Ann: Shareholder update - Senegal Project, page-78

The FAR announcement has been sent abroad, and initially appears to have been well received on open in the LSE (CNE). Problem free, and ahead of schedule is music to ones ears. The FAR and co outlined budget has us looking till next June for completion of the first 3 well phase. One would have to consider, with the proper drill rig, in which we have obtained, greater field knowledge, and the simplicity of the depths, another one to two exploration wells may be nearly sneaked into the budget.

The finalised testing of SNE-2 should be completed early January, top hole section at SNE-3 well underway, possible completion with testing, maybe mid to late febuary. Bellatrix if successful will not carry on with flow tests, neither will SNE-4. Best case scenario to finalise the first stage of the program may well leave us till late March. Eight weeks to spare!! Improved seismic, and a more educated field plan. What a bonus that would be! And certainly a lot lighter on the wallet. Let's hope for more smooth sailing.