Sunda Energy and Finder Energy have formed a collaboration to secure a drilling rig for their respective offshore Timor-Leste campaigns, aiming to make the projects more attractive to contractors by combining operations.

Drilling Campaigns and Rig Requirements

Sunda Energy plans to drill the Chuditch-2 appraisal well on the TL-SO-19-16 PSC, while Finder Energy intends to drill at least three wells for its Kuda Tasi and Jahal (KTJ) fields development, targeting a final investment decision by mid-year. Finder requires a semi-submersible rig for its KTJ wells in approximately 400 metres of water. Although Chuditch-2 is in shallower water (~65 metres) and could use a jack-up, the plan now aligns with using a semi-submersible rig, similar to the original Chuditch-1 well drilled by Shell.

Schedule Delay and Challenging Market

Sunda now anticipates Chuditch-2 will not start until "as early as possible in 2027," a delay from the previously scheduled mid-2026. The company cited a "challenging" market for securing a rig, primarily due to the well's short expected duration of 30 to 45 days with no immediate follow-up work planned. In response to this delay, SundaGas has applied to Timor-Leste's regulator ANP to extend its Production Sharing Contract, which is set to expire on 18 June.

Collaboration Benefits and Agreement

The companies have entered a Letter of Intent (LoI) to collaborate on a combined offshore drilling campaign. Key aspects of the collaboration include:

• Sharing a semi-submersible rig, with Finder already advanced in securing a suitable unit.
• Aligning contracts for other materials and services.
• Coordinating project management and providing mutual support for their drilling programmes.

This partnership creates a combined operational duration of nearly 200 days, which Sunda states is "a far more attractive proposition for contractors." The LoI will terminate upon execution of a formal rig sharing agreement or on 31 October, unless extended.

Operational Adjustments

Using a different rig type for Chuditch-2 will require minor amendments to the well engineering design, and this work is scheduled to commence soon.