AFR: "FAR Faces Shareholder Revolt", page-3

Still, Mr Mawhinney said FAR had specifically raised money from investors including Allan Gray to progress the Senegalese discovery, which later had to be sold because of the explorer’s under-funded balance sheet.“That’s not a blank cheque ... they don’t have carte blanche to go and spend money as they see fit,” he said, pointing also to the changed macro dynamics which has put a question mark around the whole need for further oil discoveries.“Things have changed a little bit and it’s incumbent on boards to read the tea leaves and pivot where pivoting is necessary.”He said Allan Gray, the second-biggest shareholder in FAR, would seek further engagement with the board to press home its views but was not prepared to wait another year until a possible second “strike” to take action.“Either the board acts in shareholders’ interests or the board is replaced,” he said.“It’s not trivial, it could be disruptive, and we don’t take these decisions lightly.”FAR raised more than $150 million from investors in late 2019 and early 2020 to fund its share of Sangomar costs, but a debt package arranged to also support the funding collapsed when the oil price crashed in March last year.