Further to the Company's announcements of 24 January 2024 and 1 February 2024, Baron Oil has confirmd that the Farm-Up Agreement between Baron's wholly owned subsidiary SundaGas and TIMOR GAP in relation to the TL-SO-19-16 Production Sharing Contract ('Chuditch PSC'), offshore Democratic Republic of Timor-Leste, has completed.
As part of the Farm-Up arrangements, TIMOR GAP will make a cash payment to SundaGas of c.US$1 million to cover back costs within 30 days.
SundaGas retains operatorship of the Chuditch PSC and holds a 60% working interest. TIMOR GAP has a 40% interest, made up of a working interest of 15%, plus its original 25% interest which is carried to first gas. Henceforth, TIMOR GAP will be responsible for paying 20% of all costs in relation to the PSC, including the drilling of the planned Chuditch-2 appraisal well.
Source: Baron Oil
