Sydney, Feb 25, 2026, 18:10 AEDT — Market closed.
- Santos closed up 0.15% at A$6.82; Brent rose about 0.7%.
- A new filing showed 9,911 unquoted share rights lapsed between Jan 10 and Feb 4.
- Focus turns to project start-ups and the dividend after last week’s full-year result.
Santos Ltd (STO.AX) shares ended Wednesday up 0.15% at A$6.82, tracking firmer crude prices and a fresh securities filing from the Australian oil and gas producer. Brent crude was up about 0.7% on the day. (Trading Economics)
The filing is small in market terms, but it feeds into a broader question hanging over the stock: how cleanly Santos can convert its project pipeline into cash flow in 2026, and keep distributions steady when oil prices swing.
That matters now because reporting season has largely set expectations. What tends to move the stock from here is execution — on costs, schedules and volumes — and any signal that management’s incentives are drifting out of line with outcomes.
In an Appendix 3H notice dated Feb. 25, Santos disclosed the cessation of 9,911 “share acquisition rights” — unlisted equity awards — after conditions were not met. The filing said the rights lapsed between Jan. 10 and Feb. 4, and that Santos paid no consideration for the cessation. (Company Announcements)
Santos is still coming off its Feb. 18 full-year release, where it reported free cash flow from operations of $1.8 billion and declared a final dividend of 10.3 U.S. cents per share. Chief executive Kevin Gallagher said Santos was targeting an “all-in break even oil price of $45-50/bbl to 2030”, and the company said Alaska’s Pikka phase 1 remained on track for first oil late in the first quarter of 2026.
A key risk is that the easy part is now done. If crude retreats, or if commissioning at Pikka slips, investors may start stress-testing the dividend and the pace of debt reduction, especially if costs creep higher than planned.
Next up, traders will look for operational updates tied to Pikka’s start-up window in late Q1 2026, and any change to guidance that would reset cash-flow expectations for the year.
