• Woodside Energy to make provisional 2024 Contingent Payment of US$11.5 million
• FAR to seek shareholder approval for capital return of 8 cents per share
• Proposed capital return of approximately A$7.4 million

FAR Ltd (ASX: FAR) has provided an update on the 2024 Contingent Payment from Woodside Energy. Woodside has advised that the precise amount of the payment is subject to an ongoing reconciliation process with joint venture participants and the Senegalese Ministry of Energy, Petroleum and Mines. In the interim, Woodside will make a provisional payment of US$11.5 million, expected to be received by FAR in May 2025. The final payment amount will be adjusted based on the outcome of the reconciliation process. FAR also announced that Woodside has advised of a potential claim under the sales and purchase agreement relating to the sale of FAR's interest in the RSSD Project. FAR continues to liaise with Woodside to provide information supporting past expenditure. Upon receipt of the provisional 2024 Contingent Payment, FAR's directors consider that the company will have surplus capital, which they believe should be returned to shareholders. However, the directors intend to retain sufficient funds to cover a potential claim from Woodside. Accordingly, FAR will seek shareholder approval for a proposed capital return of 8 cents per share, returning approximately A$7.4 million to shareholders. The proposed capital return is expected to follow a similar format and process to the capital reductions conducted in 2021 and 2023, and FAR intends to seek a class ruling from the Australian Taxation Office to confirm the tax treatment.