Woodside Energy has agreed to sell its 33.44% participating interest in the Sunrise Joint Venture (JV) to Timor-Leste’s national oil company, TIMOR GAP, in a transaction worth up to $200m.
The deal covers Woodside’s interests in the NT/RL2, NT/RL4, JPDA production sharing contract (PSC) 03-19 and JPDA 03-20 titles, which contain the Greater Sunrise fields.
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Completion is expected in the first half of 2027, subject to government, regulatory and JV approvals.
The consideration includes $13.71m payable at completion.
A further $11.29m would be due if an affirmative final investment decision (FID) is made for liquefied natural gas (LNG) development in the Greater Sunrise Special Regime Area.
The remaining $175m would become payable within 365 days of the first loading of LNG cargo produced for sale from petroleum in the area.
The completion payment will be adjusted for cash calls and working capital between the transaction’s effective date of 1 November 2026 and completion.
The agreement also addresses the possibility that a new Greater Sunrise Production Sharing Contract takes effect before the transaction closes.
Woodside CEO Liz Westcott said: “Greater Sunrise has been an important part of Woodside’s portfolio for many years, and we recognise the project has the potential to deliver long-term economic and energy security benefits for Timor-Leste and the region.
“While Sunrise remains a high-quality resource, the transaction further simplifies Woodside’s portfolio and allows capital and management attention to be focused on opportunities that present the greatest shareholder value.
“Woodside has worked closely with the Governments of Timor-Leste and Australia, TIMOR GAP and Osaka Gas to advance Greater Sunrise, including the proposed new fiscal, regulatory and legal framework required to support its future development.”
TIMOR GAP currently owns 56.56% of the project.
Last month, the company agreed to buy Osaka Gas Australia’s 10% share, subject to closing conditions.
Woodside said its departure would leave it with no participating interest in the Sunrise JV.
In its third-quarter report issued on 21 October, the company said the existing JPDA PSC 03-19 and JPDA PSC 03-20 terms had been extended until 31 March 2027 to support implementation of new PSC arrangements.
