Adds details on production results from paragraph 4 onwards

July 17 (Reuters) - Australia's Santos STO.AX tightened its full-year production forecast on Thursday to account for flood-related disruptions at its Cooper Basin operations, while it reported a more than 2% decline in second-quarter sales revenue.

The country's second-largest gas producer, which is also the target of an $18.7 billion takeover bid from a group led by Abu Dhabi's national oil company, now expects to produce between 90 million and 95 million barrels of oil equivalent (mmboe) in 2025, compared with its earlier forecast of 90-97 mmboe.

Flooding submerged more than 200 wells in South Australia's Cooper Basin, sending production down 15%, Chief Executive Officer Kevin Gallagher said in May.

A production recovery is underway and is expected to pick up during the second half of the year as flood waters recede, Santos said on Thursday.

The Adelaide-based company reported quarterly sales revenue of $1.29 billion, down from $1.31 billion a year earlier but exceeding Visible Alpha's consensus estimate of $1.23 billion.

Lower crude and condensate prices weighed on revenue, Santos said.

Brent crude prices LCOc1 declined about 9.5% in the second quarter as the OPEC+ producer group began raising production in April and uncertainty surrounding U.S. tariffs persisted.

Quarterly sales volumes, however, rose to 23.9 mmboe from 23.2 mmboe last year, driven by stronger gas sales in Western Australia and additional crude lifting from the Pyrenees project.

Santos said the Barossa liquefied natural gas project was 97% complete and on schedule for first gas in the third quarter, while the Pikka oil project in Alaska was 89% complete, with first oil anticipated by mid-2026.

"Together, these projects are expected to deliver around a 30% increase in production by 2027," Gallagher said.

Shares of the company inched about 0.1% higher by 0053 GMT, while the energy sub-index .AXEJ was down around 0.1%.

(Reporting by Adwitiya Srivastava and Sneha Kumar in Bengaluru; Editing by Shilpi Majumdar and Subhranshu Sahu)

((Adwitiya.Srivastava@thomsonreuters.com))