Santos is looking to buy oil and gas company Quadrant Energy.

In a move that would significantly expand Santos’ footprint in Western Australia, it has announced a $US2.15 billion ($2.93 billion) acquisition to be funded by a combination of existing cash reserves and a $600 million bank loan and $600 million two-year bridge facility.

Quadrant Energy was responsible for 22 per cent of overall gas production in WA in 2017.

“This acquisition delivers increased ownership and operatorship of a high quality portfolio of low cost, long-life conventional Western Australian natural gas assets which are well known to Santos, and importantly significantly strengthens Santos’ offshore operating capability,” said Santos managing director and chief executive officer Kevin Gallagher.

“It is materially value accretive for Santos shareholders and advances Santos’ aim to be Australia’s leading domestic natural gas supplier.”