Lion Energy Secures OPIC Funding for High-Impact East Seram Exploration Well

Lion Energy Limited ( (AU:LIO) ) has provided an announcement.

Lion Energy has secured majority funding for the planned Bula Karang exploration well in Indonesia’s East Seram Production Sharing Contract through a farm-out agreement with its existing partner OPIC East Seram Corporation, a subsidiary of Taiwan’s CPC Corporation. Under the deal, OPIC will fund 88% of the estimated US$5.6 million drilling cost in return for an additional 15% participating interest, leaving Lion with a 45% stake in the PSC and a net funding obligation of about US$0.7 million, supported by proceeds from its recent Seram Non-Bula divestment. The shallow Bula Karang prospect, which carries a P50 prospective resource estimate of 12 million barrels of oil and can be drilled from onshore to an offshore target near existing producing fields and infrastructure, is scheduled to spud in the second quarter of 2026 and is designed for early production in the event of success, potentially extending the PSC term by 20 years and materially enhancing Lion’s growth prospects while limiting its financial exposure.

The most recent analyst rating on (AU:LIO) stock is a Hold with a A$0.01 price target. To see the full list of analyst forecasts on Lion Energy Limited stock, see the AU:LIO Stock Forecast page.

More about Lion Energy Limited

Lion Energy Limited is an ASX-listed oil and gas exploration and production company with a conventional production sharing contract on Seram Island in Indonesia and plans to drill an oil exploration well there in the second quarter of 2026. The company is also developing Southeast Queensland’s first commercial-scale green hydrogen production and distribution hub, reflecting a dual focus on traditional hydrocarbons and emerging clean energy markets.

Average Trading Volume: 227,730

Technical Sentiment Signal: Strong Sell

Current Market Cap: A$4.97M

For detailed information about LIO stock, go to TipRanks’ Stock Analysis page.