Hi Mr. H ....Regardless of the noise at the AGM it will make little difference unless the major shareholders want action. A duster at Samo and a duster with PE .....does that attract the boot?
FAR is in an interesting position with regards to a takeover... on the one hand we have just declared FID and booked reserves and, as you would be aware, that now elevates FAR into the sights of other Oilers looking to increase reserves....on the other hand we have 2 of our largest (declared) shareholders who are sitting on stakes in the company which we roughly know the price of.... approx 6c for Meridian and 7c for Tim.
I haven't been following the other shareholders, but regardless, between Tim and Meridian we have ample blocking stakes.
Having said that....if Meridian go hostile they could come at the rest of the register which we know are 4.25c and up..... so the possibility of Meridian getting the 90% to force Tim, ourselves and the other large holder(I forget his name) to sell is there....but would require some very hard work and prices above 4.25c.
So I'm assuming that if there is a takeover then it would be friendly and through the acceptance of the board and shareholders which, all things being equal, should be north of 8c.
Are our reserves worth 8c? we will soon find out when the Canny Scotsmen complete their sell down.
Meridian must be busting to buy on market at these prices....maybe he is, but is there enough real volume for him? We will soon find out. Probably it's just disgruntled holders, traders and closing shorts.
Hopefully a bounce with the drill this year in Gambia otherwise it's the slow grind into 2023.
I'm assuming we should see the reserves value come back into our SP as we bed down finance and commence drilling and flow testing.
FAR Price at posting:
2.9¢ Sentiment: Buy Disclosure: Held
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