BUZZ-Citi sees higher production and capex for Australia's Santos

Citi forecasts increased stay-in-business capital expenditure by 2030 for Santos' STO.AX Cooper Basin project and higher production for its piped natural gas (PNG) portfolio

Brokerage retains "buy" rating and PT of A$7.6

Australia's second-largest independent gas producer sees fiscal 2025 output of 90 to 97 million barrels of oil equivalent (mmboe)

Citi expects FY25 output of 94.7 mmboe, in the top half of company's outlook

Adds higher depreciation & amortisation and capex to lower earnings in the near term

Citi also sees a stronger outer-year production in PNG offsetting higher capex

Thirteen of 14 analysts rate the stock "buy" or higher, one rates "hold"; their median PT is A$7.9, according to data compiled by LSEG

Santos rose 6.7% so far this year as of last close, outperforming a 4.3% gain on the ASX Energy index .AXEJ