Ann: Second signficant oil discovery offshore Senegal, page-3

Second significant oil discovery offshore Senegal  Excellent quality reservoir sands with net oil pay of 36 metres  95 metre gross oil bearing column with a gas cap  Oil of 32° API from samples of gas, oil and water recovered to surface  Preliminary estimates of the contingent resource* range from P90: 150 million barrels, P50: 330 million barrels and P10: 670 million barrels (mmbbls)  Preparing to drill ahead on SNE-1 well to the deeper Aptian carbonate target FAR Ltd (ASX: FAR) has made a second oil discovery offshore Senegal in West Africa in the SNE-1 well. The SNE-1 well has discovered a 95 metre gross oil bearing column with net oil pay zone thickness of 36 metres in Albian aged sandstones which display excellent reservoir potential. High quality 32° API oil has been recovered to the surface. The SNE-1 well is located in 1,100 metres (m) water depth, approximately 100 kilometres offshore in the Sangomar block with a target total depth of ~3,000 m. Notices of Discovery for the SNE-1 well and FAN-1 well have been issued to the Government of Senegal. FAR managing director, Cath Norman, said, “This is another very significant oil find for FAR and Senegal. Based on preliminary estimates it is highly likely to be a commercial discovery.” “The SNE-1 discovery is a company making event for FAR following our earlier oil discovery in the FAN-1 well. The SNE-1 discovery has potential to lead to a large stand-alone development and is an important step forward in establishing an entirely new petroleum province which would be transformational for Senegal.” “It is incredible that FAR has made two very important oil discoveries with its first two Senegal wells. We expect to resume drilling on the SNE-1 well shortly to evaluate the deeper Aptian carbonate objective.” “The FAN-1 well intersected a significant gross 500m oil-bearing section which indicates the presence of a prolific oil generating province. The SNE-1 well proves hydrocarbons have migrated up onto the shelf area which bodes well for the extensive suite of prospects yet to be drilled in our Senegal blocks.” “FAR looks forward to working with the Government of Senegal and our joint venture partners in finalising follow up appraisal and exploration drilling plans.“

Initial analysis of the SNE-1 well data indicates:  95m gross oil bearing column with a gas cap  Excellent Albian reservoir sands with net oil pay of 36m  High quality oil of 32° API from samples of gas, oil and water recovered to surface  Operator’s preliminary estimates of the gross contingent resource* range from P90, 150 mmbbls, P50, 330 mmbbls and P10, 670 mmbbls (net to FAR; P90, 23 mmbbls, P50, 50 mmbbls, P10, 101 mmbbls)*. Further evaluation of this Albian objective is continuing. The deeper target of karstified and fractured Lower Cretaceous (Aptian age) shelf carbonates is yet to be reached. A further announcement will be issued once operations are completed on SNE-1 anticipated in late November. The first well FAN-1, drilled using the Cajun Express, discovered high quality, light oil in multiple stacked clastic reservoirs. The results of the FAN-1 well and the final analysis from the SNE-1 will be used to decide optimal follow up drilling locations to determine the extent of discovered accumulations and to evaluate the wider potential identified within the Joint Venture’s Senegal blocks. This additional activity is targeted to start in 2015. Figures 1 and 2: Location of the two Senegalese wells in the FAR 3D seismic area, offshore