Just six months since its formal launch in November 2024, Abu Dhabi’s XRG is already making waves in the global energy sector. The international investment arm of Abu Dhabi National Oil Co. (Adnoc) is rapidly assembling a global portfolio comprising gas, LNG, chemicals and low-carbon energy, reinforcing the United Arab Emirates' broader diversification strategy. XRG is already halfway to reaching its targeted $160 billion in portfolio value over the next decade, with more deals apparently in the works. Energy Intelligence understands XRG is currently evaluating at least three international M&A opportunities, including in gas and LNG. Sources say XRG is eyeing a potential stake in Australia-listed Santos, which operates LNG projects in Australia and holds nonoperated interests in two large LNG projects in Papua New Guinea; Santos also operates upstream assets in both countries. Santos previously has been tied to other mooted bids from companies including Adnoc and Saudi Aramco, but no deals have materialized to date. Industry watchers see Santos' prized LNG assets as being of particular interest to international suitors, especially those buyers with "deep pockets and long horizons," notes Simon Molyneux, head of Australia-based consultancy Molyneux Advisors. But, he adds, stalled developments and decommissioning of legacy assets "might temper the valuation" of any Santos bid.