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Santos Ltd T.STO


Primary Symbol: STOSF

Santos Limited is focused on three regional business unit, including Cooper Basin, Queensland and New South Wales (NSW) and (PNG), now form the Eastern Australia and PNG Business Unit, Northern Australia and Timor-Leste, and Western Australia now form the Western Australia, Northern Australia and Timor-Leste Business Unit and Alaska is the third regional Business Unit. Supporting these three business units are two functional divisions: Santos Energy Solutions and Upstream Gas and Liquids. The Cooper Basin produces natural gas, gas liquids and crude oil. Gas is sold primarily to domestic retailers, industry and for the production of liquefied natural gas, while gas liquids and crude oil are sold in domestic and export markets. Its GLNG project in Queensland produces liquefied natural gas (LNG) for export to global markets from the LNG plant at Gladstone and is also sold to the domestic market. Northern Australia and Timor-Leste is centered on the Bayu-Undan/Darwin LNG (DLNG) project.


OTCPK:STOSF - Post by User

Comment by nijinsky70on Jan 25, 2013 3:12pm
244 Views
Post# 20891724

RE: RE: IT'S A DONE DEAL!

RE: RE: IT'S A DONE DEAL!

Most of these type of votes are very one-sided.  Just because all we see and hear are the disgruntle small retails, we thought the opposition to the deal is greater than they are.  The truth is small retails are annoying flies, lots of buzz, lots of noise, no real consequences. 

 

Anyway, the new BNE will have 30.6 million shares (old BNE 19.9 million + converted STOs 10.7 million).  It's pay a dividend of 28 cents a month, an annual yield of about 7.2% (28 cents x 12 = $3.36 / $46.78 - today's SP = 7.2% approx).  BNE was thinly traded pre STO acquisition, and we don't know if that's still the case post STO acquisition.  The number of share is certainly not that big post acquisition either. 

 

Will there be any growth after it swallowed STO?  That's the key.  I would not hold a stock just for the meagre 7%+ yield, not unless there is some growth on top of that.  Of course BNE will swear there will be growth, but can they make that happen - that's the $64 million dollar question.   

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