Santos and Oil Search Merger Becomes Effective

Source: 12/10/2021, Location: Not categorized

- The merger of Santos and Oil Search is now effective following approval of Oil Search’s Scheme of Arrangement by the National Court of PNG Oil Search shareholders to receive 0.6275 new Santos shares for each Oil Search share held
- The merger creates a regional champion of size and scale, with a market capitalisation of approximately A$22 billion [1]
- The merged company would have pro-forma 2021 production of approximately 117 million barrels of oil equivalent [2] (mmboe) and pro-forma 2P+2C resource base of 4,867 mmboe [3]
- Santos expects the merger to unlock pre-tax synergies of US$90-115 million [4] per annum (excluding integration and other one-off costs)

Santos is pleased to announce that the merger with Oil Search is now effective following the approvals by Oil Search shareholders and the National Court of Papua New Guinea.

Oil Search shareholders will receive 0.6275 new Santos shares for each Oil Search share held on the record date of 14 December 2021.

Santos Chairman Keith Spence said: “The merger combines two industry leaders to create a regional champion of quality, size and scale with a unique and diversified portfolio of long-life, low-cost oil and gas assets.

“We look forward to integrating our businesses to create one high performing team – with a vision of becoming a global leader in the energy transition,” Mr Spence said.

Santos Managing Director and Chief Executive Officer Kevin Gallagher said: “Santos and Oil Search are stronger together and will have increased scale and capacity to drive a disciplined, low-cost operating model and unrivaled growth opportunities over the next decade.

“The merger creates a company with strong and diversified cash flows, providing a platform to deliver shareholder returns and successfully navigate the transition to a lower carbon future.

“Additionally, the merger builds on our industry-leading approach to ESG through the combination of Santos’ leading carbon capture and storage capabilities with Oil Search’s social programs in PNG and North America,” Mr Gallagher said.

Following the implementation of the merger, three non-executive directors from Oil Search will join the Santos Board. Santos’ head office will remain in Adelaide.

Australia >>  5/19/2022 - Woodside shareholders voted to approve the proposed merger (the Merger) with the petroleum business of BHP Group Limited at today’s Annual General Mee...
United States >>  5/19/2022 - CGG announced that Sercel, its Sensing & Monitoring division, has acquired Geocomp Corporation, specialized in high-value services and products for ge...

Norway >>  5/16/2022 - HydraWell has joined forces with READ (including subsidiaries READ Cased Hole and ANSA) to create a leading well integrity specialist with ambitions t...
United States >>  5/16/2022 - Emerson (EMR) and AspenTech announced the successful closing of the combination of Emerson’s industrial software businesses – OSI Inc. and its Geologi...

United States >>  5/16/2022 - Diamondback Energy, Inc. and Rattler Midstream LP announced that, on May 15, 2022, they entered into a definitive agreement for Diamondback to acquire...
Namibia >>  5/11/2022 - Eco (Atlantic) Oil & Gas Ltd., the oil and gas exploration company focused on the offshore Atlantic Margins, is pleased to announced, further to its a...

Gulf Oil and Gas
Copyright © 2021 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.