Past year: ▲ 35%(6.17 – 8.62 AUD)
Each one in plain English, with the numbers worked through for a shareholder.
5 May 2020investor presentation● Neutral
Macquarie conference presentation repeating known points: US$550m capex cut, US$25/bbl breakeven, ConocoPhillips completion expected H1, Barossa FID deferred, and sell-downs to SK E&S and JERA. No new announcements.
16 Apr 2020farm in farm out agreement● NeutralMajor
Santos signed a non-binding letter of intent to sell a 12.5% Barossa interest to JERA, which already holds 6.1% of Darwin LNG. After sell-downs Santos would hold 50% of Barossa. Barossa FID is now expected to be deferred until conditions improve (previously targeted Q2 2020).
3 Apr 2020other● Neutral
Chairman and CEO addresses at the 3 April AGM, held online. Chair says requisitioned climate resolution 5(a) will not reach the 75% needed, so 5(b) and 5(c) were not voted. Restates 11c full-year dividend and pressure from COVID-19 and the oil price collapse.
25 Mar 2020other▲ Good
S&P reaffirmed Santos's BBB- credit rating with a stable outlook, saying it has a buffer against current oil prices and can fund the ConocoPhillips acquisition. This confirms the rating held in the context.
23 Mar 2020other● NeutralMajor
Santos cut 2020 capex by US$550m (38%) and cash costs by US$50m, targeting a US$25/bbl free cash flow breakeven, responding to COVID-19 and lower oil prices. Barossa and PNG LNG spend is rephased. Liquidity is US$3.1bn; ConocoPhillips completion now expected in the first half.
12 Mar 2020asset acquisition disposition▲ GoodMajor
Santos agreed to sell a 25% interest in Darwin LNG and Bayu-Undan to SK E&S for US$390m, firming up the October letter of intent. It is conditional on the ConocoPhillips completion, consents and Barossa FID. Net funding need for the acquisition is about US$775-825m.
3 Mar 2020contract award▲ Good
Subsea 7, Aker Solutions and NOV won the last major Barossa facilities contracts (subsea umbilicals, risers, flowlines). Drilling contract still to come. Santos now says FID is in Q2 2020; Santos holds 25%, rising to 62.5% before any sell-down.
2 Mar 2020drilling scheduled▲ GoodMajor
Santos approved a final investment decision on Van Gogh Infill Phase Two in WA-35-L: three new horizontal wells tied back to existing infrastructure. First oil is targeted for late 2021, with drilling from early 2021. Santos holds 52.5% and operates.
20 Feb 2020annual report▲ Good
Appendix 4E for 2019: revenue up 10% to US$4,033m and net profit up 7% to US$674m. Dividends were an interim 6.0c and a final 5.0c per share, both fully franked. Explanatory detail sits in the separate release and annual report.
20 Feb 2020half year report▲ Good
Full-year 2019 results: record free cash flow of US$1,138m (+13%), net profit up 7% to US$674m, EBITDAX US$2.5bn. Final dividend 5.0c, full-year 11.0c (+13%). Barossa FID now targeted for Q2 2020 (earlier: end Q1); ConocoPhillips deal still expected around end Q1.
20 Feb 2020annual report● Neutral
Corporate Governance Statement for 2019: describes board framework and policies, notes one new independent director appointed in the year. Administrative disclosure with no new business information.
20 Feb 2020admin correction● Neutral
Appendix 4G governance checklist, lodged with the annual report and pointing to the governance statement. Administrative filing only, with no new information.
20 Feb 2020annual report● Neutral
Shareholder Review 2019 repeats the year's highlights (production 75.5 mmboe, free cash flow US$1,138m, 11c dividends) and the ConocoPhillips acquisition, still expected to complete around end Q1 2020. Nothing new.
20 Feb 2020annual report● Neutral
The 2019 Annual Report restates the results already released: production 75.5 mmboe, free cash flow US$1,138m, net profit US$674m and net debt shown in the charts. No new announcements in the extract.
20 Feb 2020regulatory community update● Neutral
Santos's third annual Climate Change Report restates its net-zero 2050 aspiration, carbon capture and storage focus and gas-as-transition-fuel case. It excludes the ConocoPhillips assets. Published before the AGM, where a climate requisition is pending.
3 Dec 2019investor presentation▲ GoodMajor
At its Investor Day Santos lifted its 2025 production target to 120 mmboe from 100 mmboe. It targets Barossa FID around end Q1 2020 and Dorado FEED entry in Q2 2020. 2019 breakeven falls to ~US$29/bbl; 2020 production guidance is 79-87 mmboe including the ConocoPhillips assets.
