Santos strengthens balance sheet with early debt repayment, asset sales

Santos has fully repaid its share of the PNG LNG project finance facility, making a final payment of $363 million in December, six months ahead of schedule. This eliminates all scheduled debt maturities for 2026 and reduces future interest costs, while increasing liquidity to approximately $4.0 billion.

Further enhancing its capital discipline, Santos divested its 42.86% operated interest in the Mahalo Joint Venture for A$40 million upfront, with up to A$20 million in contingent payments. It also completed the divestment of its interests in the Petrel and Tern fields. These transactions monetize pre-development assets not aligned with near-term priorities like Barossa and Pikka.

Additionally, Santos confirmed receipt of A$1.073 billion from Fluor Australia Pty Ltd following a Queensland Supreme Court judgment, allowing Santos to recognise approximately A$240 million net on its balance sheet. The company also announced the appointment of Lachlan Harris as chief financial officer, effective immediately.