19 Oct 2015investor presentation● Neutral
October investor presentation repeats the Senegal story: SNE 1C/2C/3C of 150/330/670mmbbl gross, three wells from October, cash A$43.5m at 30 June. Share price A$0.09, market cap A$287m. Adds no new results.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
19 Oct 2015drilling scheduled● Neutral
Ocean Rig Athena left Angola for Senegal, with drilling still expected to start late October. SNE-2 and SNE-3 appraise the SNE field (economic threshold about 200mmbbl); BEL-1 will be deepened into SNE's northern end. Repeats the 14 October plan.
14 Oct 2015contract award▲ GoodMajor
Senegal joint venture executed contracts for the Ocean Rig Athena drillship, with ConocoPhillips managing drilling. Three firm wells (SNE-2, SNE-3, BEL-1) are due to finish by mid-2016, starting late October. Day rates were cut, said to be down by up to 50% for deepwater rigs offshore Africa.
28 Sept 2015other● Neutral
FAR issued its updated Securities Trading Policy under ASX Listing Rule 12.10, effective 28 September 2015. Administrative; sets rules against insider trading and short-term trading. No operational or financial change.
24 Sept 2015farm in farm out agreement▲ GoodMajor
FAR secured an option to earn 75% of Trace Atlantic's Djiffere block, next to its Senegal blocks, by drilling a well before 31 July 2018; option exercisable until 31 October 2016. FAR will fund a US$1.1m 3D survey covering 400km2. Extends the Senegal shelf play.
17 Sept 2015regulatory community update▲ Good
A 2,603km2 3D seismic survey began over FAR's Senegal blocks using the Polarcus Adira, aimed at north and east areas with no 3D coverage. Acquisition is due to finish in Q4 2015, with processed data mid-2016. It supports the evaluation program and may add prospects.
8 Sept 2015half year report● Neutral
Half-year to 30 June 2015: loss A$9.7m (up 138%) on higher exploration spend, including A$5.3m of Senegal analysis and planning costs. Cash fell to A$43.6m; net assets A$71.3m. No impairments. Senegal plans unchanged; Kenya L6 work program delayed by security issues.
28 Aug 2015other● Neutral
Administrative notice: FAR's share registry moves to Computershare from 2 November 2015. No effect on operations or assets.
19 Aug 2015drilling scheduled▲ GoodMajor
Operator Cairn confirmed the third firm Senegal well will target Bellatrix (168mmbbl gross, 25mmbbl net to FAR prospective), which overlies the SNE field's northern end. Government agreed the evaluation program; drilling of the first well is expected early Q4 2015. FAR puts Bellatrix chance of success at 49%.
16 July 2015investor presentation● Neutral
Noosa conference presentation repeated the Senegal story: three wells from Q4 2015, SNE at 150/330/670mmbbl (1C/2C/3C gross) and cash of A$52.5m at March. Share price was 8c (13 July) and market cap A$255m. No new results.
15 May 2015admin correction● Neutral
Re-release of the AGM presentation correcting the 14 April share price from A$0.94 to A$0.094. Otherwise the visible content appears the same, with no new information.
15 May 2015investor presentation● Neutral
AGM presentation restates the FAN-1 and SNE-1 Senegal discoveries, A$67m year-end cash with no debt, and the three-firm-plus-three-optional well plan from the 11 May update. No new results; note it prints a share price of A$0.94 (corrected in the next release).
12 May 2015investor presentation● Neutral
FAR released Cairn's 11 May Capital Markets Day presentation on Senegal, covering Cairn's strategy and plans for up to six wells from Q4 2015. Largely repeats the operator's announcement of the previous day; the visible text adds no new FAR-specific results.
11 May 2015joint venture update▲ Good
Operator Cairn released its Senegal update: a three-year evaluation plan has gone to the Government, with three firm and three optional wells from Q4 2015. The Ocean Rig Athena drillship has been selected, with its contract still being finalised. Cairn cites over a billion barrels of mean risked resource.
24 Apr 2015remuneration report● Neutral
FAR formalised new executive contracts: Managing Director Cath Norman rises to A$550,000 a year (from A$440,000) and Ben Clube to A$475,000 (from A$376,000). Company termination notice for each rises from 3 to 12 months; options unchanged.
13 Apr 2015drilling scheduled▲ GoodMajor
FAR and partners plan a first-phase Senegal program starting Q4 2015: two SNE-1 appraisal wells plus one shelf exploration well, and new 3D seismic. FAR estimates the firm program costs about US$150m gross, FAR's share about US$25m (A$33m). Plan goes to Government in May.
