FAR LIMITED — Interim / Quarterly Report 2018

Apr 29, 2018

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01 January – 31 March 2018
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Highlights

• PETRONAS joins FAR to drill offshore The Gambia

• The Samo Prospect in Block A2, The Gambia assessed by FAR to contain prospective resources of 825mmbbls oil*

• Independent Resources Report completed by RISC confirm 2C Contingent resource of 198mmbbls * in the FAN discovery, offshore Senegal

• FAR appoints General Counsel, Michael Cowie

• AGM to be held Wednesday 30th May 2018

• Cash and term deposits at end of quarter of AU$40.4M

Projects update

Offshore Senegal

RSSD (Rufisque, Sangomar and Sangomar Deep) Senegal

The RSSD joint venture continued to progress predevelopment activities for the first phase of the SNE Field development.

To this end, tenders for the FPSO, subsea equipment and drill rigs were released early in the quarter and responses are expected by end of May.

The extensive SNE field with an area covering approximately 350km[2] has been assessed by FAR to contain 640mmbbls on a full field basis (100% basis, best estimate, Contingent Resources, unrisked).

The joint venture aims to submit the SNE Field Evaluation Report to the Government by end of June and the Exploitation Plan for the development in September, for approval by the Government by the end of the year. The joint venture is targeting Final Investment Decision (FID) in mid-2019 and first oil between 2021 and 2023.

The development concept being considered by the joint venture is a standalone FPSO facility with subsea wells and infrastructure. The project will be designed to allow flexibility for anticipated subsequent development phases with subsea tie backs from other reservoir intervals and fields.

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Figure 1. Location of the FAR RSSD and Gambian licences

• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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During the quarter, FAR completed detailed geotechnical studies and reviewed the contingent resources attributed to the FAN discovery that was made in 2014, and prospective hydrocarbon resource potential in the undrilled prospects and leads in the RSSD permits. These assessed contingent and prospective resources were reviewed by RISC Operations Limited Pty Ltd (RISC) and summarised below.

The FAN discovery contingent resource estimate detailed in Table 1 below have been calculated based on FAN-1 well log interpretation and mapping using the 3D seismic and a�e set out i� ‘I“C�s �epo�t a�d assess�e�t of the probabilistic resource evaluation carried out by FAR in accordance with industry standard SPE-PRMS definitions. A development project is contingent on further appraisal, formulation and approval of a field development plan and financing.

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Figure 2. Location of RSSD wells drilled to date

The FAN discovery is approximately 20kms from a

development hub planned at the SNE field and hence is well within tie back distance estimated to be approximately 30kms. FAR has assessed the SNE field to contain 641mmbbls oil* (96mmbbls net to FAR, see ASX announcement dated 23 August 2016).

Table 1. Sum�ary of oil �o�ti�ge�t resour�es �MMst�� i��luded i� RISC’s Mar�h ���8 report

	Gross			Net Attributable	Net Attributable
	1C	2C	3C	1C	2C	3C
FAN Discovery (MMstb)	30	198	637	4	27	87

1. Gross are 100% of the resources attributable to the licence.

2. Net attributable are reported o� the �asis of FA‘�s �u��e�t �o�ki�g i�te�est sha�e of ��%. Pet�ose� has a� optio� to i���ease its �o�ki�g i�te�est th�ough the e�ploitatio� phase �hi�h �ould �edu�e FA‘�s �o�ki�g i�te�est to ��.�%.

3. The contingent estimates are not adjusted to reflect the Production Sharing Contract entitlement on net economic interest basis.

FAR has further reviewed the undrilled prospects, integrating data from the 3D seismic survey acquired in 2015, reprocessed data from the existing 3D survey and data from the 11 successful oil wells now drilled in the RSSD acreage. These prospects have been reviewed by RISC and an Independent Resources Report for these prospective resources has been provided to FAR. Table 2 below details the prospective resource inventory in the RSSD acreage as reviewed by RISC.

