Australia's relationship with East Timor is at risk as the deadline looms on a hotly disputed and lucrative liquid natural gas project -- with no resolution in sight.

West Australian-based Woodside Petroleum has until February 23 to reach an agreement with the government of East Timor over the site of processing LNG or else the arrangement between the two is likely to be stopped. This would then trigger the cancellation of Australia’s sea boundary agreements with East Timor.