If this board is going to "review" all strategic alternatives to preserve shareholder value in the longterm then one would imagine they will need to divert from their usual business model.
Cap raise and dilution at weak share prices whilst paying very handsome salaries has been the norm for so long it will mean some serious changes in the boards thought processes.
ALL strategic alternatives.
This could be interesting and will be VERY telling on the personal attributes of our board.
The first most obvious preservation of shareholder valuation is to hold onto the cash. To that end the first port of call is administration cost reductions. The second is to avoid bleeding into the Sangomar cash calls at 15%.
The last 100 years have proved that oil has made successful countries....well successful. That is not going to change overnight and somewhere in the not too distant future Sangomars oil will be in demand again. So will the potential of The Gambia tenements. We just need to arrive there intact and without another twenty billion shares issued.
My biggest fear over the last few years is that FAR would arrive in the next market downturn with its pants down. That has now become a reality. They not only have their pants down but they are firmly gripping their ankles.
It will take some very honest appraisals of their options and abilities to assess ALL strategic alternatives to preserve shareholder holder value. Going on past strategies that doesn't bode well.
Maybe it's time that the major shareholders of this company became a little bit more interested and a little bit more involved.
Good luck all.
FAR Price at posting:
1.2¢ Sentiment: None Disclosure: Held
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