8 Nov 2019investor presentation● Neutral
Presentation for a 10-12 November site visit to Varanus Island and Darwin LNG. It restates the portfolio, the Quadrant and ConocoPhillips acquisitions, the ~US$31/bbl breakeven and 2019 production guidance of 73-77 mmboe. No new announcements in the extract.
30 Oct 2019contract award▲ GoodMajor
The Barossa FPSO contract, the project's largest, went to MODEC after a FEED competition. Santos says FID is close, early in the new year. Drilling and subsea contracts are still to come. After the ConocoPhillips deal and SK E&S sell-down, Santos would hold 62.5% of Barossa.
23 Oct 2019director officer appointment● Neutral
Janine McArdle joins the Santos board as an independent non-executive director from 23 October 2019. She has over 30 years' energy experience, including senior roles at Apache.
14 Oct 2019asset acquisition disposition▲ GoodMajor
Santos agreed to buy ConocoPhillips' northern Australia interests (Darwin LNG, Bayu-Undan, Barossa, Poseidon) for US$1.39bn plus a US$75m payment contingent on Barossa FID. Funded from cash and new debt. SK E&S signed a letter of intent for 25% of Bayu-Undan and Darwin LNG; Santos targets 40-50% in Darwin LNG and Barossa. Subject to approvals.
8 Oct 2019flow test result▲ GoodMajor
The Caley oil test in Dorado-3 flowed about 11,100 bbl/d of oil and 21 mmscf/d of gas, limited by surface equipment. Santos says single wells could deliver around 30,000 bbl/d. This completes Dorado appraisal testing and supports entering FEED in early 2020.
3 Oct 2019farm in farm out agreement● Neutral
Melbana extended by one month, to 4 November 2019, the deadline for Santos and Total to exercise options on 40% each of Beehive (WA-488-P). Both have finished technical work and need time for commercial analysis and approvals. Partner's announcement; no decision yet.
26 Sept 2019contract award▲ Good
The Barossa 260 km gas export pipeline contract went to Allseas, the second major Barossa contract after the May subsea award. FPSO and drilling tenders are well progressed. FID is still targeted for early 2020; Santos holds 25%.
23 Sept 2019flow test result▲ GoodMajor
Dorado-3's Baxter gas and condensate test reached about 48 mmscf/d of gas and 4,500 bbl/d of condensate, limited by surface equipment. Reservoir quality and condensate ratio are better than expected. A Caley oil test follows. Santos holds 80% of Dorado.
12 Sept 2019joint venture update▲ Good
Comet Ridge says the Mahalo joint venture (Comet 40%, APLNG 30%, Santos 30%) lodged two petroleum lease applications for the northern development area. This is the first Queensland approval step toward the development with FID targeted June 2020. Partner's announcement.
22 Aug 2019half year report▲ GoodMajor
First-half 2019 net profit was US$388m, up from US$104m, with underlying profit US$411m and free cash flow US$638m. Sales were US$1,974m on 45.2 mmboe. An interim dividend of US6.0c, record date 28 August, was declared, up from US3.5c.
22 Aug 2019half year report▲ Good
Duplicate of the 22 August half-year results release: net profit US$388m, underlying profit US$411m, free cash flow US$638m, interim dividend US6.0c. New detail: 2019 breakeven oil price cut to ~US$31/bbl, synergy target raised to US$50-60m a year, Dorado gross 2C up 68% to 310 mmboe.
13 Aug 2019drilling result● Neutral
Dukas-1 met much higher pressure than predicted at 3,704 m and will be suspended short of the target. Santos says drilling on needs a higher-specification rig. Gas to surface suggests a working petroleum system. A forward plan will follow within months; Santos is carrying the cost to earn 70%.
23 July 2019drilling progress report● Neutral
Central reports that Dukas-1, which Santos operates, hit a stuck liner hanger that paused drilling. The equipment has since been recovered and drilling to total depth is planned. The update also covers Central's separate Project Range wells with Incitec Pivot.
8 July 2019joint venture update▲ Good
Comet Ridge says the Mahalo joint venture (Comet 40%, Santos 30%, APLNG 30%) has agreed an initial development: dual-lateral wells, an 80 TJ/d modular plant and a roughly 65 km pipeline. A final investment decision date of June 2020 is agreed. Partner's announcement.
