FAR Limited [ASX:FAR] are making sure they’re not missing out on the mining boom that has taken place.
Like many other mining companies, FAR has gone out of its way to reap the rewards of their hard work while capitalising on its efforts.
Today the oil and gas exploration company’s shares grew by 4.55%, making this increase the largest it has experienced for a whole year.
FAR has been busy, to say the least.
They have undertaken necessary measures to profit from its joint venture in Senegal, as well as other projects which are currently in development.
How are FAR’s results looking?
During the beginning of the year, FAR had completed geotechnical studies by reviewing resources that they had discovered back in 2014.
Due to their discoveries, further drilling potential has been breached, and new mining prospects and resources are now available to harvest from its projects.
FAR’s Senegal joint venture is also going through new stages of development.
Currently, the joint venture is aiming to submit further field evaluation, so they may issue a report for the government by the end of June.
The project’s design is purposed to enable a sense of flexibility, while pushing through new measures of production.
On its quarterly report FAR stated:
‘In our flagship project offshore Senegal, the JV has passed through the Concept Select stage and tenders have now been released for the FPSO, subsea equipment and drill rigs and responses to the tenders are due at the end of May.
‘These tender responses will give the JV a first look at the CAPEX for the SNE development in more detail than the estimates we have used for previous assessments of the economics of the field development.
‘As the Operator has publicly stated, we are confident that the CAPEX costs previously quoted will be discounted by as much as 25% as a result of the slow recovery of the oil services sector.’
These projects are contributing to FAR’s stable relevancy in its sector, as they can help build up the company’s portfolio.
The FAR road ahead
Finalising resources and pushing through first-phase developments on its ventures are FAR’s current objectives.
FAR has completed its most recent quarter with a steady cash position of $40.38 million, which enables them to enhance its business practice.
For Money Morning
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