FAR Limited and Svenska Petroleum Exploration, a Joint Venture partners, have reported that in response to the ongoing elections in Guinea Bissau, the Joint Venture has postponed plans to drill the first well until March 2015.
FAR and its Joint Venture partner Svenska Petroleum Exploration AB have approved a work program and budget which includes one firm appraisal well and one contingent exploration well.
A revised budget and work program for the 2014 period is now being compiled.
To remind, in December 2012, the Government of Guinea-Bissau approved a 3 year extension to the current exploration term. The extension period began on 26 November 2012 and has no work program obligations.
The Sinapa appraisal well will be drilled into the Sinapa Oil field discovered by Premier in 2004. If this well is a commercial success then a further exploration well will be drilled. FAR has a 21.43% paying interest and 15% working interest in the Sinapa and Esperanca blocks offshore Guinea-Bissau. During the quarter FAR completed an internal assessment of the contingent and prospective resources in its Guinea-Bissau blocks.