Commission: Santos’ listing shows its confidence in capital market

AUSTRALIA’s Santos Ltd has demonstrated its confidence in the Papua New Guinea capital market through its listing on the PNG National Stock Exchange (PNGX), according to the Securities Commission of Papua New Guinea (SCPNG).
The commission welcomed the inauguration of Santos (STO) as the newest member of PNGX noting its merger with Oil Search which became effective last Friday. The company listed on PNGX and its shares began trading on Monday as a foreign exempt company.
SCPNG acting executive chairman Robert Minak said Santos had demonstrated its confidence in the PNG capital markets.
“To have a company of Santos’ size and standing listing on a market such as ours should be encouraging for other Australian Securities Exchange Ltd listed companies who operate in PNG privately to piggyback on Santos’ move.”
Minak said Santos’ listing on PNGX was consistent with the SCPNG’s desire to encourage regionally listed PNG-based foreign companies to be participants of the PNG capital market.
“While farewelling Oil Search we acknowledge that Santos will immediately add value to the capital market. Its inclusion alone significantly boosts the size of the market capitalisation for PNGX. It now presents an opportunity for PNG investors to trade, value and securitise their shares locally,” he said.
“Santos gives us hope in our plans to encourage regionally listed foreign operators with a corporate footprint in PNG to list on the PNGX as a social licence to investing in the country.
Minak said the objective was to give local PNG investors (small business, retail and institutions) the opportunity to meaningfully participate in those businesses.
“Santos’ decision recognises the soundness of the fundamentals of our capital markets. Our securities laws are comprehensive and robust, we now have a securities commission that is proactive and responsive,” he said.