Long Term Future of Santos, page-356

Being a long term OSH holder and getting hammered by naturaI disaster , politics and then managment failure have a slightly different perspectiove but yes a great deal for STO. No idea where STO share price would be sitting without its low production cost PNG and prospect of Pikka as STO is unloved. Market doesn't believe the futire cash generation will continue along with no further restrictive changes in government or green policies ie taxes , levies caps.

If things go well and world doesn't have a hard recession then STO can stay leveraged IMO and cash in business will generate large IRR.
Selling down - well the market is seeing a recession and now Pikka and PNG have effectiveley been marketed for sale for nearly 3 years in various forms and the only taker so far has been PNG govt with it's , I suspect, unfunded offer. With outlook for world still slowing If STO ha sknocked back any existing offers I guess those offers will not be increasing in value so it won't happen? I like STO being operator and in control as that adds value and keeps control of key decisions. Pikka they possibly didn't get an early enough bid so had to put more development cash in and niow are awaiting results of that input to bare fruit and project being revalued is my guess.

I can always sell shares without many tax consequences so am not fussed about unfranked divs and realistically even more debt paid down increases future return with increasing interest rates so cash in the business allows STO to go hard after any nearby opportunities from juniors and not have to beg to teh bank if they see something bigger.

Not to hard to understand retail valuation as no one knew how to value PNG asset and Pikka si a unknown until FEED FID at current costs and rates and STO offshore assets have to be a takeover target as they are irriplacable and being quite well managed .

Undervalued - yes I don't see it being fuly valued by giving back capital and would rather it used to accelerate business - yep an all in approach but with lower debt to cob=ver a nasty slowdown.