Asia-Pacific Strategic Investments Limited: Critical Update on Project Oecusse in Timor-Leste

Key Points for Investors

• Project Oecusse Suspended: The Authority of the Special Administrative Region of Oécusse Ambeno (RAEOA) has notified the Company’s subsidiary joint venture (One Belt One Net LDA, or JVC) that Project Oecusse is suspended pending a comprehensive review.
• Due Diligence Review Underway: The new administration of RAEOA is reviewing investment projects, including Project Oecusse, to address governance and security concerns, and is finalizing an Investor Due Diligence & Beneficial Ownership Declaration Form for completion by the JVC.
• Government Ban on Online Gaming Licences: On 2 October 2025, the Timor-Leste Government cancelled all online gaming licences and forbade new issuances, which was implemented in Oecusse on 13 October 2025.
• Construction Progress: Hotel construction under Project Oecusse began in October 2024 and, barring unforeseen circumstances, is expected to be completed by the end of FY2025.
• Approval Status: Project Oecusse had previously secured the relevant approvals from the former RAEOA administration.
• Verification in Progress: The suspension notification was received via a non-official email channel; the Company is still verifying its authenticity and legal validity and will provide updates as material developments arise.
• Ownership Structure: The JVC is 95% owned by Asia-Pacific Strategic Investments Limited and 5% by EMG Unipessoal, LDA.

Detailed Analysis and Potential Shareholder Impact

Asia-Pacific Strategic Investments Limited (“the Company”) has received a potentially price-sensitive notification regarding its major development, Project Oecusse, in Timor-Leste. On 12 November 2025, the Company’s joint venture company (One Belt One Net LDA) was informed by the Authority of the Special Administrative Region of Oécusse Ambeno (RAEOA) that Project Oecusse is suspended pending a comprehensive review of investment projects, including a specific review of the decision to allow activity within the close perimeter of Oecusse Airport and the Monument of Lifau.

The review—referred to as a “Due Diligence Review”—is being conducted as part of wider reforms by the new administration to address governance and security concerns in Timor-Leste. As part of this process, the Authority is preparing an Investor Due Diligence & Beneficial Ownership Declaration Form, which will be sent to the joint venture company in due course.

In a significant development for the business environment in Timor-Leste, the government has also cancelled all online gaming licences and prohibited the issuance of new ones as of 2 October 2025. This policy was implemented in Oecusse on 13 October 2025. While the report does not specifically state whether Project Oecusse involves online gaming, this broader shift in regulatory environment could have implications for investor perceptions of risk and regulatory stability in the region.

The Company notes that it had previously secured all necessary project approvals from the prior administration. However, the change in local political leadership and the subsequent policy review have now introduced significant uncertainty into the project’s future.

Critical for shareholders: The notification of suspension was received via a non-official email channel, and the Company is still in the process of confirming its authenticity and legal validity. This uncertainty introduces potential risks for ongoing project operations, timelines, and associated investments. Shareholders should be aware that the Company has not yet confirmed the enforceability of the suspension and is seeking clarification from the current Authority.

Potential Impact on Share Value

• Project Delays or Cancellation: Suspension pending review could delay the completion of the hotel project (scheduled for end-2025) or, in a worst-case scenario, result in project termination. This would directly affect anticipated revenue streams and asset values.
• Regulatory and Political Risk Elevated: The incident highlights heightened regulatory and political risk in Timor-Leste, which may negatively impact investor sentiment and share price.
• Uncertainty Over Approvals: A change in the local authority’s attitude may imply that prior approvals are not guaranteed to be honored by the new administration, increasing uncertainty for the Company’s broader investment strategy.
• Potential for Material Developments: As the Company continues to seek clarification and verify the notification, further announcements could be material and may significantly impact share price, depending on the final outcome of the Authority’s review.

Next Steps

• The Company is actively verifying the notification’s authenticity and legal standing.
• Discussions are ongoing with the Authority to clarify the scope, process, and implications of the Due Diligence Review.
• Shareholders will be updated as soon as material developments arise.

Disclaimer

This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any securities. Investors should conduct their own due diligence and consult with their financial advisors before making any investment decisions. The information herein is based on the Company’s public disclosures as of 21 November 2025 and may be subject to change as new information emerges.

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