Abu Dhabi: XRG, the international investment arm of ADNOC, announced today that an XRG-led consortium has submitted an indicative non-binding offer to acquire Santos, a leading international energy company providing reliable, affordable, and cleaner energy to customers in Australia and the Asia Pacific region.
According to Emirates News Agency, the XRG-led consortium expects to undertake confirmatory due diligence and the non-binding proposal remains subject to a number of conditions before any binding offer will be made or any transaction will proceed.
Headquartered in Adelaide, Australia, Santos’ operational footprint spans Australia, Papua New Guinea, and the United States, with a diverse portfolio across natural gas, LNG, and oil assets. The company is actively investing in carbon capture and storage (CCS) and hydrogen technologies and is advancing low-carbon fuels to support decarbonisation goals.
The Santos Board has responded positively to the offer, with Santos announcing the Board’s intention to u
nanimously recommend the XRG-led consortium’s proposal to shareholders. The proposal remains subject to the parties entering into a binding agreement following completion of the consortium’s due diligence, as well as relevant regulatory and corporate approvals.
The proposed transaction aligns with XRG’s strategy to scale international gas, chemicals, and energy solutions to meet increasing demand and unlock substantial value for all stakeholders. The XRG-led consortium brings long-term investment capacity and strategic expertise with the potential to unlock additional gas supply for Santos’ customers, strengthening domestic and international energy security.
Furthermore, ADNOC’s trading and shipping capabilities would enhance Santos’ operations, offering a more holistic service to customers while maximising value.