Q1 - 2024, page-115

The September 2023 Corporate Presentation published on the HHR website states that "FDP Submitted to the NSTA in June 2023" and "Key upcoming milestones include no further technical questions on FDP from NSTA and finalisation of debt funding (H2 2023)"

The NSTA has published guidelines for Field Developments, including a three stage roadmap that covers Assessment, Authorisation and Execute.

The guidelines for the Authorisation stage state "This Phase will begin with the Licensees’ initial application for consent and during this Phase the Field Operator should share an early version of the FDP with the OGA (Oil and Gas Authority)." I assume this is FDP submission HHR referenced as happening in June 2023.

The guidelines continue "Once the project has matured toward a decision by the Licensee to invest in the project Final Investment Decision (‘FID’), the Field Operator must submit the final FDP to the OGA with its final form application for a Development and Production Consent for the field." As we have not seen a FID announcement it appears this is the current status of the project and the FDP approval cannot happen until FID is announced.

The guidelines also state "The OGA expects that, where Licensees have followed the process set out in this document and the OGA decides to grant consent, a Development and Production Consent would normally be issued by the OGA within one month of submission of the final FDP document and application".

Reading the above it appears as though we will not see FDP until at least a month after FID is announced. Maybe being pessimistic but the guidelines show that the NSTA follows a very structured process. Maybe the milestone delays are the result of outstanding queries and loose ends on the HHR side?