Adnoc has bid for Australia’s Santos, a company that is expanding its global energy footprint, particularly in LNG. The offer, which is a 28 per cent premium on Santos’ share price, is a strong vote of confidence for Santos, as it represents a solid growth opportunity as a reliable LNG player with strong export links.

Santos is entering a key cash-generating phase with major projects nearing completion, which should significantly drive production growth.

The existing free trade agreement between the UAE and Australia may help smooth the approval process, but domestic regulatory concerns around gas supply will still need to be addressed. This is a welcome moment for Santos shareholders, as it may draw other suitors or merger talks back to the table.