Santos inks POSCO supply deal and Canadian LNG import agreement

• Santos has signed an LNG export agreement with POSCO and a separate Canadian import agreement.
• Santos shares traded around $8.58 following the portfolio expansion announcement.
• The strategy combines direct Asian sales with flexible third-party LNG supplies to drive portfolio growth.

Santos (ASX:STO) has executed a 10-year agreement to supply LNG to POSCO Steel alongside a separate 20-year non-binding deal to buy 1 million tonnes per year from Canada's proposed Ksi Lisims LNG Project.

The twin agreements expand the Australian energy company's commercial trading portfolio beyond its traditional production base in Australia and Papua New Guinea.

"Our team is combining successful relationships with leading energy customers with flexible third-party supply to create value across the LNG portfolio," said Santos CEO Kevin Gallagher.

Under the POSCO agreement, deliveries will start in 2030 or 2031 on a delivered-ex-ship basis, while the Ksi Lisims deal remains subject to final contract terms and corporate approvals.

Santos stated that the combined long-term transactions are expected to strengthen its position as a reliable Asia-Pacific energy supplier.

Following the announcement, the Santos share price was up at $8.58.

The proposed 12 million tonnes per year Ksi Lisims project is being developed in British Columbia by the Nisga'a Nation, Rockies LNG, and Western LNG.