FAR Ltd. has held discussions with the government of The Gambia on possible next steps for the offshore Blocks A2/A5 licenses.

The initial exploration period for both is due to expire on Sept. 30. FAR operates with a 50% interest.

Following the completion of new regional and detailed subsurface studies, including seismic processing and integration of various datasets acquired across the blocks, and results from the Bambo drilling campaign, the company has high-graded three prospects for potential future drilling.

Panthera, Jatto and Malo each contain multiple potential oil-bearing reservoir targets.

Talks with the government have centered on terms for the First Extension Exploration Period, which would allow the company to consider options for delivering value while minimizing its expenditure over the two-year extension period.

FAR’s board aims to capitalize on the exploration data so far acquired, including two unsuccessful wells already drilled, without having to draw down significantly on existing capital.

It will pursue a transaction with a suitably qualified party to achieve this strategy.

Elsewhere, FAR has withdrawn from Exploration Permit WA 458 P off Western Australia, which it operated with a 100% interest.