1.BHP's Petroleum business has been merged with Woodside to create a global top 10 independent energy company on 1 June 2022. Investment analysts have raised significant concerns regarding Woodside's stated emissions targets, involving a 15 per cent reduction in direct greenhouse gas emissions by 2025 and a 30 per cent reduction by 2030. Woodside also states that the combined company is still on the way to net zero emissions by 2050 or earlier after the merger.

Your manager asks you to consider three issues that may affect the valuation for the merger. What are they? Justify your view