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SANTOS LIMITED — Capital/Financing Update 2016
Oct 23, 2016
65872_rns_2016-10-23_ea8c3681-b663-4712-b967-0ca84e958530.pdf
Capital/Financing Update
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ASX/Media Release
24 October 2016
Santos announces sale of Victorian assets
Santos today announced the sale of its Victorian assets to Cooper Energy for cash consideration of up to A$82 million.
The sale will result in Santos exiting from offshore Victoria. In March 2016, Santos completed the sale of its interest in the Kipper gas field for A$520 million.
The assets sold to Cooper Energy include:
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50% interest in the Casino-Henry gas project;
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50% interest in the Sole gas field and the Orbost gas plant;
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10% interest in the Minerva gas field and gas plant;
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100% interest in the Patricia-Baleen gas field.
Santos’ share of production from these assets in the first half of 2016 was 5.2 petajoules of sales gas.
The total cash consideration is A$82 million, comprised of A$62 million at completion and a further milestone payment of A$20 million upon the earlier of a final investment decision on the Sole gas project or the receipt of cash proceeds from any sell-down by Cooper Energy of any of its interest in the sale assets.
Santos Managing Director and Chief Executive Officer Kevin Gallagher said: “This sale is in line with our stated objective to rationalise and shape our asset portfolio in order to become a low cost, reliable and high performance business.”
Completion is expected in early 2017 and is subject to customary consents and regulatory approvals.
Ends.
Media enquiries Rob Malinauskas +61 8 8116 5918 / +61 (0) 438 862 132 [email protected]
Investor enquiries Andrew Nairn +61 8 8116 5314 / +61 (0) 437 166 497 [email protected]
Santos Limited ABN 80 007 550 923 GPO Box 2455, Adelaide SA 5001 T: +61 8 8116 5000 / F: +61 8 8116 5131 www.santos.com