Santos is pleased to confirm that further to the announcement on 31 August 2023 for the sale of 2.6 per cent of PNG LNG to Kumul Petroleum Holdings Limited (Kumul), funding for the transaction has been secured by Kumul.

Kumul has paid approximately US$250 million into escrow with Santos as part payment of the purchase price. Additionally, Kumul has executed binding funding arrangements for the remainder of the consideration, which will be available for drawdown by 31 January 2024.

Approval by the PNG independent Consumer and Competition Commission (ICCC) for the transaction has been received, satisfying the only condition precedent to the transaction.

The commercial terms of the transaction remain unchanged.

About Santos

Santos is a leading supplier of natural gas, a fuel for the future providing clean energy to improve the lives of people in Australia and Asia.
Santos is already Australia’s biggest domestic gas supplier and aims to be a leading Asia-Pacific LNG supplier. For more than 65 years, Santos has been working in partnership with local communities, providing Australian jobs and business opportunities, safely and sustainably developing Australia’s natural gas resources, and powering Australian industries and households.
With its origins in the Cooper Basin, Santos has one of the largest exploration and production acreages in Australia and extensive infrastructure and is committed to supplying the domestic markets, unlocking resources and driving value and performance.

About Kumul Petroleum

Kumul Petroleum Holdings Limited (KPHL) is Papua New Guinea’s national petroleum and energy company, whose activities are primarily governed by the Kumul Petroleum Holdings Limited Authorisation Act 2015.
Since the company’s inception in 2009, it has operated as a commercial entity, underpinned by its participation in the PNG LNG Project. KPHL manages the State’s 16.57% equity shareholding in this development, making it the third largest shareholder in the US$ 19 billion project. In addition KPHL holds equity positions in a number of other petroleum licences in the country.
As Papua New Guinea’s State nominee, KPHL has a mandated option to take up to 22.5% equity in any operational petroleum project.
Apart from its project and licence area shareholding, KPHL is 100% owner and operator of four petroleum retention licences, has established the Kumul Petroleum Academy for specialist industry training, supports the construction of rural electrification infrastructure, health infrastructure and services (especially cancer and heart disease related), various sporting codes and other worthy community development initiatives.