Slide 1: Off Shore West Africa: World Class Oil Potential
For personal use only Off Shore West Africa Off‐Shore World Class Oil Potential INDABA FORUM CAPE TOWN 7 FEBRUARY 2011
Slide 2: Disclaimer
DISCLAIMER For personal use only This presentation has been prepared by FAR Limited (“FAR” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those se
Slide 3: Overview of FAR (ASX)
Overview of FAR (ASX) For personal use only Focus on Central Atlantic Margin of West Africa Capital Structure Shares on issue 1,244,439,784 FAR (10% WI) is i partnering t i Ophir O hi Energy E plc l in i landmark l d k Share price $0.160 West African “Kora” well (potential 453 million bbl Market
Slide 4: West Africa – World Class Oil Potential
West Africa – World Class Oil Potential For personal use only FAR 7 Licences – 23,170 , sq q km (gross) (g ) Farm‐in with Ophir gives FAR largest foothold offshore Senegal and Guinea Bissau region Page 4
Slide 5: Australian Miners Flock to Africa
Australian Miners Flock to Africa For personal use only ASX listed company investment in African resources has grown to $20 billion (source: Perth media) Number of ASX listed Miners with African focus has risen from 54 in 2003 to 174 in 2010 (source: Perth media) Operating some 500 mining and explor
Slide 6: West Africa Emerging Resources Projects
West Africa Emerging Resources Projects For personal use only Iron Ore Projects Mittal Xstrata/Sphere $2 Billion Guelb El Aouj Commitment Mittal Rio $1.5 Billion $3 Billion Commitment Simandou deal Buchanan value l BHP $3 Billion $ African Minerals Commitment Tonkolili Tolo Range etal $6B deal value
Slide 7: What's Missing on the Map and Why?
What’s Missing on the Map and Why? For personal use only High potential basins – mega projects likely (source‐Anadarko) No Deepwater Wells ever drilled here but that’s about to change g With FAR’s Kora well Prospective Deepwater basins (purple) Page 7
Slide 8: Geological History
Geological History For personal use only 130 122 108 152 164million million million Current Earth Shape years years yearsago ago ago Courtesy Petrobras
Slide 9: FAR Offshore West Africa Summary
FAR Offshore West Africa Summary For personal use only AGC Profond Block (FAR earning 10% WI1) Ophir O hi as operator to drill d ill the h “Kora” “K ” wellll in i April A il 2011 Well is targeting a prospect with mean prospective oil resources of 453million bbl (100% basis) 16 prospects on b
Slide 10: Central West African Exploration
Central West African Exploration For personal use only Mauritania - Tullow Cormorant discovery Q1 2011 Planned deep water wells Sidewinder 300mmboe Q4 2010 AGC/Senegal – Ophir/FAR No deepwater Kora 453mmboe Q2 2011 wells <2010 *Venus Sierra Leone - Tullow Mercury Mercury discovery Q4 2010 Jupiter 25
Slide 11: Who has the acreage tied up?
Who has the acreage tied up? For personal use only Tullow FAR FAR 7 Licences 23,170 sq km (gross) FAR has the largest acreage holding of any ASX entity in West Africa and first mover advantage Page 11
Slide 12: A look at some 2010 West African deal values
A look at the some 2010 West African deal values For personal use only African Petroleum commits to +US$60m for 60% of 2 offshore African Petroleum Gambian Licences acquires Blocks l k 8&9 in $500 million transaction Dana pays US$19.6m for 23% offshore Guinea Chevron purported Ch t d to have paid $1
Slide 13: African Petroleum Gambian play overlaps into FAR Senegal Licence
African Petroleum Corp Ltd Gambian play overlaps into FAR Senegal Licence For personal use only FAR Senegal Licence boundary Senergy indicates total unrisked mean recoverable potential for 2 Gambian licences (A1,A4) at 4.6 billion barrels 2500sqkm TGS Nopec 3D Gambian survey late 2010 Page 13
Slide 14: West African Exploration Adjacent to FAR
West African Exploration Adjacent to FAR For personal use only First deep water well African Petroleum 2500 Q2 2011 AGC/Senegalg sq km 3D Gambian survey and drill one well to earn 60% FAR Licences 100% WI Senegal 21.4% WI Guinea Bissau 10% 0% WI AGC G Maersk Deliverer due on Ophir/FAR p / to drill 4
Slide 15: Snapshot of Kora Well
Snapshot of Kora Well For personal use only Seismic traverse approximately through the Play l elements l southern h MSGBC Basin proposed Kora ‐1 location Kora Prospect structure map with strong Seismic amplitude extraction from the CSEM response over eastern feature Albian section over the Kora Pros
Slide 16: Following the smart money
Following the smart money For personal use only Former Petrobras block Frank Timis Mining Billionaire Sheik Mohammed Al‐ Amoudi (43rd richest Mittal family (5th richest person in world) owns person in world) owns in 100% of Svenska, FAR’s excess of 20% of Ophir partner in Guinea Bissau With the exce
Slide 17: FAR (100% WI) Senegal – Large 3D defined Prospect Inventory
FAR (100%WI) Senegal ‐ Large 3D defined Prospect Inventory For personal use only FAR has acquired 2050 km2 3D seismic at a cost of US$14 million in 2007 3D interpretation and slope fan attribute work completed Q1 2008 FAR moved to 90% and became Operator in December 2008 Multiple Santonian a
Slide 18: FAR's (100% WI) Senegal 3D defined drill targets
FAR’s (100%WI) Senegal 3D defined drill targets For personal use only Page 18
Slide 19: Guinea Bissau – FAR 21.4% WI
Guinea Bissau – FAR 21.4%WI For personal use only 3 Blocks, 5,832 sq km. Billion barrel Dome Flore discovery lies immediately north “Sinapa” oil discovery located in 30m of water, P50 STOOIP of 240million bbl 3D seismic acquisition program with the objective of identifying appraisal drilling l
Slide 20: Comparison with other West African Explorers
Comparison with other West African Explorers Licences FAR Limited African Petroleum Hyperdynamics Senegal 3 G i Guinea Bi Bissau (2 (2,4A,5A) 4A 5A) 3 FAR has 7 licences across 3 For personal use only AGC Profond 1 Liberia (8 & 9) 2 offshore jurisdictions (only contracted Licences included ‐ does no
Slide 21: Conclusion
Conclusion For personal use only FAR has established an early mover advantage in West Africa where exploration is set to intensify and big deals are being done With a market capitalisation of around $200 million and $38 million cash FAR has high leverage to the near term high impact “Kora” well