Navitas Petroleum Delays Final Investment Decision for Sea Lion Oil Project

Israel’s Navitas Petroleum has announced a delay in the final investment decision (FID) for its Sea Lion oil project in the North Falkland Basin (NFB). The FID for Phase 1 has been pushed to the second half of 2025 to allow for the completion of a financing plan.

Last year, the FID for the Sea Lion project was postponed to 2025 due to a cost increase to $1.4 billion for Phase 1. Navitas’ partner, Rockhopper Exploration, has secured a lead technical and lending bank mandate, with senior bank debt now included in the financing plan.

While initial feedback from potential capital providers has been positive, the FID timeline has been adjusted to the second half of 2025 to accommodate bank due diligence.

Project Details

The Sea Lion field is located approximately 220 kilometers north of the Falkland Islands in Block 14/10. The project encompasses the proposed developments of phases 1 and 2, which are planned to be executed via a single floating production, storage, and offloading (FPSO) system with two drilling campaigns.

Following an update to the field development plan (FDP) to include an initial development stage targeting 312 million barrels of oil, the FDP was submitted for approval. The certified gross 2C resources in the North Falkland Basin have increased from 712 million barrels to 791 million barrels.

The Northern Area phases 1 and 2 will utilize a redeployed and upgraded FPSO upon FID, while the Northern Area Phase 3 and the Central Area phases 1 and 2 will require a larger replacement FPSO to be identified and secured.

Future Prospects

Sam Moody, Chief Executive of Rockhopper Exploration, stated, “We continue to work with operator Navitas in moving the Sea Lion project towards FID. With work on financing for the development beginning to gather pace and continued progress on the technical side, we look forward to providing the market with further updates.”

Navitas Petroleum, with a 65% working interest, views Sea Lion as a significant opportunity. Rockhopper holds the remaining 35% stake in the project. Additionally, the exploration of Isobel-Elaine, a discovered oil field south of Sea Lion, indicates potential for development under future phases.

Sources: Navitas Petroleum Report