Ann: Africa Independents Forum Presentation, page-16

Smugtown

NPV includes future costs, so assuming $US50 per barrel, and actual cost of production less than $US30 per barrel, you can as a rough calculation multiply by $US20 per barrel, ie $Aus26.66, but lets use $Aus20 for a conservative number.

Then 96M barrels to FAR so far declared = 96 x 20 x 1m = $1.92B AUD

Thus borrow $630M to make $1.92B less $440M current market cap, ie $630m to make $1.48B.

This is also conservative since Brent oil is currently $US54 (adds $0.48B, so invest $630M to make $1.96B), and as you assume the oil quantities will rise due to VR-1 and additional drilling, and as you assume oil in the near future will be closer to $US70 or higher.

As time goes by, the NPV also creeps higher as the years to discounted revenue becomes less.