The new buys include a 100% interest in offshore exploration permit WA-274-P in the Browse Basin from a subsidiary of Malaysian company Genting Berhad.

Santos, as operator, has also recently been awarded exploration permit WA-338-P in the Browse Basin and WA-339-P in the Houtman Basin. This is the company's first operated Houtman Basin acreage.

"These are exciting new areas for Santos increasing the area of our offshore Western Australian exploration acreage interests by 73%" said Santos managing director John Ellice-Flint.

"The Browse Basin is a proven petroleum province and this new acreage strengthens our existing Browse acreage holding. The Houtman Basin, however, is relatively unexplored and opens up a whole new set of opportunities for the Company within a frontier Basin.

"Good acreage is critical to building Santos' exploration portfolio. Our strategy is to capitalise on our existing interests as well as taking on new opportunities in frontier areas. These permits fit well within our strategy." he said.

WA-274-P is located 230km off the WA coast and is in moderate water depths (250m to 1000m) and is adjacent to Santos' Browse Basin permit WA-281-P and Inpex's WA-285-P which contains the Brewster gas resource.

WA-338-P is located within the inner Browse Basin and is 70km off the WA coast. WA-339-P is located in deep water (200m to greater than 2000m) and is 110km off the WA coast.

The Joint Venture partners for this acreage plan to spend approximately $5.6 million over the next two to three years.

Participants in WA-338-P (Browse Basin) are Santos (operator) 71.5% and SK Corporation 28.5%. Participants in WA-339-P (Houtman Basin) are Santos (operator) 50% and Kerr-McGee 50%.