FAR LIMITED — Investor Presentation 2014

Apr 28, 2014

FAR’s African story is ready to unfold

Resources Rising Stars Conference 29 April 2014

Cath Norman Managing Director FAR Limited ASX:FAR

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*Reference ASX releases dated 27 Feb 2013, 5 Feb 2014, 11 Mar 2014, best estimate, gross, unrisked prospective resources, 100% basis, oil only

Capital Structure
ASX Ticker	FAR
Shares on issue	2,499,846,742
Share price*	A$0.044
Market capitalisation*	A$110M
Cash (31 March 2014)	A$26.6M

Board & management Nicholas Limb, Non-Executive Chairman Catherine Norman, Managing Director Ben Clube, Executive Director and Commercial Manager Charles Cavness, Non-Executive Director Albert Brindal, Non-Executive Director

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*As at 24 April2014

Exposure to world class emerging O&G areas

• 9 exploration licenses in 3 West and East African countries, combined 31,400 km[2] area

• 2 wells with Cairn and ConocoPhillips offshore Senegal commenced April 2014

Senegal Kenya Unexplored frontier Exciting frontier Billion barrel potential Large equity positions AGC Profond Multiple prospects Expansive acreage Guinea-Bissau Sinapa discovery Drill ready

*Reference ASX releases dated 27 Feb 2013, 5 Feb 2014, 11 Mar 2014, best estimate, gross, unrisked prospective resources, 100% basis, oil only

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FAR’s prospects in offshore West Africa

Strong acreage position in Senegal, Guinea Bissau & AGC Profond

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Senegal

• Funded through drilling of two wells

• Drilling commenced April 2014

• Partners are Cairn Energy (40%) and ConocoPhillips (35%)

• Approx US$196M to be spent on drilling

• FAR received US$10M in cash

• Testing 1.5 billion barrels of oil in two wells, 225 million barrels net to FAR[* ]

• Size of total prize pool 3.5 billion barrels oil, 525 million barrels net to FAR[* ]

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RUFISQUE, SANGOMAR & SANGOMAR DEEP OFFSHORE 16.7% paying interest, 15% beneficial interest Operator: Cairn Energy PLC

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*From FAR internal prospective resources 27 Feb 2013, best estimate, gross, unrisked prospective resources, 100% basis, oil only

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Senegal: Prospects and Leads summary

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• Petroleum system established – Rufisque Dome

Sangomar prospects and leads

• World class source rocks

• Drilling shelf edge and deepwater fan

• 550 million barrels[*] in shelf well (SNE-1)

• 900 million barrels[*] in deepwater fan well (FAN-1)

• 3.5 billion barrel[* ] follow up potential in

• success case

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*From FAR internal prospective resources 27 Feb 2013, best estimate, gross, unrisked prospective resources, 100% basis, oil only

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Senegal: Planned FAN-1 well

*North Fan prospect prospective resources **	*North Fan prospect prospective resources **
North Fan(H 82)	117 mmbbls
North Fan(H 85)	199 mmbbls
North Fan(H 88)	151 mmbbls
North Fan(H 89)	165 mmbbls
Total	632 mmbbls
Total net to FAR	95 mmbbls

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West East
Approximate North
Fan Well location
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• *From FAR internal prospective resources 27 Feb 2013, best estimate, gross, unrisked prospective resources, 100% basis, oil only

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Senegal

Rig has been mobilised and has commenced drilling offshore Senegal

• Testing approximately 1.5 billion barrels of prospective resources[* ]

• Significant follow-up potential on success

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*Unrisked best estimate, 100% basis as per FAR ASX release dated 27 February 2013

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Guinea-Bissau and AGC

• One block in AGC, three blocks offshore Guinea-Bissau

• Large permit area > 15,000 km[2]

• Large upside exposure in Senegal success case

• Proven oil-prone basin

• 1 billion barrels prospective resources identified offshore Guinea-Bissau[* ]

• Includes Sinapa oil field

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BLOCKS 2, 4A & 5A 15% interest Operator: Svenska Petroleum

AGC PROFOND 8.8% interest Operator: Ophir Energy PLC

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• Unrisked best estimate, 100% basis as per FAR ASX release dated 4 February 2014

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FAR’s prospects in East Africa

Large equity in Kenya’s fast emerging oil and gas province

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Kenya

• Large acreage position in Lamu Basin

• Two exploration blocks

• Great neighbours in BG, Anadarko, Total, ENI…

• Acreage tightly held

• BG discovered hydrocarbons in L10A

• Apache discovered gas in L8

• Anadarko encountered liquids in L7 and L11B

• Proven oil at both ends of kitchen!!

