Santos opens second train on GLNG

Australia

BRISBANE, May 26, 2016 – The second train on Gladstone LNG (GLNG) has begun operations on Curtis Island in eastern Australia, exploration and production company Santos confirmed today.

The company operates GLNG, which has already produced 2 million tonnes of LNG and exported 32 cargoes from its first train since output started in September 2015.

“GLNG Train 2 start-up adds to Santos’ LNG portfolio, which also includes the Darwin LNG and Papua New Guinea LNG projects,” said Kevin Gallagher, managing director and CEO of Santos.

The project has taken the company to the end of their finances, with debts pushing it to a BBB- credit rating, according Ben Wilson, an analyst for RBC Capital Markets. He stated that the second train will be crucial for the company to regain balance.

Santos controls most of the shares in GLNG, with a 30% interest. Other partners include Malaysia’s Petronas with 27.5%, Total with a shared 27.5% and Korea Gas Corporation with the remaining 15%.

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