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Successful completion of acquisition of Esenjay Exploration, Inc.

Santos Ltd today announced that its wholly owned subsidiary, Santos Americas and Europe Corporation (“Santos Americas”), successfully completed its acquisition of Esenjay Exploration, Inc. (NASDAQ : ESNJ) on 26 April 2002 (Houston time).

A copy of the press release issued by Santos Americas is attached.

Commenting, the Company’s Managing Director, Mr. John Ellice-Flint said, “The successful acquisition of Esenjay marks an important step in the growth of the Group’s business in the United States. It will substantially increase the Group’s U.S. portfolio of exploration opportunities, provide an increase to reserves, boost production, increase the level of operatorship and strategically align with existing U.S. operations.”

For further information contact Graeme Bethune, General Manager Finance and Investor Relations on (08) 8218 5157 or 0419 828 617.

Santos stock symbols: STO (Australian Stock Exchange), STOSY NASDAQ ADR)