Is a Left Field Event Possible, page-96

This is the risk that has my attention from 2014 CNE Annual Report Page 34

Failure to maximise Senegal acreage position
– Sub-optimal acreage retention – Investment commitments not fully optimised
– Actively engage with the Senegalese Government and JV partners to agree the way forward – Production Sharing Contract terms allow for a one-year extension to the exploration licence
This risk has been added in 2014. Key developments included: – The current Senegal licence requires a Declaration of Commerciality by February 2016 and Cairn has the right to extend for a further year which has been invoked – There is a risk that the relatively short timelines for moving to the exploitation permit will restrict the technical review of the acreage and opportunities may not be fully optimised
– Declaration of Commerciality for Sangomar, Sangomar Deep and Rufisque blocks in acceptable timeframe to maximise acreage retention