question for sellers, page-21

re: question for holders - chart Look at the share prices of some significant oilers that are not partners in the Beibu JV:

ARQ - 23% off recent highs.
AWE - 10% off recent highs.
HDR - 13% off recent highs.
OSH - 11% off recent highs.


In comparison look at the share prices of companies involved in the Beibu (China) JV:

(The shares are listed in order of dependance on the success of Beibu. eg. Beibu is highly significant to FAR as it has no other producing assets, and ROC is the least dependant.)

FAR - 42% off recent highs.
HZN - 44% off recent highs.
PSA - 36% off recent highs.
ROC - 21% off recent highs.

It is clear from this data that the market is discounting Beibu's success. Has it discounted PSA by too great a margin? And is all hope lost? Imo, yes to the first Q, and no to the second.

Mr Fern was not too enthusiastic re Beibu at last year's AGM, and perhaps for good reason.

The company has grown to a massive size in the past (reserves exceeding 300bcf in 1997) based on its GOM operations alone. I think current weakness presents an opportunity to accumulate...