Long Term Future of Santos, page-262

Enjoy.

1. RIO, in Qld., to get $450m compensation from the Fed. govt., due to its December 2022 unfair attack on free markets, & fossil fuels' producers (veryrisky businesses, requiring tens of billions in exploration/development/opex/execution costs etc.; & which often incur, collectively, tens of billions$ LOSSES- todays $- in last 2 decades ).

Ditto, c. $500m Federal compensation to NSW-based producers.

Sovereign Risk.
Since December 2022, Hancock/Posco (Gas), & Glencore (coal), have both decided against proceeding with 2 multi-billion projects, specifically citing rapacious Fed. & Qld. govt. attacks. Result: =Higher Energy costs=Less jobs for Australians-Fed. State govts. to loss billions in taxes, over life of projects=More financial hardship for Australians (& other countries who desperately- "Energy security" & Bulwark of democracy- rely on Australian fossil fuels imports)= Increased National Security negative implications for Aust. (as enunciated by Seven Group CEP R. Stokes today)

https://www.theguardian.com/australia-news/2023/jan/04/nsw-coal-power-stations-set-to-receive-500m-in-price-cap-compensation#:~:text=Coal%20power%20stations%20in%20New,payouts%20are%20nearing%20%241bn.




2 .More details, 6.1.23, on bullying & duplicitous Chinese Communist Party's apparent reversal of its disgraceful, unofficial ban on Australian met & thermal coal.

It now fears more power blackouts in its freezing North east (other parts of China also had, previously, energy blackouts) without Aust. thermal coal; & its steel mills can't replace the very high quality met coal it previously imported from Australia.

news,com 6.1.23 A. Turner-Cohen said

"The sudden 180 degree turnaround is reportedly as China faces the prospect of more power failures with some cities already freezing in the nation’s northeast...

Comments from a State Council meeting have also buoyed hopes.

Chinese Premier Li Keqiang said a day after the (Bloomberg & Reuters- my words) reports emerged that “stronger efforts should be made to ensure safe and stable energy supply. As the momentum of economic recovery and stable growth continues, energy demand is on the rise.”

The news has caused a flurry of activity in the stock market and already impacted on coal prices.

GlobalCOAL reported metallurgical coal is trading at $US302 a tonne while on the Singapore exchange, the $US300 a tonne mark has also been broken".

https://www.news.com.au/finance/markets/world-markets/chinas-embarrassing-backflip-to-australia-after-promising-to-bring-economic-pain/news-story/9f5135c0c58513c88861237a4a777695

Bodes well, eventually, for STO (also to receive compensation, China to lift its LNG ban on Australia?), & STO SP.