Deal Insight
Santos sells its 35% interest in the Kipper gas field to Mitsui & Co for US$366 million
This report is currently unavailable
Report summary
The Kipper field, located in the Gippsland Basin, has been plagued by cost increases and schedule delays but is now ready to start up in 2016. We value Santos' interest in Kipper at US$374 million. The deal comes as part of a broader US$2.5 billion capital initiative. The combined measures allow Santos to stabilise its financial position without selling any of its core assets, such as its 13.5% stake in PNG LNG. We forecast Santos' gearing will fall to 28%, from 47% in Q2 2015.
Table of contents
- Executive summary
- Transaction details
- Upstream assets
- Deal analysis
- Upsides and risks
- Strategic rationale
- Oil & gas pricing and assumptions
Tables and charts
This report includes 7 images and tables including:
- Executive summary: Table 1
- Upstream assets: Table 1
- Deal analysis: Table 1
- Deal analysis: Table 2
- Deal analysis: Table 3
- Oil & gas pricing and assumptions: Table 1
- Oil & gas pricing and assumptions: Table 2
What's included
This report contains:
Other reports you may be interested in
Insight
Pemex financial health: reasoning and impact on recent hydrocarbon duty government aid
Fiscal reductions have alleviated some Pemex financial struggles, but further action is required to return to self-sufficiency
$1,350
Insight
Global upstream M&A in brief
The global upstream M&A in brief provides the Wood Mackenzie view on all of the key M&A events as they unfold.
$1,350
Deal Insight
Woodside divests 15.1% stake in Scarborough to JERA for US$740 million
There's likely room for one or two more partners in Scarborough, but Woodside might hold until the project has been further de-risked.
$1,650
