Santos has agreed to buy an additional 3.3% participating interest in Petroleum Retention Licence 15 and Papua LNG from TotalEnergies for approximately $189 million. The transaction would raise Santos' holding to 21% after Papua New Guinea exercises its back-in rights and increase its share of LNG production by about 19%, to approximately 1.2 million tonnes per year. The purchase is economically effective from January 1, 2026, but remains subject to regulatory approvals and Papua LNG reaching a final investment decision, which Santos expects in the fourth quarter of 2026. The deal is part of a broader restructuring under which ExxonMobil PNG Antelope Limited will become operator, while TotalEnergies will sell a 9.1% post-state-back-in interest to existing partners and retain 20% along with its planned LNG offtake share. Papua LNG has completed its EPC tendering process, with contract award recommendations awaiting partner approval. Design changes, rebidding and integration with nearby PNG LNG infrastructure have generated close to $4 billion in savings since 2024, reducing estimated capital spending to around $14 billion. A revised gas agreement with Papua New Guinea and new LNG marketing arrangements covering 2.4 million tonnes annually support the project's financing path. TotalEnergies shares closed Monday at $88.59, down 0.74%, and fell a further 0.38% after hours to $88.25.