Far Ltd · ASX:FAR
Far — Good Oil Conference 2010
17 slides from Far's conference presentation, Sep 7, 2010
Slide 1: West Africa: World Class Oil Potential
FAR For personal use only West Africa World Class Oil Potential Good Oil Conference 2010
Slide 2: Disclaimer
For personal use only DISCLAIMER ¾ This presentation does not constitute an offer to sell securities and is not a solicitation of an offer to buy securities. It is not to be distributed to third parties without the consent of FAR Limited. (“FAR”). ¾ This presentation contains forward‐looking stateme
Slide 3: Africa Downunder Conference
For personal use only Africa Downunder Conference • Australian miners flock to Africa • ASX companies Investment in African resources has grown to an estimated $20 Billion • No. of ASX listed miners in Africa has risen from 54 in 2003 to 170 in 2010 ‐ operating nearly 500 mines and exploration proje
Slide 4: Let's Look at the Map of Africa
For personal use only Let’s Look at the Map of Africa FAR 6 Licences ‐ 13,332 sq km
Slide 5: Let's focus on West African Minerals
For personal use only Let’s focus on West African Minerals Iron Ore Projects only Mittal Extrata/Sphere $2 Billion Guelb El Aouj Commitment Mittal Rio $1.5 Billion $3 Billion Commitment Simandou deal Buchanan value BHP $3 Billion African Minerals Commitment Tonkolili Tolo Range etal $6B deal value G
Slide 6: What's Missing on the Map and Why?
For personal use only What’s Missing on the Map and Why? High potential basins – mega projects likely ? No Deepwater Wells ever drilled here but that’s about to change Prospective Deepwater basins (purple)
Slide 7: Whose got the acreage tied up?
For personal use only Whose got the acreage tied up? Tullow FAR FAR 6 Licences 13,332 sq km FAR has the largest acreage holding of any ASX entity in West Africa and first mover advantage
Slide 8: What's the exploration scene
What’s the exploration scene Mauritania - Tullow Planned deep For personal use only Cormorant 700mmboe Q3 2010 water wells Sidewinder 300mmboe Q4 2010 No deepwater AGC/Senegal – Ophir wells <2010 Kora 467mmboe Q1 2011 *Venus Sierra Leone - Tullow Mercury 450mmboe 2010 Jupiter 250mmboe 2011 Liberia –
Slide 9: What's changing adjacent to FAR - when?
For personal use only What’s changing adjacent to FAR ‐ when? First deep water well Q1 2011 AGC/Senegal FAR Licences 90% Senegal 15% Guinea Bissau Maersk Discoverer due on location Q1 2011 Ophir to drill 429 Est. well cost < $US35m mmbbl Kora prospect in 2600 m water Chance of Success >50% based on
Slide 10: Follow the smart money
For personal use only Follow the smart money Sheik Mohammed Al‐ Amoudi (43rd richest Mittal family (5th richest person in world) owns person in world) owns in 100% in Svenska, FAR’s excess of 20% in Ophir partner in GB Interestingly with the possible exception of Anadarko recent exploration success
Slide 11: Look at the 2010 deal values
For personal use only Look at the 2010 deal values African Energy commits to +US$50m for 60% of 2 offshore Gambian Licences African Energy pays > $A500 m for Blocks 8 & 9 Dana pays US$19.6m for 23% offshore Guinea Compare FAR carrying value A$15m on 6 Licences
Slide 12: Gambian play overlaps into FAR Licence
For personal use only Gambian play overlaps into FAR Licence Synergy indicates total unrisked mean recoverable potential for 2 Gambian licences at 4.6 billion barrels FAR Senegal Licence boundary
Slide 13: FAR's Senegal 3D defined drill targets
For personal use only FAR’s Senegal 3D defined drill targets 13
Slide 14: Large 3D defined Prospect Inventory - Senegal
Large 3D defined Prospect Inventory ‐ Senegal Acquired 2050 km2 3D seismic at a cost of US$14 million in 2007 For personal use only 3D interpretation and Slope fan attribute work completed Q1 2008 FAR moves to 90% and becomes Operator December 2008 Multiple Santonian age fan systems with sta
Slide 15: Compelling case to enter next Licence phase
Compelling case to enter next Licence phase For personal use only ¾ provide more certainty to potential farminees. ¾ seek recovery of the US$5m surety in any farmout. ¾ provide additional time to procure a drilling partner. A number of potential partners are currently studying the data. ¾ An adjacen
Slide 16: Guinea Bissau
For personal use only Guinea Bissau 1640 sq km
Slide 17: Conclusion
For personal use only Conclusion 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 $34 million and >$10 million in the bank, it creates a compelling exploration story.