Santos says ConocoPhillips road dispute not slowing Alaska oil project

The emblem for ConocoPhillips is displayed on a display screen on the ground on the New York Inventory Trade (NYSE) in New York, U.S., January 13, 2020. REUTERS/Brendan McDermid/File Photograph/File Photograph/File Photograph

MELBOURNE, April 22 (Reuters) – Santos Ltd (STO.AX) performed down on Friday an Alaska street entry dispute with ConocoPhillips (COP.N), saying their feud was not slowing work on the $3 billion Pikka oil venture or the Australian gasoline producer’s efforts to promote its stake in it.

Santos rejected a proposal by ConocoPhillips to cost $95 million for long-term entry to roads on the U.S. oil and gasoline producer’s Kuparuk River Unit (KRU) oil fields, subsequent to the Pikka venture run by Oil Search, which Santos acquired final 12 months.

As a substitute, Santos utilized to the Alaska Division of Pure Sources for a land use allow, which it obtained on March 29, pending an settlement between the 2 firms on the long-term entry.

ConocoPhillips challenged that call on April 5 and the division’s commissioner, Corri Feige, has given Oil Search till June 7 to reply earlier than she decides on the attraction. learn extra

“There was no affect to entry and the land allow granted to Santos by the Division of Oil and Gasoline on 29 March stays present,” a Santos spokesperson stated in an e mail.

Whereas the corporate expects the Pikka venture to be prepared for a ultimate funding determination by mid-year, it’s also making an attempt to promote its 51% stake within the venture, because it seems to lift as much as $3 billion from asset gross sales this 12 months.

“There was no affect on the selldown course of,” the spokesperson stated.

Reporting by Sonali Paul; Modifying by Rashmi Aich

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