Timor-Leste and Woodside advance studies for Timor-based LNG development

The Ministry of Petroleum and Mineral Resources of Timor-Leste and Woodside Energy have signed a Cooperation Agreement to advance technical and commercial studies for a proposed Timor-based LNG development tied to the Greater Sunrise gas fields.

The agreement represents one of the most meaningful steps in recent years toward progressing the long-discussed Sunrise resource. It follows months of renewed engagement among Timor-Leste, Australia and the Sunrise Joint Venture and sets a framework for maturing a greenfield LNG concept producing about 5 million tonnes per year.

Under the agreement, the parties will conduct studies to evaluate a Timor-Leste LNG plant supported by a domestic gas facility and a helium extraction unit. The work will run parallel to ongoing trilateral negotiations over the fiscal, regulatory and legal frameworks that will ultimately govern the upstream development.

A high-level plan included in the agreement outlines key milestones required to move the project toward concept selection and eventual investment decisions. If the work advances as expected, first LNG from a Timor-based facility could be produced as early as 2032 to 2035.

Timor-Leste Minister of Petroleum and Mineral Resources Francisco da Costa Monteiro said the agreement demonstrates the government’s commitment to a development path that maximizes national benefit.

“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,” he said.

Woodside CEO Meg O’Neill said the cooperation marks a natural next phase in the partnership.

“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,” she said.

The Greater Sunrise fields, located in the Timor Sea, hold significant undeveloped gas resources. Various development pathways have been assessed over two decades, but the new agreement signals renewed alignment on evaluating a Timor-based solution. The outcome of the studies, combined with concurrent negotiations among project stakeholders and governments, will determine whether the concept advances to formal selection and investment approval.