Santos has received a payment of A$1.073 billion (US$662 million) from Fluor, in compliance with a Queensland Supreme Court judgment issued on 8 August 2025. This payment concludes a legal dispute originating from a multibillion-dollar engineering, procurement, and construction contract signed 14 years ago for the upstream facilities of the Gladstone LNG project, which was constructed between 2011 and 2014.

Financial Impact and Appeal

After accounting for GST and legal fees, Santos will recognize a net share of approximately A$240 million (US$160 million) on its balance sheet. However, Santos disclosed that Fluor appealed the judgment in October. The company noted that if the appeal is successful, some or all of the funds may need to be returned. The appeal hearing is scheduled for July 2026.

Legal Proceedings History

Santos described the payment as a significant milestone in its proceedings against Fluor. The legal path included the Queensland Court of Appeal upholding Santos's right to pursue claims in 2021. In 2023, a tribunal of three referees, including two former judges and a senior counsel, found Santos entitled to recover approximately A$793 million (excluding GST). These findings on Fluor's liability were fully upheld by Justice Freeburn in August 2025, who also ruled that Santos was entitled to interest.