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Media enquiries Investor enquiries
Kathryn Mitchell Andrew Seaton
+61 8 8218 5260 / +61 (0) 407 979 982 +61 8 8218 5157 / +61 (0) 410 431 004
kathryn.mitchell@santos.com andrew.seaton@santos.com

As a result of the ACCC’s decision announced to the ASX yesterday, Santos notes that the first condition of Santos’ offer to Queensland Gas Company Limited dated 15 February 2007 (“QGC Offer”) (announced to the ASX on that day), will not be satisfied by the acceptance deadline of 5 March 2007.

Santos therefore confirms that it does not intend to proceed with the QGC Offer.