Pre drill the dotted black line earmarked the field {at scale} to approximately 50km2 from center of SNE width x breadth.
Post drill I make it about 396km2. Admittedly, the majority of the red patches indicating oil were contained in the original
field size, however, that's a decent field increase nonetheless.
{Page 28} - First appraisal well SNE2 earmarked at 2km north of SNE into the dark red section {targeting the 1C of 150mmboo}.
SNE3 earmarked about 5km out north east on the edge of the red ring {targeting 330mmboo 2C}
Eventually, 10km on the edge of the green ring will be tested for the p10 of 670mmboo.
{Page 21} - Sirius & Soleil are targeting the same albian sands as SNE-referred to as the "little brother & sister" with "wonderful
closure". Up dip seal proven to work at SNE1. Bellatrix targeting a cenomanian reservoir. If we drill into Bellatrix it should be
easy to test the depth & extent of SNE to help prove up that 670mmboo P10. They are very confident of proving up 330mmboo
2C--"low risk" appraisal. CN remains a tad dubious as to whether the Fans could be tied back into the shelf as there still
remains a 400m water depth differential. "Up to COP" she said.
{Page 26}. That 1.5bboo best estimate does NOT include Beer or SNE. CN also mentioned that COP would not likely
proceed to building a production facility unless 700mmboo was deemed recoverable on the shelf/SNE. "We'll get there"
was her comment.
{page 30}. - Apparently CNE have already mapped some prospects just north of the last BH targets in the shaded section
{Sangomar Deep}, although CN referred to them as "woolly". FAR happy to close off the seismic for the eastern part of
our existing prospects and leads in Sangomar Deep. To the north in Rufisque {40-800m water depth}, jack up rigs in this
area would be v economical if we were to eventually pursue favourable prospects. Further north of the Dakar peninsula we
agreed that {certainly on the evidence thus far} Mauritania and further north were gas prone and south of the peninsula
was oil prone. The recent Kosmos gas discovery in Mauritanian waters looks huge. The southern part of that block continues
on into Sengalese waters.
And finally, onto that other little elephant in the room, the CR. My question was as follows.
In regards to the final well analysis on SNE/FAN would you be expecting to release a further update in regards to ;
1. Possible upgrade of SNE contingent resource from the current 330mmboo?
2. Perm figures for SNE?
3. Por/perm figures Beer?
Does the tight hole policy preclude this information being released or is it still being analysed at this stage.?
Response ; "The tight hole policy only applied to the drilling stage". Of course what is deemed material must be released. I thought
the body language was a bit effusive to the question & the answer seemed to back it up..."Highly unlikely". Deemed immaterial were
the thickness of sands/intervals, depth & pressure regimes, permeability figures and age of the source rocks. Later at coffee it was
"I DON'T want to release it". I had long been a critic of any supposed commercial advantage remaining 8 months after discovery,
however, I came away with a different viewpoint. All our focus is now on the North West African Margin--as an aside Kenya would
be more than willingly sold for cash or scrip is the way i read it. GB remains on the radar. FAR {independently of COP & CNE} have been canvassing distressed companies that have acreage in around ours. Who contacted who remains unclear to me but FAR look to be in
discussions with one, if not a few. They have no idea or access to the data we have in relation to possible SNE look a likes. CN said
something to the effect that the prospects they were mapping based on their interpretation of the SNE structure looked nothing like
we have. Basically commit to Seismic of the block with our expertise/data thrown in, farm in for 60% operator and sell 30% this time
to a major and keep 30%--something along those lines anyway. So, maybe funds are needed for upcoming commitments as well. That
may well be $$ well invested at this early stage for an SNE look a like structure in Sengalese waters. Hell, we're spending $ on seismic for
the Atum prospect a few hundred km's south in GB, targeting an SNE look a like. So, for cost over-runs, possible addition of extra acreage,
ongoing expenses, seismic expenses Senegal and $ still in the bank come the completion of A&E, we would be looking to raise about $40m
{my guess} pre-appraisal. Retail investors were deemed good for "$15-30m".
When and IF that CR happens remain unclear. I thought a catalyst would come in the form of an update maybe on SNE resource but
that appears to be all but ruled out. Some information can be expected on the rig rates/contract and possible new acreage in the
interim.
That's about it for now.
GLTAH
FAR Price at posting:
10.5¢ Sentiment: Buy Disclosure: Held
(20min delay)