Sunda Energy plc has conditionally raised up to US$9 million and signed a farm-in agreement for the Chuditch gas field, offshore Timor-Leste.
JURASSIC
The fundraise is through the issue of unsecured convertible loan notes with three institutional investors.
Drawdowns in tranches will pay for a jack-up rig to drill an appraisal well scheduled for July or August, subject to final approvals.
The company’s subsidiary SundaGas Banda Unipessoal Lda signed the farm-in agreement with its government-owned joint venture partner Timor Gap Chuditch Unipessoal Lda.
The deal will increase Timor Gap’s working interest share from 40% to 70%, while SundaGas’s paying share of costs for Chuditch-2 will reduce from 80% to 30%.
SundaGas retains operatorship of the production sharing contract in partnership with Timor Gap.
Sunda Energy said that the 2024 agreement with Pacific LNG Operations Pte Ltd terminated after discussions failed.
Chuditch is located approximately 185km south of Timor-Leste and covers approximately 3,571 km2, in water depths of 50 to 100m.
The field contains the Chuditch-1 gas discovery drilled by Shell in 1998.
Sunda noted that the well encountered a 30 metre gross gas column in the Jurassic Plover formation on the flank of a large, faulted structure.
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