regarding the Offer

The Offer price of A$0.25 represents a discount of approximately 47.9% to the closing price of WestSide shares on 5 March 2012 (the last trading day for WestSide shares before the Offer was announced) and a 47.5% discount to the 5 day VWAP up to market close on 5 March 2012. It also represents a discount of 39.7% to the theoretical ex-rights price based on WestSide's closing price on 5 March 2012.

On 13 February 2012, WestSide advised shareholders that it had received an indicative, conditional, non-binding and confidential proposal to acquire all of the shares in WestSide for cash consideration of $0.65 per WestSide share ("Indicative Proposal"). The Indicative Proposal was received from Liquefied Natural Gas Limited (ASX:LNG).

The Offer price of 25 cents per share is a 61.5% discount to the price of A$0.65 per share referred to in the Indicative Proposal.

The WestSide Board has not formed a view, at this stage, as to the merits of the Indicative Proposal and there is no guarantee that a binding takeover offer will be received. The WestSide Board has attempted to set a price for the Offer which will be attractive to shareholders taking into account the uncertainty associated with the Indicative Proposal. The 25 cent Offer price represents a 26.5% discount to the closing price of A$0.34 on 10 February 2012 (the last day the shares traded on the ASX before the Indicative Proposal was announced on 13 February 2012) and a 19.9% discount to the 5 day VWAP up to market close on 10 February 2012.

Eligible Shareholders who have applied for their full entitlement of New Shares under the Offer will be offered an opportunity to apply for additional New Shares ("Additional Shares") under a top up facility ("Top Up Facility"). Additional Shares will only be available under the Top Up Facility if Eligible Shareholders do not take up their full entitlements under the Offer, and will be allocated to Eligible Shareholders who apply for Additional Shares in accordance with an allocation policy agreed between WestSide and RBS Morgans.

WestSide has entered into an underwriting agreement with RBS Morgans Corporate Limited ("RBS Morgans") under which RBS Morgans has agreed to fully underwrite the Offer.

As an indication of the level of support for WestSide and its prospects, shareholders New Hope Corporation Limited (through its wholly owned subsidiary Uniford Pty Ltd) ("NHC"), ANZ Specialist Asset Management Limited in its capacity as trustee and responsible entity for the Energy Infrastructure Trust(3) and Nathan Mitchell(4), who hold in aggregate 35% of WestSide's issued capital, have indicated they will take up 100% of their entitlements under the Offer. In addition, NHC has agreed to sub-underwrite part of the Offer.

Action required by Eligible Shareholders

Eligible Shareholders may:

- take up all of the Offer;
- take up all of the Offer and apply for Additional Shares;
- take up part of the Offer and allow the balance to lapse; or
- not take up any of the Offer and allow all of their Offer to lapse.

It is important that Eligible Shareholders determine whether to take up their rights, or allow their rights to lapse. The Offer Booklet will outline how Eligible Shareholders may participate in the Offer, including the Shortfall.

Key Offer dates---------------------------------------------------------------------Event                                                   Date---------------------------------------------------------------------"Ex" date - date on which Offershares begin trading withoutentitlement to participate in the Offer        Tuesday 13 March 2012---------------------------------------------------------------------Record Date - date for determiningEligible Shareholders entitled to                          7pm (AEDT)participate in the Offer                         Monday 19 March 2012---------------------------------------------------------------------Opening Date - date on which the Offeropens, Offer Booklet is despatched toEligible Shareholders and released to ASX      Thursday 22 March 2012---------------------------------------------------------------------Closing Date - date on which the Offer closes              5pm (AEST)                                                Thursday 5 April 2012---------------------------------------------------------------------Offer shares quoted on a deferredsettlement basis                                Tuesday 10 April 2012---------------------------------------------------------------------Shortfall Notification Date - WestSide notifies ASX of under subscriptions   Thursday 12 April 2012---------------------------------------------------------------------Despatch Date - last day forallotment of the Offer shares,deferred settlement trading ends                Tuesday 17 April 2012---------------------------------------------------------------------Trading Date - Offer sharescommence normal trading                       Wednesday 18 April 2012---------------------------------------------------------------------

Note: These dates are indicative only. WestSide reserves the right to change these dates without prior notice.

Further information

In an annexure to this letter, we have included all information provided to ASX in Appendix 3B in compliance with Appendix 7A of the ASX Listing Rules.

Before making a decision whether to subscribe for any New Shares, please carefully read the Offer Booklet when you receive it. The Offer closes at 5:00pm (AEST) on Thursday 5 April 2012.

If you have any questions regarding your rights or the mailing of the Offer Booklet and the accompanying Entitlement and Acceptance Form, please contact WestSide's share registry, Boardroom Pty Limited on +61 (02) 9290 9600. For further information on the Offer, you should contact your professional adviser or WestSide on +61 (07) 3020 0900. On behalf of the Board of WestSide, I thank you for your past support and look forward to your participation in the Offer.

(1) In accordance with ASX Listing Rule 7.7.1(a), WestSide has determined it would be unreasonable to extend the Offer to shareholders with a registered address outside Australia, New Zealand or Indonesia due to the small number of affected shareholders, the number and value of the securities which would otherwise be offered to affected shareholders, and the cost of complying with overseas legal and regulatory requirements.

(2) A process will be conducted in accordance with section 615 of the Corporations Act (Cth) (as modified by the Australian Securities and Investments Commission ("ASIC") Class Order 01/1542) under which the New Shares that would have been offered to ineligible foreign shareholders will be sold by a nominee with any excess over issue price being remitted to the foreign ineligible shareholders (the "Nominee Sale Facility"), unless an appropriate ASIC exemption, notification or waiver is obtained.

(3) Shares are held by EIT's nominee, JP Morgan Nominees Australia Limited.

(4) Shares are held by Mr Nathan Mitchell or entities associated with him.

Contact

Angus Karoll Chairman WestSide Corporation LImited T: +617-3020-0900 F: +617-3020-0999 http://www.westsidecorporation.com