The Santos Ltd (ASX: STO) share price is moving higher on Friday. This comes despite news that the company's Chief Executive has sold a sizeable parcel of shares.
At the time of writing, Santos shares are up 1.71% to $7.445. The energy giant's stock has now climbed more than 20% in 2026, reflecting strong momentum across the oil and gas sector.
So why are investors looking past the insider sale?
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Santos CEO offloads shares
According to a recent director's interest notice, Santos CEO Kevin Gallagher sold 830,132 shares on market on 27 February.
The shares were sold at an average price of $6.75 each, generating proceeds of roughly $5.6 million.
The filing states the sale was mainly to fund personal tax obligations, with the remaining proceeds to be used as part of a reorganisation of his personal financial affairs.
Despite the transaction, Gallagher still maintains a sizeable exposure to Santos.
Following the sale, his direct and indirect holdings total about 2.7 million shares through family entities and employee share plans. He also holds more than 1.5 million performance rights under the company's executive incentive scheme.
Strategic review speculation grows
Santos has also been in the spotlight after reports that the company is reviewing parts of its asset portfolio.
Media reports suggest the energy producer is considering whether to separate or sell some underperforming assets as part of a broader strategic review.
Assets in Western Australia, the Cooper Basin, and the Narrabri gas project in New South Wales have been mentioned as potential candidates.
The goal would be to streamline the business and focus more on its core LNG operations, including major projects in Australia and Alaska.
Any portfolio changes could also revive takeover interest in Santos. The company has previously attracted approaches from global energy players, including a failed $30 billion bid from a consortium led by Abu Dhabi National Oil Company.
Strong oil and gas markets support the share price
Another factor helping Santos shares has been the strength in global energy markets.
Oil prices have climbed in recent weeks amid rising tensions in the Middle East, raising concerns about potential supply disruptions.
The Strait of Hormuz remains one of the most important shipping routes for global energy supplies, with a large portion of the world's oil passing through the narrow waterway.
Stronger oil and gas prices translate into improved revenue and cash flow for Santos.
Foolish bottom line
Insider selling can sometimes make investors nervous, but the market appears to be largely brushing off the news.
Gallagher's share sale was linked to personal tax obligations rather than any shift in confidence about the company.
With energy prices strengthening, takeover speculation still lingering, and the share price already up more than 20% in 2026, Santos continues to attract investor interest.
