Finder advances Timor-Leste oil project towards November FID

Financing now stands between Finder and FID

Finder Energy Holdings Limited (ASX:FDR) is approaching the decision point it has spent the past year building towards: a targeted final investment decision by 30 November for its Kuda Tasi-Jahal oil project in Timor-Leste. The company says engineering, approvals and key infrastructure are substantially advanced, leaving final project agreements and funding as the main unfinished pieces before execution can begin.

The target remains just that. Finder’s presentation says senior debt and interim funding arrangements are being advanced in parallel, while major development and operating agreements continue through finalisation, joint venture approval and regulatory processes. No financing terms or project capital cost are disclosed in the announcements.

Approved development plan supports three-well start

The project has moved beyond a conceptual development case. Finder says the Field Development Plan and Environmental Impact Statement have been approved by the relevant Timor-Leste regulator, the development area has been granted, front-end engineering and design is complete, and engineering, procurement, construction and installation tendering has concluded. The link

“Approved KTJ Development Concept 1”

The project’s initial plan is based on three development wells targeting the Kuda Tasi and Jahal fields. An independent RISC assessment puts the project at 22.2 million barrels of gross 2P reserves for that initial development, with a further 2.2 million barrels of gross 2C contingent resources associated with a potential Kuda Tasi infill well. Finder holds a 66% interest in the Timor-Leste licence.

Owned FPSO gives the project a defined operating platform

Finder has secured the Petrojarl I FPSO for redeployment and says it owns the vessel outright. The company presents that ownership as a way to support a faster redeployment, lower operating costs and a possible extension of field life, although those benefits remain dependent on the final development and financing arrangements. The vessel has stated processing capacity of about 30,000 barrels per day and a targeted 96% uptime, according to the presentation.

The drilling schedule is also taking shape. Finder says the Hakuryu-5 rig has been contracted for the three-well development program, with development drilling targeted for late 2027. That timing is subject to the integrated execution plan, project approvals, funding and availability of equipment and materials; an earlier Hakuryu-5 rig contract was reported as conditional while those hurdles remained.

First oil case extends beyond the initial fields

Finder is pitching Kuda Tasi-Jahal as the starting point for a wider Timor-Leste production hub rather than a standalone three-well project. Its presentation identifies additional discovered resources at Krill and Squilla, alongside prospective targets including Karungu, Kurisi and Lanjara. Those volumes are not equivalent to reserves: the company states that contingent resources still carry development risk, while prospective resources remain subject to discovery and development risk.

The immediate question is therefore less about the scale of the wider portfolio than whether Finder can convert its increasingly detailed project design into a funded commitment. The company’s chairman said the process had taken longer than originally anticipated, while maintaining the objective of reaching FID at the end of November. Until the remaining agreements and financing are completed, the late-2027 drilling date remains a planned milestone rather than an established one.