Table 2: Inventory of prospective resources in the undrilled RSSD mapped prospects

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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Djiffere block option

In the articles in the publications, �Upst�ea�� ��� Jul� ����� a�d �Af�i�a I�tellige��e Weekl�� ��� Fe��ua�� �����, a�d the a��ou��e�e�t of � No�e��e� ���� o� Cap E�e�g� PLC�s �e�site, �a�ious allegatio�s ha�e �ee� �ade �ega�di�g “e�egalese Cou�t hea�i�gs �o��e��i�g Cap E�e�g� a�d FA‘, FA‘�s participation in those alleged hea�i�gs a�d the g�a�ti�g of a� alleged lie� o�e� FA‘�s “e�egalese assets. FA‘ �efutes those allegatio�s a�d advises as follows:-

1. FA‘ has �ot �ee� se��ed �ith a�� do�u�e�ts �ega�di�g the se�uest�atio� of FA‘�s assets i� “e�egal.

2. FAR has not appeared, nor been requested to appear, in any Court in Senegal. Specifically, FAR has never engaged, nor been represented by, Maitre Ibrahima Mbengue whose involvement as a representative of FA‘ �as �ited i� Cap E�e�g��s �e�site state�e�t, the Upstream article and the Africa Intelligence Weekly article.

3. FAR representatives met with Judge El Hadji Boubo Ndaiye, cited in the Upstream article as authorizing Cap E�e�g� o� �� Ju�e ���� to �egiste� a lie� o�e� FA‘�s assets. Judge Ndai�e ad�ised that he had not rendered any judgement against FAR on that date. This was confirmed by other Court officials who advised that Judge Ndaiye did not sit on any case on that date. The administrator of the Court registry advised that no case of seizure or regist�atio� of lie� �o��e��i�g FA‘�s assets o� Cap E�e�g� �as the subject of any order or judgement.

4. FAR has obtained Certificates from the office of the Registrar of the Trade and Personal Property Credit Register (RCCM), Dakar High Court of Special Jurisdiction, which, FAR understands, certify that there exist no liens or pledge over the shares, business assets extended to operating equipment and other accessories of FAR registered with the RCCM.

5. Subsequent to the Quarter, FAR has also obtained a Certificate from the Dakar High Court of Special Jurisdiction confirming that there exists no case between Cap Energy and FAR and no decisions have been rendered by the Court from June 2017.

In relation to the false allegations, FAR is considering its options against Cap Energy and the publications, Upstream and Africa Intelligence Weekly.

A2/A5, The Gambia

During the quarter FAR signed a Farm-out Ag�ee�e�t ��FOA�� �ith a su�sidia�� of Pet�olia� Nasio�al Be�had ��PET‘ONA“�� to assig� a ��% i�te�est i� ea�h of the highl� p�ospe�ti�e offsho�e pet�oleu� li�e��es, Blo�ks A� and A5 in The Gambia. PETRONAS will fund 80% of total well costs of the Samo-1 exploration well up to a maximum total cost of US$45.0 million. At the time of announcement and based on a completion date of 31 March, FAR was to be paid estimated cash of US$13.5 million for reimbursement of back costs and cash �o�side�atio�. I� additio�, PET‘ONA“ �ill fu�d FA‘�s sha�e of �o�-well costs up to a maximum amount of US$1.5 million.

Completion of the FOA is subject to Ministerial approval from the Government of The Republic of the Gambia and customary joint venture consents and is expected to be forthcoming during the June quarter. An announcement to the ASX and update to the settlement costs, estimated to be approximately US$14M, paid by PETRONAS will be made at this time.

FAR will retain a 40% working interest and remain Operator through the exploration phase of the A2/A5 licences, including the drilling of the Samo-1 well. PETRONAS has a right to become the Operator for development.

The Samo-1 well is expected to be drilled in late 2018 and will be the first exploration well offshore The Gambia since 1979. FAR estimates the Samo Prospect contains prospective resources of 825mmbbls oil* (best estimate, 100%, unrisked - refer ASX announcement of 21 Nov 2017 ).

In events following the end of the quarter, FAR announced that the Samo-1 well will be drilled with the Stena DrillMAX deepwater drillship and that FAR is on schedule to drill in late 2018.

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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Kenya L6 Block (24% Operator interest)

No update from previous quarter

NW Shelf (Australia) (100% Operator)

No update from previous quarter

Community and Social Responsibility

FAR works with local Gambian communities and local NGOs to identify suitable projects for its Corporate Social Responsibility program. To date FAR has completed 3 community projects which have been viewed positively by each of the communities impacted. All projects are approved by the Ministry of Petroleum and Energy as part of its annual work program obligations and all the works undertaken are completed and directly funded by FAR. FAR does not donate or contribute to politicians, political parties or political causes.

