Santos (OTCPK:STOSF) stated it received a binding conditional offer from Kumul Petroleum Holdings, Papua New Guinea’s nationwide oil and fuel firm, to purchase a 5% curiosity within the PNG LNG liquefied pure fuel venture for US$1.4B plus ~$300M in venture finance debt.

Santos (OTCPK:STOSF) stated Kumul paid $55M to be held in escrow to safe the supply, which is able to stay open for acceptance till December 31 and is conditional on Kumul acquiring waivers on some pre-emptive rights by different PNG LNG venture companions.

With the sale of a 5% stake, Santos (OTCPK:STOSF) would personal 37.5% of the venture, nonetheless forward of operator Exxon Mobil (NYSE:XOM) with 33.2%, whereas Kumul Petroleum would personal 21.8%, with the remaining shared between Japan’s JX Holdings and Papua New Guinea’s state-owned Mineral Sources Growth Co.

Santos (OTCPK:STOSF) turned the biggest shareholder in PNG LNG, Papua New Guinea’s largest useful resource venture, with its takeover of Oil Search Ltd. last year.