A resolution seeking to force Australian gas company, Santos, out of the coal seam gas (CSG) business and towards renewable energy will not be put to shareholders at the company’s annual general meeting (AGM), the company has confirmed in a press statement.
The resolution noted the recent decision by AGL to withdraw from the CSG sector and political uncertainty around CSG development in New South Wales, where the opposition Labor Party recently reconfirmed its opposition to CSG development and where Santos’ Narrabri CSG project is located.
It concluded that “Santos is best to walk away from the controversial Narrabri [CSG] project and rebuild investor confidence with established business priorities and by looking forward to new opportunities in the renewable energy sector.”
In refusing to put the notice to shareholders at the AGM, the company noted that the request for the resolution to be put to the AGM failed to satisfy the relevant section of the Corporations Act. Santos also noted that a similar resolution was defeated in 2014 with 99.2% of the vote cast against and that the resolution would not have been legally binding.
The 98 signatories to the resolution that have been confirmed as Santos shareholder held just 0. 019% of the company’s shares on issue.
Edited by Jonathan Rowland.