News Oil & Gas

Baron granted more time for Chuditch decision

Baron Oil plc plc has received a six-month extension for preparations before deciding whether to drill an appraisal well on the TL-SO-19-16 ‘Chuditch’ production sharing contract (PSC), offshore Timor-Leste.

Deadline: the new date will allow more time to conclude farm-out discussions with third parties (Baron Oil)

EVALUATIONS

The new expiry date of 18 December 2023 has been given to the company’s subsidiary and operator SundaGas Banda Unipessoal Lda.

A subsequent commitment, on entry into year three, will be for drilling one well to appraise the Chuditch-1 discovery.

The operator’s preparations include detailed evaluation of candidate drilling locations and well trajectories for input into the final well design.

Arrangements are also being made to extend the existing US$1 million bank guarantee from its current expiry date of 1 August 2023 to cover the extension period.

Baron added that the new deadline would also allow more time to conclude farm-out discussions with third parties.