FAR completed The Tallinding School Toilet rehabilitation project in Serekunda The Gambia. The Tallinding Project

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started as short term fund raising to help with the establishment of a four roomed Nursery School in the area known as Tallinding, which is part of Serekunda, the largest town in The Gambia, West Africa. Due to the success of the project, the foundation then continued building to accommodate the children as they got older and now has a pupil population of 3000 served by only 2 working toilets. The school had six other toilet blocks that were no longer usable due to extensive damage to plumbing and structures. FAR were pleased to rehabilitate all six toilet blocks.

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FAR also completed waste management support for Serakunda markets by purchasing and distributing app�o�i�atel� ��� �aste �i�s to the �a�ket�s lo�al community. The bins have been located at strategic intervals within the market area to hold all waste awaiting collection by Municipality waste trucks. This has already significantly reduced and eliminated the build-up of uncovered waste and hence the associated health hazards and adverse social impacts.

FAR completed the distribution of footballs and football equipment to 10 youth teams in The Gambia including two all-girl teams. FAR plans to begin a new community project next month.

Corporate

FAR was pleased to appoint Mr Michael Cowie as General Counsel, effective April 2018. The role of General Cou�sel is �e� to FA‘ a�d is �ep�ese�tati�e of the g�o�th i� the Co�pa���s e�plo�atio� a�ti�ities a�d strategic focus. Michael will provide dedicated in-house legal advisory services to the Company as part of the leadership team.

Michael has over 25 years of oil and gas legal, negotiations and commercial experience. His recent focus was in liquefied natural gas �ith �MIMI� Mitsu�ishi/Mitsui i��ludi�g floati�g LNG. Mi�hael�s ea�lie� �a�ee� �as �ith Mallesons, BP and BHP based in Melbourne, London and Houston. Michael has a Bachelor of Laws with Honours degree and a Bachelor of Science degree from Monash University, is a Fellow of the Australian Institute of Company Directors and a long-standing member of the Association of International Petroleum Negotiators and the Law Institute of Victoria.

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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Management comment and events post end of quarter

On writing the last quarterly report, the Brent oil price touched US$70/bbl in what was a welcome recovery of the oil price. In the last week, we have seen Brent surge to US$75/bbl and a healthy reaction from the investing community as confidence in the oil sector grows.

Once again, FAR has had an extremely fruitful quarter of activities to start the 2018 year.

In our flagship project offshore Senegal, the JV has passed through the Concept Select stage and tenders have now been released for the FPSO, subsea equipment and drill rigs and responses to the tenders are due at the end of May. These tender responses will give the JV a first look at the CAPEX for the SNE development in more detail than the estimates we have used for previous assessments of the economics of the field development. As the Operator has publicly stated, we are confident that the CAPEX costs previously quoted will be discounted by as much as 25% as a result of the slow recovery of the oil services sector.

At the same time, the JV will be finalising the resources that will be developed in Phase 1 of the SNE field development as we progress the finalisation of the Evaluation Report and Exploitation Plan to be submitted to the Government in June and September respectively.

We are expecting Government of Senegal approval of the Exploitation Plan at the end of 2018 and to achieve a Final Investment Decision (FID) in mid-2019.

As discussed in detail in the last quarterly report, FAR has now released its assessment of the contingent resources for the oil discovery at FAN-1 and a view of the prospectivity of the remaining undrilled prospects and leads. Both have been reviewed by RISC in their Independent Resources Report. The addition of 198mmbbls of 2C contingent resources (gross, unrisked, recoverable) to the 641mmbbls of 2C equivalent resource assessed in the SNE discovery means that the 2C contingent resources discovered in the RSSD acreage now totals 839mmbbls with 126mmbbls net to FAR. The FAN discovery is within tie-back range of the planned hub development over the SNE field and is anticipated to be developed in later phases of the SNE field development. FAR has been recently des�ri�ed as possi�l� Australia�s �est oil e�plorer for �� �ears a�d �e hope to add to our dis�o�ered, re�o�era�le resource base with the forthcoming Samo-1 exploration well to be drilled offshore The Gambia.

Last quarter, FAR announced that following the Government approval for the farmin to the A2 and A5 blocks in April of 2017, FAR had assumed the role of Operator of the blocks and plans were underway to drill the giant Samo prospect in late 2018. During this current quarter, we were extremely pleased to announce a farmout to PET‘ONA“ �here PET‘ONA“ �ill �u� 4�% of FA‘ �s 8�% �orki�g i�terest �� pa�i�g for 4�% of the total �ell �osts (to a cap of US$45M) and pay cash consideration of approximately US$8.6M excluding their 40% share of ongoing operational and well costs until completion. As a result, FAR will remain operator through the drilling of the planned Samo-1 well and retain 40% working interest. It is a testimony to the quality of the Gambian opportunity that FAR was able to farmout to a company of the calibre of PETRONAS and we look forward to working with them going forward. The deal will formally close on Government of The Gambia approval which is expected to be forthcoming in the June quarter.

