• Strong free cash flow from operations of US$1.1 billion  
• Sales revenue of US$2.6 billion  
• EBITDAX of US$1.8 billion  
• Net profit after tax of US$439 million, underlying profit of US$508 million 
• Gearing at 23.7 per cent (20.5 per cent excluding leases) and liquidity of US$3.9 billion 
• Interim dividend declared of US13.4 cents per share, franked to 10 per cent, totalling US$435 million 
• Unit production cost of US$7.28 per boe excluding Bayu-Undan 
• Strong average realised LNG price of US$11.57 per mmbtu 
• Darwin LNG ready for startup (RFSU) milestone achieved 
• Barossa LNG FPSO rapidly approaching RFSU 
• Pikka phase 1 seawater treatment plant and all production modules on location, first oil guidance accelerated to the first quarter of 2026 

Santos today announced strong half-year results for 2025, comparable with the prior year. Free cash flow from operations remained strong at US$1.1 billion. Sales revenue was US$2.6 billion, EBITDAX was US$1.8 billion and underlying profit was US$508 million. Production volumes were 44.1 mmboe, also comparable with the prior year, and sales volumes were 47.2 mmboe. Average realised LNG prices were strong for the period at US$11.57 per mmbtu. 

The Santos Board declared an interim dividend of US13.4 cents per share, franked to 10 per cent and up on the prior year. This represents 40 per cent of free cash flow from operations in line with the company’s dividend policy and is up on the prior year. 

A non-cash exploration and evaluation impairment charge of US$119 million was recognised in relation to the Hides footwall in PNG. 

The excellent first half operational result reinforces the strength of our base business and our ability to self-execute development projects, highlighted by accelerated first oil guidance for Pikka phase 1 to the first quarter of 2026, DLNG RFSU achieved and Barossa first gas imminent. The additional production and cash flows from Barossa LNG and Pikka phase 1 are expected to underpin stronger shareholder returns into the future. 

Santos Managing Director and Chief Executive Officer Kevin Gallagher said the company’s strong free cash flow from operations reflects the strength of Santos’ diversified portfolio, the success of our disciplined low-cost operating model and the cash-generative capability of the base business. The first half has also further demonstrated the company’s major development project execution excellence as a result of our in-house self-execution capability developed over the last decade.  

Mr Gallagher said, 
“Today’s results demonstrate the reliability of Santos to generate strong cash flow from operations, deliver major development projects successfully and provide competitive, reliable shareholder returns through disciplined capital allocation. Our low-cost operating model continues to underpin the resilience of our business in our continual fight against inflation throughout the commodity price cycle. 

“Another strong cash flow year from our long-life gas assets has enabled us to deliver shareholder returns while investing in our Barossa and Pikka development projects, which will bring new production online this year and next. Barossa LNG together with Pikka phase 1, are expected to deliver a ~30 per cent increase in production by 2027. 

“Our LNG marketing business continues to perform well with strong average realised prices and tier one customers, including, most recently QatarEnergy Trading LLC. The commercial flexibility of our LNG portfolio has provided opportunities to take advantage of market conditions and further optimise the portfolio. 

“Santos’ equity LNG portfolio is about 90 per cent contracted over the next five years, with strong pricing driven by the high heating value of our LNG, our reliability and proximity to growing Asian markets. 

“Barossa LNG is more than 98 per cent complete and first gas is expected imminently. The Darwin LNG plant has reached RFSU and the Barossa FPSO is expected to meet its RFSU milestone within weeks. 

“I’m pleased to announce that we’re accelerating first oil guidance for our Pikka phase 1 project to the first quarter of 2026. With 21 wells drilled, the project is making strong progress. The seawater treatment plant, fabricated in Batam, Indonesia, is now on location in Alaska and key processing modules have safely arrived at Oliktok Point after a complex journey from the Hay River Marine Terminal, eliminating one of the major risks to the project schedule. 
 
“Our disciplined low-cost operating model underpins the business and is crucial in today’s volatile external environment. We remain focused on delivering US$150 million in annual structural savings, driving higher margins and value for shareholders,” Mr Gallagher said. 

KeyFacts Energy: Santos Australia country profile