Ann: Trading Halt-FAR.AX, page-98

3M,
Pls refer the xsection & 3D section in Cairn's preso last month. They have a txt book case with minor variation of the gross oil column thickness in 4 wells at 9km length, ie, 100, 103, 96, 101m. Whether this conitnues at SNE-4 located 6kms east of SNE-3 is yet to b seen. Key factor is the Oil pressure gradient & water gradient, should b consistent across the gross oil column ie OG of 1 psi/metre.

The hidden factor is the solution gas. Referred to as Gas oil ratio. Cairn pointed out in their CMD last May that SNE has a GOR of 650 scf/bbl. Think Jubilee has a high GOR but have 6 sands with 2 separate OWC's which is very unique.

So once u produce oil the gas expands & at the same time the gas in the gascap squeezes downwards. Thus giving a high flowrate. Over time this balances out & the water injctr wells come into play as they simply flush the oil out.

I think from a connectivity perspective they need to understand if any local faults r present. Think of a whole loaf of bread & a sliced loaf. U dont want the later at SNE, trust me as that will mean drilling and targetting diff compartments to flush the oil via horizontal wells.

Hope this helps. cheers