The Ministry of Petroleum and Mineral Resources of Timor-Leste (MPRM) and Woodside Energy Ltd (Woodside) have signed a Cooperation Agreement to advance technical and commercial studies for a Timor-based liquefied natural gas (LNG) project, known as TLNG, tapping into the Greater Sunrise gas fields.
The agreement is a pivotal step towards maturing an LNG development estimated at approximately five million tonnes per annum, including a domestic gas facility and a helium extraction plant.
Initial LNG production could commence as early as 2032 to 2035, subject to investment decisions and concept selection.
The agreement represents a renewed spirit of collaboration and commitment between Timor-Leste and Woodside after longstanding efforts to unlock the value of the Greater Sunrise fields.
Under the agreement, the two parties will conduct the necessary maturation activities alongside ongoing negotiations on fiscal, regulatory, and legal frameworks involving the Sunrise Joint Venture and the governments of Timor-Leste and Australia.
These governance frameworks are crucial to supporting the upstream development of the gas fields.
Timor-Leste’s Minister of Petroleum and Mineral Resources, His Excellency Francisco da Costa Monteiro, emphasised the project’s significance: “The TLNG project presents the best economic, social, and strategic benefits for the people of Timor-Leste, and we are committed to working constructively with Woodside, the Greater Sunrise joint venture and other parties to take the project forward and to make our vision for Greater Sunrise a reality.”
The project promises considerable national benefits including job creation, industrial growth, and enhanced control over vital natural resources.
Woodside CEO Meg O’Neill welcomed the cooperation agreement, stating it “reflects the next step in the relationship and shared commitment to the development of the Greater Sunrise fields”.
She elaborated: “This work is an extension of last year’s concept study and will address the remaining considerations required to reach concept selection, such as agreeing the most appropriate downstream commercial structure to attract financing and understanding the preferred route of the gas export pipeline.”
Woodside’s involvement reaffirms the company’s confidence in the project’s viability and its long-term potential in the region.
The Greater Sunrise gas fields are some of the largest undeveloped offshore gas reserves in the Timor Sea, located between Timor-Leste and Australia.
This LNG project is strategically important for Timor-Leste to capitalise on its abundant natural resources, advancing its energy sector and economic independence.
The inclusion of a helium extraction facility is noteworthy, as helium is a valuable commodity used extensively in technology and medical fields.
This agreement is part of Timor-Leste’s broader 2011-2030 Strategic Development Plan focused on maximising national resource value through sustainable and equitable development.
With strong governmental and corporate collaboration, the TLNG project aims to transform the economic landscape of Timor-Leste by fostering industrial growth and social development while navigating complex technical and regulatory challenges together with regional partners.
