Thanks for a very professionally documented submission. After 15 years of frustration with this co. was about to sell today, but you now have my full support fro 68,000 shares.
Bob
“Following the drilling of the Bambo wells, FAR, as Operator of the Joint Venture, is revising the work to be undertaken in 2022 and accordingly, the budget for the works. The current, Joint Venture approved 2022 budget is US$9.56 million (50% to the account of FAR and 50% to co-venturer, Petronas) and FAR expects to reduce this by approximately 40% to US$5.7 million for the 2022 year. This will require review and voting for the amended work program and budget by the Joint Venture which is scheduled for March. Petronas are supportive of reducing the 2022 budgeted expenditure.”
yes, they are doubling down on drilling. obviously this will not stand. the amount net to FAR is $2.8mm as it currently stands (for the full year); I imagine some portion of this is already in the process of being spent (but I did budget for $2mm of exploration leakage in my numbers).
At the worst case I would aim/expect for the board to be spilled by the AGM given this attitude. Will keep you all posted.
that is an excellent suggestion. as per HDG, i don’t think there is any downside to adding more voices to the chorus. I would encourage anyone who does wish to write, to do so, echoing perhaps the broad proposal I outlined (end all drilling; large capital return program through accretive tender; board renewal; negotiation for exit of drilling licences w/ Petronas and early exit of earnout from Woodside; etc).
I have written a letter – did you deliver yours via email? or post? I am trying to find an email address for Mr O’Connor…
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I have sent an email to p.oconnor@far.com.au That seems to be the format for emails at FAR and it hasn’t bounced, so I assume it’s gone through…
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as an update – in the single day since this has gone out, about 5.7% of the register has already reached out to me to confirm they are broadly in agreement with my agenda for the company. that is a pretty large number in the context of this register and is quite a strong sign we have good momentum here.
as time allows i will continue to spread the word (podcasts, etc) in the coming days and weeks.
For anyone else who would like to send a message to Mr O’Connor, his email address is – p.oconnor@far.com.au (I have sent him a message at this address and received a reply).
my take on the target statement. basically they are in wind-down mode, but without admitting it, and trying to milk salaries etc whilst they do it. also the opportunity cost on not tendering for the stock whilst it is this cheap is massive and remains a clear value-accretion opportunity. no change to my view/agenda.
Thanks Jeremy. Very thoroughly articulated and extremely well documented.
– Doug
thanks Doug! let’s hope the board gets the message 🙂
The letter looks great! Hopefully the Board takes us seriously. Thanks Jeremy.
Notif. Well done, Jeremy.
great job. Hope they respond.
Thanks for a very professionally documented submission. After 15 years of frustration with this co. was about to sell today, but you now have my full support fro 68,000 shares.
Bob
Dear Bob – thank you very much for your vote of support. Hopefully we can get some of your capital back here ultimately.
They’re making the case for more drilling…
https://far.live.irmau.com/irm/PDF/43084529-473a-493c-a9ec-3ffff5a3360d/Gambiaprojectupdate
“Following the drilling of the Bambo wells, FAR, as Operator of the Joint Venture, is revising the work to be undertaken in 2022 and accordingly, the budget for the works. The current, Joint Venture approved 2022 budget is US$9.56 million (50% to the account of FAR and 50% to co-venturer, Petronas) and FAR expects to reduce this by approximately 40% to US$5.7 million for the 2022 year. This will require review and voting for the amended work program and budget by the Joint Venture which is scheduled for March. Petronas are supportive of reducing the 2022 budgeted expenditure.”
yes, they are doubling down on drilling. obviously this will not stand. the amount net to FAR is $2.8mm as it currently stands (for the full year); I imagine some portion of this is already in the process of being spent (but I did budget for $2mm of exploration leakage in my numbers).
At the worst case I would aim/expect for the board to be spilled by the AGM given this attitude. Will keep you all posted.
Is it worthwhile others writing letters of support yet? Or wait to receive managements response first? I currently own a similar amount to you…
that is an excellent suggestion. as per HDG, i don’t think there is any downside to adding more voices to the chorus. I would encourage anyone who does wish to write, to do so, echoing perhaps the broad proposal I outlined (end all drilling; large capital return program through accretive tender; board renewal; negotiation for exit of drilling licences w/ Petronas and early exit of earnout from Woodside; etc).
I have written a letter – did you deliver yours via email? or post? I am trying to find an email address for Mr O’Connor…
I have sent an email to p.oconnor@far.com.au That seems to be the format for emails at FAR and it hasn’t bounced, so I assume it’s gone through…
as an update – in the single day since this has gone out, about 5.7% of the register has already reached out to me to confirm they are broadly in agreement with my agenda for the company. that is a pretty large number in the context of this register and is quite a strong sign we have good momentum here.
as time allows i will continue to spread the word (podcasts, etc) in the coming days and weeks.
short supportive email sent to the IR contact
Notifs
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Cheers Jeremy, you’ve got my vote!
Notifs
For anyone else who would like to send a message to Mr O’Connor, his email address is – p.oconnor@far.com.au (I have sent him a message at this address and received a reply).
thanks a lot for this! i was writing to the company sectretary but better to contact the Chairman directly.
my take on the target statement. basically they are in wind-down mode, but without admitting it, and trying to milk salaries etc whilst they do it. also the opportunity cost on not tendering for the stock whilst it is this cheap is massive and remains a clear value-accretion opportunity. no change to my view/agenda.
https://twitter.com/puppyeh1/status/1496682717484060673