Value of SNE, page-22

CN cannot control the price the market places on FAR shares. However, she can ensure that the market is adequately informed regarding capital requirements, operating costs and possible returns from projects that FAR is involved with. Consistent with this, and in order to ensure proper valuations are made, it would be good to see forecasts of projected production, capital expenditure, revenue and expenditure for the SNE project. The forecasts can be based on either the forward market price for oil and/or broker forecast price for oil. Either way it doesn't matter, it would certainly help ensure a more informed market and help people in their future decisions to continue to hold, buy or sell at future prices for FAR shares.

I seriously believe that NPV per barrel by itself can be a very misleading indicator of value particularly when the project starts to provide significant positive cash flow which can be used to finance additional growth projects that a company may already have on its books but which may only be assigned a nominal value at the present. Being able to see what cash flows, earnings etc a company could be achieving in 5 to 10 years time would significantly help shareholders estimate what the company share price could be over those years, not just a spot valuation for today.

Regards


SP