Santos
(ASX:STO) together with Origin Energy
(ASX:ORG) signed a new agreement to support Australia’s manufacturing.
The companies inked the deal, to supply ethane gas to Qenos, Australia’s sole producer of polyethylene.
As part the agreement Santos and Origin will supply about 27 petajoules from now to 2019.
The company says, gas is not only a clean and reliable source of energy, but its supports our economy in producing manufactured products.
Meantime, Santos also secured what they are calling very successfully priced long-term capital, after they priced US$800 million 10-year unsecured fixed rate bonds.
The independent oil and gas producer will use the proceeds for general corporate purposes and debt refinancing, so it remains on track to reduce its net debt to US$2 billion by the end of 2019.
The bonds were oversubscribed from global asset managers and insurance companies.
Shares in Santos
(ASX:STO) last traded flat at $3.90.
