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Progress made on the growth strategy in 2006

COOPER BASIN OIL

  • Project commenced with three latest-generation drilling rigs mobilised and a significant amount of infrastructure installed (page 18).

  • 108 wells drilled with 79% success rate, above expectations (page 18).

  • 15 mmbbl of 2P reserves added (page 12).

EASTERN AUSTRALIAN GAS

  • Gas production started from the Casino gas field, offshore Victoria (page 18).

  • Fairview production increased by 67% since acquisition in late 2005 (page 12).

  • Gas swap with Origin Energy expanded to 40 PJ per annum to mid 2012 (page 20).

  • New gas sales contract to supply 34 PJ over nine years to Zinifex’s Century zinc mine (page 20).

WESTERN AUSTRALIAN OIL AND GAS

  • Gnu gas and Amulet oil discoveries in the Carnarvon Basin (page 16).

  • Two new John Brookes gas sales contracts to supply 16 PJ to Newmont and 37 PJ to Wesfarmers (page 20).

  • Two new Mutineer-Exeter oil wells brought online, lifting gross production to over 50,000 bopd (page 18).

LNG PROJECTS

  • LNG exports started from the Bayu-Undan Darwin LNG facility (page 18).

  • Exploration/appraisal on the Barossa, Caldita and Evans Shoal South discoveries in Timor/Bonaparte (page 16).

ASIAN GROWTH

  • Wortel gas discovery, offshore East Java (page 16).

  • New country entry in Vietnam followed by oil discoveries at Dua and Blackbird (page 16).

  • Gas production started from the Maleo field, offshore East Java (page 18).

  • New country entry in India in February 2007 (page 16).

Casino

Tipperary

Bayu-Undan LNG

Maleo

sanction

acquisition

start-up

start-up

Bayu-Undan

Mutineer-Exeter

Caldita

Banjar Panji

liquids start-up

start-up

discovery

incident

Santos Annual Report 2006 3

John Brookes

Jeruk 2

Oyong & Maleo

John Brookes

Casino

Jeruk

sanction

flows oil

sanction

start-up

start-up

downgrade

December 2006

January 2006

ASX ALL ORDINARIES

SANTOS (STO)

12

Novus asset

Minerva

acquisition

start-up

6

4

January 2004

January 2005

SANTOS VS ASX ALL ORDINARIES INDEX THREE-YEAR RELATIVE PERFORMANCE

$

14

10

8

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