Proactive Investors - Run By Investors For Investors

FAR Ltd begins engineering design work at SNE oil field offshore Senegal

The SNE oil field is estimated to contain 640 million barrels of 2C contingent resources.
Map of FAR prospects offshore Senegal
FAR aims to reach a final investment decision on the SNE oil field in 2019

FAR Limited (ASX:FAR) has begun front-end engineering design (FEED) activities for phase-one development of its SNE oil field offshore Senegal.

The FEED will aim to finalise budget, schedule and technical definition of the oil field’s development before a final investment decision is reached in 2019.

SNE is being developed through a joint venture agreement with FAR acting as operator and holding a 15% interest in the project.


FAR managing director Cath Norman said the start of FEED activities was a significant milestone for the joint venture’s development of the SNE field.

Norman said: “From discovery to entering FEED in a four-year period, especially given the general market conditions, is a substantial achievement for the joint venture.

“In addition to the commencement of FEED, the joint venture project financing has now commenced.

“It has been a successful 2018 for the SNE field development project and we look forward to working closely with the joint venture and Government of Senegal as we progress the final investment decision in 2019.”

READ: FAR Ltd completes major milestone for the SNE oil field

The SNE field is being developed in phases, with the first targeting an estimated 230 million barrels of oil resources from 11 producing wells, 10 water injectors and two gas injectors.

This phase will primarily target the lower, less complex reservoirs.

FAR expects its floating production storage and offloading (FPSO) vessel to have a capacity of around 90,000 barrels of oil per day in the first phase, with first oil targeted for 2022.

READ: Far Ltd remains upbeat after completing Samo-I well

FAR recently completed drilling the Samo-1 well offshore from The Gambia, encountering oil shows at several levels which indicate the area has access to an active hydrocarbon charge system.

As the first offshore well in 40 years and the first modern well, the data from Samo-1 and the ongoing interpretation will be critical to unlocking the area’s hydrocarbon potential.

Although the well will be abandoned due to wireline logs indicating the main target horizons are water-bearing, the drilling has provided new subsurface information that will help the company understand the geological play along the shelf edge.

The Gambia’s government has confirmed a six-month extension to the current licence to allow for evaluation of the Samo-1 well results.

View full FAR profile View Profile

FAR Ltd Timeline

December 13 2018

Related Articles

oil and gas operations
November 12 2018
“The shares have been range bound recently, however, we believe that CERP now has a stronger platform for achieving its combined organic and acquisitive growth strategy"
Biomass power station
The AIM-listed renewable energy and forestry management business has developed a fuel substitute called CoalSwitch made from waste wood normally left to decompose following forestry operations
October 24 2018
Echo recently completed a four-well workover campaign at Fraccion D, while earlier in the year four exploration wells were drilled back-to-back.
Copyright ©, 2019. All Rights Reserved - Proactive Investors North America Inc., Proactive Investors LLC

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use