Santos is closer to realising the value of its overlooked strategic LNG assets after renewed takeover speculation linked to Middle Eastern money underlined the oil and gas producer’s status as a potential target in the wave of global energy consolidation.

As Australian superannuation funds distance themselves from fossil fuel investments, sovereign-backed Saudi Aramco and Abu Dhabi National Oil Co (Adnoc) emerged as possible suitors for the $25 billion Santos, which failed to strike a merger with Woodside Energy earlier this year.