"Risk to the upside"

These are Cath's words about the appraisal program. Repeated often in person and in announcements and presentations. Just in last week's 8 February announcement and IP we saw the following:

"SNE appraisal is to test the upside potential at SNE

Strong potential to get larger (than the 468 mbbls 2C and 940mbbl 3C upgrade announced)

Results [to date] will lead to further Resource Revisions

We continue to be very pleased with the progres of the SNE appraisal."

And this was all stated after SNE-3 had reached TD and been cored and logged .... so there is no chance that SNE-3 had poor results to that point (and her expectation for flow testing must have been good too based on what was apparent at drilling and logging).

I did this "review" of what FAR has stated to reassure myself that the risk remains to the upside. And regarding "value" in FAR ... even if only the 468mbbls 2C were to be confirmed as reserves then FAR's share of that being 70mbbls plus cash on hand has to support at least the current share price. And as Aqua likes to say that's before SNE-3 and Bel upside, before anything for FAN, ad all the other prospects (1.5 billion barrells), and before anything for GB and the Differje block.

Conclusion: I'm comfortable holding!

H