Shares of Australian energy company Santos (ASX: STO) have experienced a notable rise of approximately 3.6% over the past week, marking their best performance since 10 May. This surge comes amidst growing interest from major global oil companies in the Australian gas producer.
Daily Performance and Recent Developments
Despite the positive weekly performance, Santos shares fell by about 1.1% on 4 July, closing at AU$7.91. The recent dip, however, did not overshadow the week's overall gains driven by speculation around potential bids from international oil giants.
Interest from Saudi Aramco (TADAWUL:2222) and ADNOC
Saudi Aramco (2223.SE) and Abu Dhabi National Oil Company (ADNOC) have reportedly been exploring potential bids for Santos. Sources indicate that ADNOC is in the preliminary stages of evaluating a possible offer. Meanwhile, Saudi Aramco has publicly dismissed media reports suggesting that it was considering an acquisition as inaccurate.
Year-to-Date Performance
As of the most recent closing, Santos shares have risen by approximately 5.3% this year. This upward trend reflects growing investor confidence in the company's prospects amidst the ongoing speculation of major investments from international oil companies.
Santos' share performance this week highlights the impact of market speculation on investor sentiment. The potential involvement of major players like ADNOC and Aramco underscores the strategic value of Santos in the global energy market. Investors will be closely monitoring further developments as ADNOC continues its preliminary evaluations and as the company navigates through these potential acquisition interests.