Australian gas producer Santos announced on Tuesday that its Chief Financial Officer, Sherry Duhe, has resigned after just one year in the position. The exit comes as the company prepares to bring its major Barossa gas and Pikka oil projects online.
Deputy CFO Lachlan Harris will take over as acting finance head. Harris has held several senior financial roles within Santos and will oversee the company’s finances during the transition.
Duhe, a former executive at Woodside Energy and Newcrest Mining, joined Santos in September 2024. Her departure follows months of speculation about internal leadership changes and comes at a sensitive time for the company.
Analysts raise governance concerns
Energy analyst Saul Kavonic from MST Marquee said the unexpected resignation raises new concerns about corporate stability. “The resignation comes as Santos faces its most acute balance sheet position ahead of Barossa and Pikka’s startup — and after XRG walked away,” he noted.
Shares of Santos slipped 0.4% to A$6.45 in early trading on Tuesday.
The company is counting on the $4.5 billion Barossa gas project off northwestern Australia and the $3.1 billion Pikka oil project in Alaska to boost cash flow in the coming years. Both developments are nearing first production after years of heavy investment.
Uncertainty over future leadership
Analysts said Duhe had been viewed as a potential successor to long-time CEO Kevin Gallagher, who has led Santos for more than eight years. Gallagher has faced pressure following three failed takeover attempts during his tenure.
Last month, Gallagher told investors he had no plans to retire and expects a sharp improvement in cash generation once Barossa and Pikka begin operations.
In September, a consortium led by Abu Dhabi National Oil Company’s overseas arm, XRG, abandoned its $18.7 billion takeover bid for Santos after months of valuation disputes — another setback for the company’s leadership team.