In events post the end of the quarter, FAR announced that a contract with Stena Drilling for the use of the Stena DrillMax for the Samo-1 well was executed. We are delighted to have secured the Stena DrillMAX as it was our rig of choice given it completed a highly successful, efficient and under budget drilling campaign for our Senegal joint venture in 2017. Further, we have secured 2017 day rates for the rig.

In another event post the end of the quarter, Erin Energy Corporation announced on 25 April 2018 that it and certain of its subsidiaries had filed voluntary petitions under Chapter 11 of the United States Code in the United States Bankruptcy Court for the Southern District of Texas, Houston Division to pursue a plan of reorganization. FAR understands that Erin Energy Gambia Ltd, which holds the 20% interests in the A2 and A5 licences in The Gambia, is not one of the subsidiaries which has filed a petition. FAR believes that Erin Energy Corporation has been in financial difficulties for some time and that Erin Energy Gambia Ltd is in default of payments to FAR Gambia Ltd as Operator of the A2 and A5 joint ventures – so the filing of the petitions has not come as a surprise to FAR. Erin Energy Gambia Ltd has been given default notices under the applicable joint operating agreements. FAR has rights under those joint operating agreements when a co-venturer becomes insolvent. FAR is taking advice on these matters and is assessing its position. A further ASX announcement will be made when appropriate.

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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“o�e �edia reports o�er the last t�el�e �o�ths a�d a state�e�t o� Cap E�erg��s �e�site ha�e alleged that Cap E�erg� had �ee� gra�ted a lie� o�er FA‘�s assets i� “e�egal. FA‘ �ishes to i�for� shareholders that it has received written confirmation from the Dakar High Court of Special Jurisdiction that no such liens exist and that no court appearances, hearings or judgements took place in relation to this alleged lien. While FAR has continuously and strongly refuted the accuracy of the allegations made by Cap Energy and certain media outlets, FAR is very disappointed that media outlets continued to and knowingly publish related articles that were without factual substance. FAR is giving consideration to its next course of action on this matter. FAR acquired a 3D seismic survey over a part of Djiffere permit in 2015 which is the sole property of FAR. FAR does not intend to progress with funding the drilling of an exploration well on the Djiffere permit and we are currently in discussions with Trace Atlantic regarding the sale of the 3D seismic data.

FAR completed two community programs in The Gambia during the quarter. We met the challenge by a local charity to match their donation of 100 wheelie bins to the Serakunda market – a popular market and tourist attraction outside Banjul and also completed the upgrade of the Tallinding primary school in Banjul. The Tallinding primary school is host to 3000 students and had only 2 working toilets before our renovation. We are very proud to be playing a role in increasing the quality of life and education for young students in The Gambia.

We enter this quarter with a healthy cash position of $40.38M which is ahead of forecast by A$6M, largely as a result of slowed expenditure in Senegal. We are forecasting a net spend of A$100K for the forthcoming quarter, so the mid-year cash balance is expected to be A$40.37M. This low quarterly spend is because we are expecting an inflow of A$18.1M from settlement of the PETRONAS farmin.

FAR welcomes Michael Cowie as our i�house legal �ou�sel. Mi�hael�s �a�� �ears of i�dustr� e�perie��e are a huge asset to FAR and he is already having a positive impact on the company having been at his desk now for three months.

The International Chamber of Commerce arbitration that FAR initiated in June last year to seek its right to pree�pt Co�o�oPhillips� sale of its 35% working interest in the Senegalese RSSD project to Woodside is ongoing. FAR has been advised by the International Court of Arbitration of the ICC that the president of the arbitral tribunal was appointed on 13 April 2018. FAR expects to give a further update once a timetable going forward is known.

We are looking forward to our Annual General Meeting of Shareholders in Melbourne on Wednesday, 30 May, to be held once again in the offices of Baker & McKenzie.

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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Disclaimers

*Prospective Resource Estimates Cautionary Statement - With respect to the Prospective Resource estimates contained within this report, it should be noted that the estimated quantities of Petroleum that may potentially be recovered by the future application of a development project may relate to undiscovered accumulations. These estimates have an associated risk of discovery and risk of development. Further exploration and appraisal is required to determine the existence of a significant quantity of potentially moveable hydrocarbons. The Prospective Resource estimates provided in this report are Low Estimate, Best Estimate and High Estimate and represent that there is a 90%, 50% and 10% probability respectively that the actual resource volume will be in excess of the amounts reported.

