extremely bullish after bouncing off support, page-32

Alchemist

Great point but I'm not sure if there's a diplomatic career waiting in the wings...LOL

I agree others major companies will be queuing up for a slice of the pie if Shell don't go ahead. (Shell won't miss this low cost opportunity given Senegal’s large fan plays giving huge potential & Shell's need to find new reserves to satisfy future profitability).
We shouldn’t forget that Hunt oil under took a Global Marketing Campaign on Senegal so I'm sure there are other replacements for Shell (See article 1 below).

Also as per an earlier post FAR has been gifted this rare opportunity for a small resource company by Hunt Oil courtesy of the GFC. Ironic but without the GFC FAR would be farming out their 30% in Senegal to be free carried, but instead now find themselves the operator and if the option is taken up by Shell will be free carried for the first well but now will have a 20% stake untouched. With international companies bidding in excess of excess of US$3.1 billion in signature bonuses alone for other African exploration blocks back in 2006 (see reference 2 below) just how much has Hunt oil given this little aussie battler & FAR shareholders?

> Reference 1

OFFSHORE WEST AFRICA
PROSPECT MARKETING COMMENCES
FAR advises that Hunt Oil Company (“Hunt”) has commenced a global marketing campaign
aimed at securing a drilling partner on prospects defined by 3D seismic offshore Senegal.
Data rooms have been opened in both Woking in the United Kingdom and Dallas, Texas to
enable the review of technical information.
Further work by Hunt has derived reservoir parameters that confirm a range of probabilistic
oil in place (OOIP) estimates for a very large shelf edge closure and multiple fan systems.
Particular focus has been drawn to analogue fields including Cantarell recognized as a super
giant accumulation being Mexico’s and perhaps North America’s largest. In pre-rift time
Senegal was considered to be adjacent to Mexico before the African and American continents
pulled apart.

>REFERENCE 2

Participants
Interests in the Senegal project are held as follows:
Senegal Hunt Oil Company (Operator) 60%
First Australian Resources Limited 30%
Petrosen (State Oil Company) 10%
Other Activity – West Africa
A recent auction of acreage in the Congo Basin, offshore Angola for three deepwater
exploration tracts saw international oil companies bid in excess of US$3.1 billion in signature
bonuses alone reportedly the highest ever offered for exploration anywhere in the world.
Further information is available in an article published by Business Week dated 7 June 2006.
Commenting on the announcement, FAR’s executive Chairman Michael Evans said
“FAR is pleased to see the 3D seismic contract has been awarded to the French contractor
CGG and we look forward to firming up some substantial drilling targets. It is also reassuring to see the magnitude of interest being shown by the oil sector along the West
African coastline where FAR has gained an early foothold on very favourable terms”.