FAR’s gas sales during the quarter totalled 39.3 million cubic feet for an average of 0.43 million cubic feet per day at an average price of US$7.48 per thousand cubic feet before production taxes.

Oil sales during the quarter totalled 5,269 barrels for an average of 58 barrels of oil per day at an average price of US$49.96 per barrel before production taxes.

Second quarter revenues amounted to $729,720 representing an increase of 32% over the First Quarter.

“Revenues are set to increase from these levels with the addition of production from the Bay Courant and Welder Ranch and re-completions at Lake Long, Louisiana,” FAR said in an ASX statement.

“The company views the USA, particularly the Gulf Coast area, as the key to building a production and reserve base… given the proliferation of hydrocarbons, the robust energy pricing regime and the established infrastructure.”

During the June quarter, completion operations began on two wells at Welder Ranch, Texas. The operator, US-based Dune Energy expects sales to start this month.

Production also commenced at Bay Courant, Louisiana and progress was made toward the drilling of wells at two other Louisiana prospects, South Grosse Tete and Lake Long. Far and partners also began working towards drilling at the Eagle prospect in California and the Rainosek Project area in Texas.

“This activity is expected to result in an improvement in FAR’s production profile in due course as successful wells are added to the production stream,” the company said.

“New production will also attract energy prices prevailing in the USA approximating US$7-8 per thousand cubic feet for gas and up to US$60 per barrel for oil.”