Government of Timor-Leste

Presidency of the Council of Ministers

Spokesperson of the Government of Timor-Leste

Ninth Constitutional Government

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Press Release

Meeting of the Council of Ministers on September 20th, 2024

The Council of Ministers met at the Government Palace in Dili and  reaffirmed its solidarity with the ASEAN countries affected by Typhoon Yagi, whose devastating consequences, including severe flooding and landslides, resulted in hundreds of deaths, especially in Myanmar and Vietnam. In addition, thousands of homes were destroyed, forcing mass displacements of people throughout the region.

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The Council of Ministers also reiterated its deep solidarity with the  Republic of Portugal, which is facing the challenges of the recent forest fires in the northern and central regions of the country, which have already consumed more than 120,000 hectares of forest and resulted in the loss of lives. The Government of Timor-Leste conveys its support to the Portuguese people and recognizes the commitment of the thousands of operatives who continue to fight the flames, contributing to the recovery of the damage caused by this tragedy.

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Finally, the Council of Ministers approved the draft Government Resolution, presented by the Minister of Petroleum and Mineral Resources, Francisco da Costa Monteiro, on the acquisition of participatory interests in Production Sharing Contracts PSC-TL-SO-T 19-12 and PSC-TL-SO-T 19-13 related to the Bayu-Undan Field.

 TIMOR GAP, as the public entity responsible for managing the state's petroleum interests, will now hold a 16% participating interest in the Bayu-Undan field. Santos will hold 36.5%, SK E&S 21%, INPEX 9.6%, Eni 9.2% and finally Tokyo Timor Sea Resources 7.6%. The entry of TIMOR GAP, through its subsidiaries, into the Bayu-Undan project is a good opportunity for the public company responsible for holding and managing Timor-Leste's state-owned assets in the petroleum sector to strengthen its technical expertise in petroleum production projects and accelerate the development of its human resources.

The transaction will be carried out for the symbolic amount of 1 US dollar to be paid to each of the sellers involved, a common practice in operations of this type, which aims to facilitate the transfer of participatory interests and rights, ensuring the continuity of oil operations in the Bayu-Undan Field.

The Bayu-Undan field, located in Timor-Leste's offshore waters around 500 kilometers from Darwin, has been in operation since 2004, generating more than 25 billion US dollars in revenue for the country. The project employs around 350 Timorese in onshore and offshore roles, with 100% of Santos' workforce in Timor-Leste made up of nationals. END