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SANTOS LIMITED Director's Dealing 2005

Sep 1, 2005

65872_rns_2005-09-01_56c0af89-ea83-4efe-b0ee-8dec3f8d837a.pdf

Director's Dealing

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Appendix 3Y

Rule 3.19A.2

Change of Director's Interest Notice

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX's property and may be made public.

Introduced 30/9/2001.

Name of entity SANTOS LTD
ABN 80 007 550 923

We (the entity) give ASX the following information under listing rule 3.19A.2 and as agent for the director for the purposes of section 205G of the Corporations Act.

Name of Director JOHN CHARLES ELLICE-FLINT
Date of last notice 08 MARCH 2005

Part 1 - Change of director's relevant interests in securities

In the case of a trust, this includes interests in the trust made available by the responsible entity of the trust

Note: In the case of a company, interests which come within paragraph (i) of the definition of "notifiable interest of a director" should be disclosed in this part.

Direct or indirect interest For shares: an indirect interest;
For other securities: a direct interest.
Nature of indirect interest
(including registered holder)
Note: Provide details of the circumstances giving rise to the relevant
interest.
Beneficial entitlement to 1,000,000 fully paid
ordinary shares held under a trust structure by
Sesap Pty Ltd.
Date of change 02 September 2005
No. of securities held prior to change 3,000,000 fully paid ordinary shares and
1,000,000 options issued pursuant to
the
Santos Executive Share Plan ('SESOP').
Class Fully paid ordinary shares and options issued
pursuant to SESOP.
Number acquired 1,000,000 fully paid ordinary shares.
Number disposed 1,000,000 options issued pursuant to SESOP.
Value/Consideration
Note: If consideration is non-cash, provide details and estimated valuation
\$5.83 per share
No. of securities held after change 4,000,000 fully paid ordinary shares.
Nature of change
Example: on-market trade, off-market trade, exercise of options, issue of
securities under dividend reinvestment plan, participation in buy-back
Issue of 1,000,000 fully paid ordinary shares
consequent upon the exercise of 1,000,000
options granted on 26 August 2000 pursuant to
SESOP.

Part 2 - Change of director's interests in contracts

Note: In the case of a company, interests which come within paragraph (ii) of the definition of "notifiable interest of a director" should be disclosed in this part.

Detail of contract Mr Ellice-Flint has entered into a financing arrangement
with Macquarie Bank Limited to fund the exercise of
1,000,000 options (each over one fully paid ordinary
share in Santos Limited) granted pursuant to the Santos
Executive Share Option Plan ('SESOP').
The transaction includes the purchase of a put option
which provides security for the financing amount of
\$5,830,000. The put option has the effect of the
protecting the value of the shares at a nominated level
below the current share price. The put option is only
exercisable on the maturity date of the transaction in
September 2006.
Nature of interest Direct interest.
Name of registered holder
(if issued securities)
John Charles Ellice-Flint.
Date of change 02 September 2005.
No. and class of securities to
which interest related prior to
change
Note: Details are only required for a contract in relation
to which the interest has changed
1,000,000 Santos Limited fully paid ordinary shares.
Interest acquired See description in "Detail of Contract" above.
Interest disposed See description in "Detail of Contract" above.
Value/Consideration
Note: If consideration is non-cash, provide details and an
estimated valuation
A premium was paid to Macquarie Bank Limited for the
transaction.
Interest after change 4,000,000 fully paid ordinary shares.