11 Feb 2014farm in farm out completion▲ Good
FAR receives the US$5m second payment from Cairn for Senegal back costs, lifting cash to A$29.6m at 10 February. Closes the open Cairn payment thread. First Senegal well still expected to spud in Q1 2014.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
6 Feb 2014investor presentation● Neutral
February 2014 presentation repeats known facts: 4.1c share price, A$102m market cap, A$24m cash plus US$5m due. Adds the Milio farm-in as the third farm-out and says two Senegal wells start March 2014. No new results.
5 Feb 2014resource reserve update▲ GoodMajor
FAR's own unaudited assessment of its Guinea-Bissau blocks: East Sinapa discovery contingent resource 13.4m barrels (2.0m net) and total prospective resources 954m barrels (143m net). West Sinapa well still planned for late 2014.
4 Feb 2014farm in farm out agreement▲ GoodMajor
FAR signs its first Kenya Block L6 farm-in with Milio International: Milio funds a US$30m (FAR estimate) program, a 1,000km onshore 2D seismic survey and an onshore well (spud H1 2015). FAR keeps 24% onshore and 60% offshore. Needs Kenyan government approval.
19 Nov 2013investor presentation● Neutral
Melbourne Mining Club presentation repeated known facts, with the share price at 3.8c, market cap A$95m and cash A$25.7m. It showed a slightly later schedule than before: first Senegal fan well spudding end February 2014 and the second 'L' prospect well early May 2014.
29 Oct 2013drilling scheduled▲ Good
Cairn's Cajun Express rig has started drilling in its African program, with FAR's first Senegal well now expected to spud in mid first quarter 2014. The two wells test about 1.1 billion barrels unrisked. ConocoPhillips deal still awaits government approval.
2 Oct 2013investor presentation● Neutral
October 2013 conference presentation repeats known facts, with 4.4c share price, A$110m market cap and A$26.5m cash at 30 September. No new results.
13 Sept 2013half year report● Neutral
Half-year loss to 30 June 2013 was $3.63m (prior year $8.68m), including $2.0m exploration expense after an accounting policy change. Cash was $18.6m and net assets $34.4m. Operational content repeats the Senegal farm-ins and Kenya known updates.
10 Sept 2013investor presentation● Neutral
September 2013 investor presentation repeats known facts, updating the share price to 4.1c, market cap to A$102.5m and cash to A$26.7m at 6 September. No new results.
6 Sept 2013material agreement▲ GoodMajor
FAR finalises joint venture terms with Ophir for a 30% interest in Kenya Block L9, with a first well expected in 2014. It will pay about US$11m of past costs after government approval and starts a farm-down. Cash was about A$26.7m on 4 September. Resolves the L9 JOA thread.
3 Sept 2013investor presentation● Neutral
Good Oil Conference presentation repeats known facts: 7+ billion barrel inventory, five wells in 18 months, A$23.7m cash and 4.4c share price at 9 August. No new results.
12 Aug 2013investor presentation● Neutral
August 2013 presentation repeats known facts: 4.4c share price, A$110m market cap, A$23.7m cash, 132.0m unlisted options. No new results.
8 Aug 2013farm in farm out completion▲ Good
FAR receives the first US$4.8m from Cairn for Senegal back costs and hands over operatorship on 1 August. Cash is A$23.7m with no debt; a US$5.0m second payment is expected next quarter. ConocoPhillips deal still awaits government approval.
1 Aug 2013farm in farm out agreement▲ GoodMajor
ConocoPhillips farms into FAR's Senegal blocks for a 10% interest, funding a full carry of FAR through a second, deeper-water 'fan' well. FAR's stake drops to 15%, but both wells are funded, about US$190m total, with drilling expected first half 2014. Needs government approval.
30 May 2013farm in farm out completion▲ GoodMajor
Senegal's Minister approves the Cairn farm-in, so Cairn gets 65% and FAR keeps 25%, with a US$80m-capped well planned for early 2014. US$4.8m of the US$9.8m back costs is now due. Resolves the approval condition from March.
