By David Winning
SYDNEY--Santos Ltd. reported record production of oil and natural gas in 2021, aided by a first contribution from assets acquired through its takeover of Oil Search Ltd.
Santos reported production of 92.1 million barrels of oil equivalent for the 12 months through December. This included 1.7 million BOE from Oil Search assets from December 11, which represented the day after the takeover became effective.
Annual sales revenue of US$4.7 billion was 39% higher than revenue achieved in 2020, Santos said. It was boosted by record quarterly revenue of US$1.5 billion in the final three months of the year.
Santos said it expected free cash flow of around US$1.5 billion in 2021, more than double the level in 2020.
"Consistent with our strategy, our next stage of growth will be disciplined and phased," said Chief Executive Kevin Gallagher.
He said the Barossa natural-gas project offshore northern Australia is 20% complete, and progressing on schedule and on budget. Santos is targeting a final investment decision on the first phase of the Dorado oil project in Australia around the middle of 2022, with a decision on the Pikka Phase 1 project in Alaska due to happen in the first half of the year.
Write to David Winning at email@example.com
(END) Dow Jones Newswires