Prospective and Contingent Resources - All contingent and Prospective Resource estimates presented in this report are prepared as at 27/2/2013, 11/3/2014, 5/2/2014, 13/04/2015, 13/4/2016, 23/08/2016, 7/2/2017 and 21/11/2017 (Reference: FAR ASX releases of the same dates). The estimates have been prepared by the Company in accordance with the definitions and guidelines set forth in the Petroleum Resources Management System, 2007 approved by the Society of Petroleum Engineer and have been prepared using probabilistic methods. The contingent resource estimates provided in this report are those quantities of petroleum to be potentially recoverable from known accumulations, but the project is not considered mature enough for commercial development due to one or more contingencies. The Prospective Resource estimates provided in this report are Best Estimates and represent that there is a 50% probability that the actual resource volume will be in excess of the amounts reported. The estimates are unrisked and have not been adjusted for both an associated chance of discovery and a chance of development. The 100% basis and net to FAR contingent and Prospective Resource estimates include Government share of production applicable under the Production Sharing Contract.

Competent Person Statement Information - The hydrocarbon resource estimates in this report have been compiled by Peter Nicholls, the FAR Limited exploration manager. Mr Nicholls has over 30 years of experience in petroleum geophysics and geology and is a member of the American Association of Petroleum Geology, the Society of Petroleum Engineers and the Petroleum Exploration Society of Australia. Mr Nicholls consents to the inclusion of the information in this report relating to hydrocarbon Contingent and Prospective Resources in the form and context in which it appears. The Contingent and Prospective Resource estimates contained in this report are in accordance with the standard definitions set out by the Society of Petroleum Engineers, Petroleum Resource Management System.

Forward looking statements - This document may include forward looking statements. Forward looking state�e�ts i��lude, are �ot �e�essaril� li�ited to, state�e�ts �o��er�i�g FA‘�s pla��ed operatio� progra� a�d other statements that are �ot histori� fa�ts. Whe� used i� this do�u�e�t, the �ords su�h as ��ould�, �pla��, �esti�ate�, �e�pe�t�, �i�te�d�, ��a��, �pote�tial�, �should� a�d si�ilar e�pressio�s are for�ard looki�g statements. Although FAR Ltd believes its expectations reflected in these are reasonable, such statements involve risks and uncertainties, and no assurance can be given that actual results will be consistent with these forward looking statements. The entity confirms that it is not aware of any new information or data that materially affects the information included in this announcement and that all material assumptions and technical parameters underpinning this announcement continue to apply and have not materially changed.

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

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Top 10 shareholders (as at 27 April 2018)

	Shareholder	Units	%
1.	CITICORP NOMINEES PTY LIMITED	865,213,665	15.84
2.	HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED	791,749,477	14.50
3.	FARJOY PTY LTD	514,463,236	9.42
4.	J P MORGAN NOMINEES AUSTRALIA LIMITED	255,674,206	4.68
5.	MR REX SEAGER HARBOUR	108,612,253	1.99
6.	MR OLIVER LENNOX-KING	75,647,869	1.39
7.	BNP PARIBAS NOMS PTY LTD	70,822,675	1.30
8.	TOAD FACILITIES PTY LTD	67,528,589	1.24
9.	NATIONAL NOMINEES LIMITED	63,778,877	1.17
10.	HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED	51,546,945	0.94
	TOTAL	2,865,037,792	52.47

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• Refer to Cautionary Statement in this report (page 7) relating to estimates of prospective resources

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

+Rule 5.5

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10, 01/05/13, 01/09/16

Name of entity

FAR Ltd ABN Quarter ended (“current quarter”) 41 009 117 293 31 March 2018

Consolidated statement of cash flows	Current quarter $A’000	Year to date (3 months) $A’000
1. Cash flows from operating activities 1.1 Receipts from customers 1.2 Payments for (a) exploration & evaluation (b) development (c) production (d) staff costs (e) administration and corporate costs 1.3 Dividends received (see note 3) 1.4 Interest received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Research and development refunds 1.8 Other (provide details if material) 1.9 Net cash from / (used in) operating activities	- (5,620) - - (1,271) (321) - 149 - - - -	- (5,620) - - (1,271) (321) - 149 - - - -
	(7,063)	(7,063)
2. Cash flows from investing activities 2.1 Payments to acquire: (a) property, plant and equipment (b) tenements (c) investments (d) exploration and evaluation	(70) - - (2,808)	(70) - - (2,808)

