Australia and OceaniaCorporate

Lower LNG prices hit Santos revenue

By Mirza Duran
Lower LNG prices hit Santos revenue
Darwin LNG (Image: Santos)

Australian independent LNG producer Santos reported a 22.6 percent drop in quarterly sales revenue as Covid-19 pushed down LNG prices.

The firm posted a third-quarter revenue of $797 million, compared to $1.03 billion last year and $785 million in the previous quarter.

Production increased 26.8 percent to a record 25.1 million barrels of oil equivalent.

Santos said its average realised LNG price was significantly lower than the prior quarter reflecting the linkage of sales contracts to a lagged Japan Customs-cleared Crude (JCC) price.

Three-month lagged JCC averaged $31/bbl in the third quarter compared to $68/bbl in the second quarter.

Furthermore, Santos’ LNG projects shipped 61 cargoes in the third quarter, of which 11 were spot cargoes.

Santos chief Kevin Gallagher said the firm expects the third quarter to represent the trough for LNG prices, with higher prices expected in the fourth quarter based on current JCC oil-linked and JKM spot pricing.

JKM is currently above $6/mmBtu for December delivery.

Most Popular

LNG Terminals

LNG carrier arrives to load first LNG Canada cargo

The 174,000-cbm GasLog Glasgow has arrived at the LNG Canada jetty in Kitimat to load the first LNG cargo produced at the Shell-led terminal, an LNG Canada spokesperson told LNG Prime on Saturday.
Vessels

Knutsen, Shell name ninth LNG newbuild

Norwegian shipowner Knutsen and UK-based energy giant Shell have named the ninth and final LNG carrier in a series of 174,000-cbm vessels.
Contracts and Tenders

BP seals LNG SPA with Italy’s A2A

UK-based energy giant BP has signed a long-term liquefied natural gas (LNG) supply deal with Italian electricity and gas distributor A2A.

More News Like This

Corporate

Santos enters exclusive due diligence with Adnoc-led consortium

Australian LNG player Santos has entered into a process and exclusivity agreement with a consortium led by Adnoc's investment unit, XRG, related to the latter's $18.7 billion takeover offer.
LNG Terminals

Santos: Barossa project in final stages of commissioning

The Barossa gas project, which will supply feed gas to the Santos-operated Darwin LNG plant, is now in the final stages of commissioning following the arrival of the BW Opal FPSO at the Barossa gas field.
Corporate

Santos gets $18.7 billion takeover offer from Adnoc-led consortium

Australian LNG player Santos has received a takeover offer valued at $18.7 billion from a consortium led by Adnoc's investment unit XRG.
LNG Terminals

Santos: PNG LNG shipped 28 cargoes in Q1

The ExxonMobil-operated PNG LNG project in Papua New Guinea shipped 28 cargoes of liquefied natural gas in the first quarter of 2025, up by one cargo compared to the same quarter last year and one cargo less compared to the prior quarter, according to shareholder Australia’s Santos.

2025. © All rights reserved. LNG Prime LLC. 447 Broadway, New York, NY 10013, USA