Timor-Leste plans US$200 million purchase of Greater Sunrise stake

Timor-Leste plans to pay US$200 million for Woodside’s 33.44% interest in the Greater Sunrise gas project after almost seven years of negotiations, Prime Minister Xanana Gusmão told parliament during debate on the proposed 2027 General State Budget.

State-owned Timor GAP and the Australian energy company formalised the stake transfer on 27 October. Gusmão said the government’s negotiations with Woodside and Australia had sought to secure processing on Timor-Leste’s southern coast instead of Darwin.

Gusmão said processing the gas domestically would provide more economic benefits and jobs. He said Timor-Leste had submitted technical studies supporting its development proposal during conciliation with Australia, while the Conciliation Commission had asked both sides for evidence they could finance the project.

The prime minister said the government had warned Woodside before September that it would not renew the Greater Sunrise agreement without an understanding on the project’s future. He attributed faster negotiations and Woodside’s decision to transfer its interest to that pressure.

Separately, Gusmão said construction at the Kuda Tasi and Jahal offshore oil and gas fields was expected to start in 2027, followed by production in 2028. Early revenues could be relatively modest because some proceeds would cover previous investment costs.

He also called for training local petroleum professionals and ensuring nearby communities could benefit through jobs, services and sales of locally produced goods.