13 Apr 2015investor presentation● Neutral
April presentation repeats the Senegal discoveries and the three-well program from Q4 2015. Adds SNE break-even claim (10% IRR at US$45/bbl), Farjoy as largest holder at 11%, and about 11,500 shareholders. Share price 9.7c, market cap A$303m; no new results.
8 Apr 2015director officer appointment▲ GoodMajor
FAR proposes to appoint Reg Nelson, former APPEA chairman credited with turning around Beach Energy, to the board as it moves into Senegal appraisal. Long-serving director Charles Cavness (20 years) will retire at the 15 May 2015 AGM.
30 Mar 2015annual report▲ Good
2014 annual report, titled 'a year of discovery', covers the FAN-1 and SNE-1 discoveries, A$67m year-end cash with no debt and ASX 300 inclusion. Says both are likely large enough for standalone development, with appraisal drilling planned for later in 2015. Text is truncated, so financial details are not covered.
6 Mar 2015other▲ Good
S&P Dow Jones Indices announced FAR will be added to the S&P/ASX 300 index after close on 20 March 2015. Index announcement listing many companies; no change to FAR's operations or assets.
2 Mar 2015investor presentation● Neutral
March presentation restates the FAN-1 and SNE-1 discoveries and A$67m cash with no debt. New detail: Senegal evaluation program goes to the Government end April 2015, with evaluation drilling to start Q4 2015. Share price 9.2c, market cap A$288m.
23 Feb 2015asset acquisition disposition● Neutral
Key Petroleum agreed to acquire FAR's and Pancontinental's interests in Canning Basin permits EP104, R1 and L15 (FAR held 15.67%, 8.89% and 12%). Each of FAR and Pancontinental pays Key A$50,000 cash. Subject to state approval. Looks like FAR exiting its remaining Canning Basin interests (inference).
27 Jan 2015price query● Neutral
ASX queried a rise from 7.7c to 9.6c and higher trading volume. FAR said it knew of no undisclosed information or other explanation, and that its quarterly report would be released before the end of the week.
22 Jan 2015director officer appointment● Neutral
FAR appointed Gordon Ramsay, formerly head of energy research at UBS, as Executive General Manager, Business Development. He will seek new growth opportunities after the Senegal discoveries and handle investor relations and capital management.
20 Nov 2014drilling result● NeutralMajor
SNE-1 reached about 3,000m and found no hydrocarbons in the deeper carbonate target, so it will be plugged and abandoned. The shallower Albian discovery stands. Drilling program ends with two discoveries; appraisal planning is underway and a final evaluation is due in Q1 2015.
14 Nov 2014investor presentation● Neutral
November presentation repeats the FAN-1 and SNE-1 discoveries and adds a comparison with Ghana's Jubilee field. Cash A$83m unaudited, share price 13c, market cap A$406m on 3,126,808,427 shares. No new results.
10 Nov 2014drilling result▲ GoodMajor
SNE-1 is a second Senegal oil discovery: 36m net pay in a 95m gross oil column with a gas cap, 32° API oil. Operator's contingent resource is P50 330mmbbl gross (50mmbbl net to FAR). Drilling continues to the deeper carbonate target.
27 Oct 2014capital raising announcement● Neutral
Confirms 424,961,685 shares issued at 11c, giving 3,126,808,427 shares on issue; dilution to existing holders is 15.7%. Bell Potter, as sole lead manager, was paid a 4% fee. Administrative follow-up to the 20 October raise.
What it means for a shareholder
425m new shares at A$0.110 to raise about A$46.7m. That's 12% dilution: every existing holder's slice gets 12% smaller. If you held A$1,000 of shares (9,091 at the issue price), your slice goes from 0.000291% to 0.000256% of the company. To keep it you'd need 1,236 more shares - about A$136 at the issue price.
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20 Oct 2014capital raising announcement▲ GoodMajor
FAR raised A$46.7m via an oversubscribed placement of 424,961,685 shares at 11c, an 18.5% discount to market, lifting cash to about A$85m. Cost overruns and the FAN-1 discovery pushed Senegal costs above the funding cap; FAR expects to pay about US$35m.
What it means for a shareholder
425m new shares at A$0.110 to raise about A$46.7m. That's 14% dilution: every existing holder's slice gets 14% smaller. If you held A$1,000 of shares (9,091 at the issue price), your slice goes from 0.000336% to 0.000291% of the company. To keep it you'd need 1,430 more shares - about A$157 at the issue price.
Create a free account to see this worked out for your own holding.
14 Oct 2014investor presentation● Neutral
October presentation restates the FAN-1 discovery (29m net, 500m+ gross, operator STOOIP P50 950mmbbl) and says SNE-1 is drilling. Cash A$39m unaudited; share price 12c, market cap A$324m. Nothing new beyond the 7 October result.