Saudi Aramco’s attempt to distance itself from a takeover bid for Santos has fuelled speculation it may have sized up the oil and gas producer, but found its portfolio too problematic.

The world’s biggest oil producer is one of two Middle Eastern energy firms cited by Bloomberg News this week as being in the early stages of considering separate offers for Santos. The $25.8 billion ASX company has LNG interests in Papua New Guinea, northern and eastern Australia, domestic gas activities in eastern and Western Australia and an oil project under construction in Alaska.