Two sides could not agree on valuation sources
Woodside did not come up with a bid sources
Santos shares fall 6, Woodside rises 1

Feb 7 Reuters Australia39;s Woodside Energy and Santos said on Wednesday they had ended talks to create a possible A80 billion 52 billion global oil and gas giant, and Santos flagged it would look for other ways to bolster its value.

Woodside, which is more than twice as large as Santos in terms of market value and revenue, said it would only pursue a deal that would add value for its shareholders.

Santos shares fell nearly 9 after the announcement and were last down 6 while Woodside39;s stock was up 1.

The talks fell apart as the two companies could not agree on a valuation level, according to two sources with direct knowledge of the matter who could not be named discussing confidential information.

A firm bid did not emerge from Woodside following the almost two months of due diligence and negotiations that the parties undertook, one of the sources said.

Woodside declined to comment on those points and Santos did not immediately respond to a request for comment.

Santos said in a statement that after an initial exchange of information, sufficient combination benefits were not identified to support a merger that would be in the best interests of Santos shareholders.

If the merger had taken place, it would have created a major global liquefied natural gas LNG producer that could attract more offshore investors as gas is seen as a…