How Is Finder Energy Accelerating KTJ Project Toward 2026 FID?
Finder Energy is fast-tracking its Kuda Tasi and Jahal development with advanced engineering and critical FPSO evaluations, aiming for a Final Investment Decision in 2026. This acceleration seeks to reduce risks and optimize costs ahead of production.
- Accelerated Front End Engineering and Design (FEED) with Schlumberger underway
- Advanced FPSO selection and rigorous due diligence in progress
- Detailed subsurface reservoir modeling and drilling unit evaluations ongoing
- Environmental impact studies initiated to meet regulatory requirements
- Acceleration aims to mitigate costs and risks, supporting funding and farmout opportunities
Accelerating Toward a Critical Milestone
Finder Energy Holdings Limited has announced a significant acceleration in the development of its Kuda Tasi and Jahal (KTJ) oil fields offshore Timor-Leste, targeting a Final Investment Decision (FID) in 2026. This move reflects a period of intensified activity where multidisciplinary teams are converging to refine project definitions, make key technical decisions, and advance procurement of long-lead items essential for the project's success.
The company’s strategic alliance with Schlumberger Australia Pty Ltd is central to this acceleration, with an Accelerated Front End Engineering and Design (FEED) project underway. This initiative aims to deliver precise project costings and timelines, reducing uncertainties that typically challenge offshore developments. The integrated SLB-Finder team is focusing on optimizing the development concept, including subsea production systems, umbilicals, risers, flowlines, and the Floating Production, Storage and Offtake (FPSO) vessel.
FPSO Selection and Due Diligence
The FPSO, a critical asset for the KTJ Project, is advancing through an advanced selection phase. Finder’s marine due diligence team, supported by experts from the ABL Group, has conducted multiple site visits and technical assessments to evaluate candidate vessels. These evaluations cover operational performance, safety compliance, environmental standards, and life extension requirements to ensure the FPSO can be effectively redeployed and modified for the KTJ fields.
This rigorous due diligence underscores the company’s commitment to mitigating technical and schedule risks, a vital step given the FPSO’s central role in production. The outcome of this process will heavily influence the project’s capital expenditure profile and operational readiness.
Subsurface Insights and Drilling Preparations
On the subsurface front, Finder has made substantial progress in geological and reservoir modeling. Detailed petrophysical analyses and core property studies have informed a three-dimensional static model of the reservoirs, revealing depositional environments consistent with regional analogues. This model is foundational for dynamic reservoir simulations, reserve estimations, and engineering design.
Simultaneously, the company is evaluating drilling options suitable for the water depths of 400 to 430 meters, focusing on semi-submersible rigs and drillships. Commercial discussions with contractors are ongoing, with an eye toward aligning drilling campaigns with other regional operators to achieve cost efficiencies and operational synergies.
Environmental and Financial Strategy
Environmental studies have commenced to develop an Environment Management Plan and Environmental Impact Statement, essential for regulatory approvals. Finder is also adopting collaborative pricing and risk-sharing contracting models to manage the financial implications of accelerated project activities. These approaches aim to reduce capital expenditure and exposure to cost overruns, enhancing the project’s attractiveness to potential farm-in partners and lenders.
Overall, the acceleration of the KTJ Project’s development activities signals Finder’s confidence in unlocking value while carefully managing technical, environmental, and financial risks. The company anticipates multiple near-term catalysts as it moves closer to FID and eventual production.
Bottom Line?
Finder’s accelerated push toward FID in 2026 sets the stage for unlocking KTJ’s value but hinges on critical technical and financial milestones ahead.
Questions in the middle?
- How will the accelerated timeline impact final project costs and capital requirements?
- What are the prospects for securing farmout partners or debt financing under the new schedule?
- How might environmental approvals and regulatory processes influence the FID timing?