27 May 2013investor presentation● Neutral
AGM presentation repeats known facts: 7+ billion barrel inventory, five wells in 18 months, Cairn's free carry and US$9.8m, with a 2.8c share price and A$70m market cap at 24 March 2013. No new results.
16 Apr 2013contract award▲ Good
Operator Cairn has contracted Transocean's Cajun Express rig for its Africa program, with the Senegal exploration well still planned for early 2014 and FAR carried. Follows the March farm-in terms (Cairn 65%, FAR 25%, US$80m cap, US$9.8m back costs).
12 Apr 2013director officer appointment● Neutral
Commercial Manager Ben Clube, who joined in October 2012 with about 20 years' upstream finance experience, is appointed an executive director. Managing Director Cath Norman says it adds board strength ahead of a more active exploration program.
5 Apr 2013director officer appointment● Neutral
Albert Brindal retires as joint Company Secretary but stays on as a non-executive director, leaving Peter Thiessen as sole Company Secretary. Administrative change.
2 Apr 2013other● Neutral
4,750,000 unlisted consultant options (10 cent, held by Zenix Nominees and Igor Effimoff) expired on 31 March 2013. Administrative notice only.
28 Mar 2013annual report● Neutral
2012 Annual Report: Chairman says FAR plans to take part in five wells in three countries over 18 months, citing the Cairn Senegal carry for a well in early 2014. Notes Ben Clube's October 2012 appointment and Michael Evans' retirement. Largely repeats known facts.
27 Mar 2013asset acquisition disposition▲ GoodMajor
Kenya reinstates previously relinquished acreage, expanding L6 by 60% to 5,010 km2. FAR estimates the new area at 773 million barrels, lifting L6 to 3,962 million barrels (unrisked). First-well location is due after final 3D data in April, and a partner search has started.
27 Mar 2013asset acquisition disposition▲ Good
Partner Pancontinental confirms the 60% expansion of Kenya L6 to 5,010 km2 and FAR's estimate of 3,962 million barrels for the whole permit. Repeats FAR's same-day announcement and the farm-in search.
19 Mar 2013farm in farm out agreement▲ GoodMajor
Cairn Energy farms into FAR's three Senegal blocks: it takes 65% and operatorship and fully funds one exploration well up to US$80m, expected early 2014. It also pays FAR about US$9.8m for past costs. FAR keeps 25%, subject to government approval. This resolves the Senegal partner search.
4 Mar 2013investor presentation● Neutral
March 2013 presentation repeats known facts, updated for the new resource estimate: 7+ billion barrel prospect inventory, 4.6c share price, A$115m market cap, A$23.2m cash at 31 December, 74.75m options.
1 Mar 2013other▲ Good
S&P Dow Jones index notice: FAR is added to the All Ordinaries index after the close on 15 March 2013. Partner Pancontinental is removed from the ASX 300. No company-specific operating news.
27 Feb 2013resource reserve update▲ GoodMajor
FAR's new internal estimate puts about 7 billion barrels of unrisked best-estimate prospective resources (5.4bn net to FAR) across Kenya L6 (3.7bn) and Senegal (3.585bn). Discovery chances are 5-38%, and these are undrilled prospects. FAR aims to drill both before year end.
27 Feb 2013resource reserve update● Neutral
Partner Pancontinental (40% of L6) repeats FAR's new estimate of 3.7 billion barrels of oil or 10.2 tcf gas for Kenya L6, with 1.48bn barrels as its share. Duplicates FAR's same-day release.
14 Feb 2013investor presentation● Neutral
February 2013 presentation largely repeats known facts: 2,499.8m shares, 3.8c share price, A$95m market cap, A$21.0m cash. Promotes a 5bn boe prospect inventory and 5 wells in 18 months, assuming options are taken up.
2 Jan 2013other● Neutral
FAR cancels 6,500,000 incentive options (6c, expiring June 2015) because of employee terminations, leaving 70,000,000 of that class. Administrative notice only.