Dili, Oct. 9, 2024 (Lusa) - Timor-Leste and Brunei Darussalam discussed a possible strategic partnership in the Greater Sunrise offshore natural gas fields as part of a visit that the Timorese cabinet office minister, Agio Pereira, is making to the sultanate, the government said on Wednesday.
Pereira, who was appointed last May as an interlocutor in the discussions on Greater Sunrise, began a visit to Brunei on Sunday that is to run until Thursday to "explore new opportunities for collaboration, especially in the areas of energy and the economy," the Timor-Leste government said in a statement on its official website.
In a meeting with the sultan of Brunei, Yang Di-Pe, the cabinet office minister emphasised the "progress [made in] the cooperation project in the energy sector, with emphasis on the Greater Sunrise project, which is currently in the preparation phase," the Timorese government statement reads.
"Agio Pereira emphasised the importance of Brunei's collaboration, given its vast knowledge and experience in the exploration and development of onshore and offshore industries," it continues. "The possibility of Brunei participating as a strategic partner in this project was also discussed, given its relevance to Timor-Leste's sustainable economic development."
The development of Greater Sunrise, which is located 150 kilometres from Timor-Leste and 450 kilometres from Darwin, Australia, is a strategic priority for Timor-Leste in order to develop a sustainable economic future and to provide social benefits and opportunities for its people.
The project has been at an impasse, with Dili advocating the construction of a pipeline to the south of Timor and Woodside, the Australia-based company that is to be the consortium's operator, leaning towards a connection to the existing plant in Darwin.
The consortium is made up of Timorese company Timor Gap (56.56%), Woodside Energy (33.44%) and Osaca Gás Australia (10.00%).
Under the permanent maritime border agreement between Timor-Leste and Australia, revenue from the Greater Sunrise field must be divided, with 70% revenue going to Timor-Leste in the case of a pipeline to the country, or 80% if processing takes place in Darwin.
To try to overcome the impasse, the exploration consortium decided to carry out a study on the development of the gas field, which is being done by John Wood Group, a consultancy based in Aberdeen, Scotland.
The study is to focus on the development, processing and commercialisation of gas from Timor-Leste or Australia and assess which option will benefit the Timorese people more.
As part of Pereira's visit, which also includes meetings with various members of Brunei's government, the minister is scheduled to visit Brunei LNG, one of Brunei's main liquefied natural gas companies, as well as fertiliser and methanol production companies.
The two countries already cooperate in the areas of transport, communications, labour mobility, education and tourism.
MSE/ARO // ARO.
Lusa
