FAR secures Senegal extension

First Australian Resources (FAR) has gained a one-year extension to a production-sharing contract for three blocks offshore Senegal.

Offshore staff

SUBIACO, Australia -- First Australian Resources (FAR) has gained a one-year extension to a production-sharing contract for three blocks offshore Senegal. The license had been due to expire on November 22.

FAR operates the Rufisque, Sangomar, and Sangomar Deep blocks with a 90% interest, the remainder held by the Senegalese national oil company Petrosen. FAR says the extension will assist the continuing farm-in process following Shell’s decision not to participate in the blocks.

The company has provided data packages for various other interested international E&P companies, and technical reviews are currently in progress. FAR/Petrosen are seeking a farm-in partner or partners to drill an exploration well, preferably with access to rigs and a proven capacity to operate deepwater wells.

To date the joint venture has met all obligations under the contract’s first renewal period. It has acquired over 2,000 sq km (772 sq mi) of 3D data, analysis of which has led to the identification of several plays and drilling prospects. It has also conducted a controlled source electromagnetic study, funded by Shell.

11/16/2009

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