• • See chapter 19 for defined terms

1 September 2016

Page 1

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

Consolidated statement of cash flows	Current quarter $A’000	Year to date (3 months) $A’000
2.2 Proceeds from the disposal of: (a) property, plant and equipment (b) tenements (see item 10) (c) investments (d) other non-current assets 2.3 Cash flows from loans to other entities 2.4 Dividends received (see note 3) 2.5 Other – payment for performance bond 2.6 Net cash from / (used in) investing activities	- - - - - - -	- - - - - - -
	(2,878)	(2,878)
3. Cash flows from financing activities 3.1 Proceeds from issues of shares 3.2 Proceeds from issue of convertible notes 3.3 Proceeds from exercise of share options 3.4 Transaction costs related to issues of shares, convertible notes or options 3.5 Proceeds from borrowings 3.6 Repayment of borrowings 3.7 Transaction costs related to loans and borrowings 3.8 Dividends paid 3.9 Other (provide details if material) 3.10 Net cash from / (used in) financing activities	- - - - - - - - -	- - - - - - - - -
	-	-
4. Net increase / (decrease) in cash and cash equivalents for the period 4.1 Cash and cash equivalents at beginning of period 4.2 Net cash from / (used in) operating activities (item 1.9 above) 4.3 Net cash from / (used in) investing activities (item 2.6 above) 4.4 Net cash from / (used in) financing activities (item 3.10 above) 4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of period	49,927 (7,063) (2,878) - 396	49,927 (7,063) (2,878) - 396
	40,382	40,382

• See chapter 19 for defined terms

1 September 2016

Page 2

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts	Current quarter $A’000	Previous quarter $A’000
5.1 Bank balances 5.2 Call deposits 5.3 Bank overdrafts 5.4 Other – Term deposits 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above)	7,023 26,059 - 7,300	3,992 36,335 - 9,600
	40,382	49,927

6. Payments to directors of the entity and their associates 6.1 Aggregate amount of payments to these parties included in item 1.2 6.2 Aggregate amount of cash flow from loans to these parties included in item 2.3	Current quarter $A'000
	633

• 6.3 Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2 – included in the above payments to directors in 6.1 are the 2017 bonuses paid to the Executive Directors as disclosed in the 2017 Annual Report and special exertion fees to a Non-Executive Director for services in relation to the Senegal project development financing.

7. Payments to related entities of the entity and their associates

Current quarter $A'000

• 7.1 Aggregate amount of payments to these parties included in item 1.2

• 7.2 Aggregate amount of cash flow from loans to these parties included in item 2.3

• 7.3 Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2

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• See chapter 19 for defined terms 1 September 2016

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Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

8. Financing facilities available Add notes as necessary for an understanding of the position Total facility amount at quarter end $A’000 Amount drawn at quarter end $A’000 8.1 Loan facilities - - 8.2 Credit standby arrangements - - 8.3 Other (please specify) - - 8.4 Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include details of those facilities as well.	Total facility amount at quarter end $A’000	Amount drawn at quarter end $A’000
	-	-
	-	-
	-	-

9. Estimated cash outflows for next quarter	$A’000
9.1 Exploration and evaluation (net inflow) 9.2 Development 9.3 Production 9.4 Staff costs 9.5 Administration and corporate costs 9.6 Other (provide details if material) 9.7 Total estimated cash outflows*	(1,000) - - 750 350 -
	100

*The exploration and evaluation cash inflow of $1m represents estimated cash outflows of $17m for the quarter less estimated cash inflows of AU$18m (US$13.5m) relating to estimated proceeds from the farmout of the Gambian Blocks A2/A5 to PETRONAS announced on 26 February 2018.

10. Changes in tenements (items 2.1(b) and 2.2(b) above)	Tenement reference and location	Nature of interest	Interest at beginning of quarter	Interest at end of quarter
10.1 Interests in mining tenements and petroleum tenements lapsed, relinquished or reduced
10.2 Interests in mining tenements and petroleum tenements acquired or increased

• See chapter 19 for defined terms 1 September 2016

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Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

Sign here:

............................................................ (Company secretary)

Date: 30 April 2018

Print name: Peter Thiessen

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.

2. If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. See chapter 19 for defined terms 1 September 2016

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