In a medium saucepan, add ½ cup of sugar and heat it over medium heat without stirring. Watch closely as the sugar starts to melt and turn amber in color, about 5–7 minutes. Quickly pour the caramel into an ungreased loaf pan, tilting to coat evenly and set aside to harden.

In a large mixing bowl, whisk together two 300ml cans of sweetened condensed milk, 400ml of full-fat coconut milk, three large eggs, and 1 teaspoon of vanilla extract. Stir in 1 cup of unsweetened shredded coconut until fully combined. Pour gently over the hardened caramel in the loaf pan.

Preheat oven to 350°F (180°C). Place the loaf pan inside a larger baking dish and fill with hot water until it reaches about a quarter way up the sides of the loaf pan. Bake for 50-55 minutes, or until the top is lightly golden and firm to the touch.

Remove the flan from the oven and let it cool for about 30 minutes. Transfer to the refrigerator and chill for at least 3 hours. To serve, run a knife along the edges to loosen the flan, then invert onto a serving plate.