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ENN to purchase $750mn stake in Australian gas supplier Santos

Private Chinese natural gas distributor ENN will become the largest shareholder in Australian gas producer Santos with the purchase of a US$750 million stake from mainland private equity fund Hony Capital, Reuters reported, citing a statement from the distributor. “We are gaining a strategic investor and partner in Hony Capital whose deep China experience and global outlook can help us accelerate future growth overseas,” ENN Group chairman Wang Yusuo said. Bankers have said private distributors in China are seeking to lock in supplies of liquefied natural gas to ease their dependence on state-owned behemoths such as Sinopec, CNOOC and PetroChina.

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