The company told shareholders at last week’s annual general meeting (AGM) that it will shortly resubmit a Development and Exploitation Plan for the SNE project offshore Senegal.
A Final Investment Decision for this project is also planned for the second half of the year.
Early in the September quarter the company plans to acquire 3D seismic data for the SNE project and is on track for first oil production in 2022 and first gas in 2024.
Shareholders of the oil and gas explorer passed all AGM resolutions by the requisite majority.
Voting results (Source: Company reports).
FAR made the world-class SNE oil discovery in 2014 and since then has become one of the largest holders of the offshore acreage in the Mauritania, Senegal, Guinea-Bissau, Conakry (MSGBC) Basin.
Since the discovery, FAR has drilled 11 wells offshore Senegal, which includes four discoveries and seven successful SNE appraisal wells.
Commerciality was declared on SNE in July 2018 following which a Development and Exploitation Plan was submitted in October 2018.
READ: Floating facility design contract for SNE Oil Field offshore Senegal awarded to Modec International Inc
The company has subsequently started front-end engineering design (FEED) activities and expects to resubmit the Development and Exploitation Plan in mid-2019.
FAR also provided information at the AGM about the Samo-1 well offshore The Gambia, the first well that the company has operated in deep water.
Samo-1 was successfully and safely drilled within budget to the planned depth of around 3,200 metres MDRT and intersected all target horizons.
Prominent Malaysian state-owned oil company PETRONAS farmed into blocks A2 and A5 of this project in March 2018, which carries FAR through the cost of the first exploration well while retaining a 40% working interest.
FAR said this partnership was important as PETRONAS was a world-class deepwater operator that had the capacity and commitment to operate the joint venture in the event of a commercial discovery.
The next licence period begins on July 1, 2019, which requires one well to be drilled at either block.
FAR has also held exploration acreage in Guinea-Bissau for some years and the joint venture which has this acreage is preparing for drilling.
In May the company announced the completion of a $45 million capital raising.
Proceeds will be used to fund FAR’s ongoing interest in the SNE field development, preparatory work for the proposed 2020 drilling program, Australian seismic and processing costs, and general corporate purposes.
$370.5 million market cap
Last week FAR, which has a market capitalisation of approximately $370.5 million, traded in the range of 5.8 to 6.1 cents and is today trading at 5.8 cents.
The company aims to maximise opportunities from its exploration portfolio as well as build its portfolio through strategic additions to exploration acreage.