• Further drilling in 2014 by BG and Anadarko

• FAR free carried through seismic and a well in L6 commencing June 2014

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BLOCK L6 60% interest offshore 24% interest onshore Operator: FAR Limited

BOCK L9 30% interest Operator: Ophir Energy PLC

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• Reference FAR ASX Dec quarter report dated 31 January 2014

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Kenya

• Drill ready prospects defined on 3D seismic

• Fully carried through the acquisition of

• 1000kms

• 2D seismic and one onshore well in Block L6 by

Milio International of Dubai (~US$30M program)

• Actively farming down offshore well in Block L6

and L9

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• Reference FAR ASX Dec quarter report dated 31 January 2014

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Kenya Block L6 : Prospects and leads

Onshore

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Block 6 prospects & leads

• Farmout deal concluded with Milio International

• Fully carried on 2D seismic and well

• Program to commence mid 2014

Offshore

• Drillable prospects defined on 3D seismic

• Identification of new Miocene reef play drilled by BG in early 2014: Sunbird-1

• 3.7 billion barrel oil prospectivity[*] in block

• Shallow water < 350m

• Kifaru prospect: 178 million barrels oil[* ]

• Tembo prospect: 327 million barrels oil[* ]

• Multiple follow drill targets in success case

• FAR retains 60% equity

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*From FAR prospective resources 27 Feb 2013. Best estimate, unrisked prospective resources , 100% basis, oil or gas

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Kenya: Community relations

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Community awareness program, coast of Kenya

Mark Jenkins addressing a local community along the coast

Locating the Kipini-1 wellhead

Collecting data for the Environmental Impact Assessment

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A busy year ahead

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2014 2015
SENEGAL
Drill Planning Drilling Drilling Evaluation of Drilling
Sangomar Profond
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
BG/Anadarko
KENYA
Farmout Onshore Seismic Acquisition & Processing Drill Planning Drilling Evaluation of Drilling
L6
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
KENYA
Farmout Drill Planning Drilling Evaluation of Drilling
L9
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
GUINEA BISSAU
Drill Planning Drilling Evaluation of Drilling
Blocks 2, 4A & 5A
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Australia
G &G 3D Seismic Acquisition & Processing
NWS
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
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This timetable is indicative and final timetable will be determined when government approvals, availability of rigs and seismic vessels are confirmed

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FAR’s African story is unfolding

• Approximately $27M cash

• 5 wells to be drilled in next 12 months…

• 3 free carried wells in program totaling approximately $230M

• • Drilling program has commenced testing 1.5billion barrels of oil

• Kenya story yet to unfold

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Disclaimer

• This presentation has been prepared by FAR Limited (‘FAR’). It should not be considered as an offer or invitation to subscribe for or purchase any shares in FAR or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for shares in FAR will be entered into on the basis of this presentation.

• This presentation contains forward-looking statements that are not based on historical fact, including those identified by the use of forward-looking terminology containing such words as ‘believes’, ‘may’, ‘will’, ‘estimates’, ‘continue’, ‘anticipates’, ‘intends’, ‘expects’, ‘should’, ‘schedule’, ‘program’, ‘potential’ or the negatives thereof and words of similar import.

• FAR cautions that these forward-looking statements are subject to risks and uncertainties that could cause actual events or results to differ materially from those expressed or implied by the statements. The forward looking statements are expressly subject to this caution. FAR makes no representation, warranty (express or implied), or assurance as to the completeness or accuracy of these forward-looking statements and, accordingly, expresses no opinion or any other form of assurance regarding them. FAR will not necessarily publish updates or revisions of these forwardlooking statements to reflect FAR’s circumstances after the date hereof.

• By its very nature exploration and development of oil and gas is high risk and is not suitable for certain investors. FAR shares are a speculative investment. There are a number of risks, both specific to FAR and of a general nature which may affect the future operating and financial performance of FAR and the value of an investment in FAR including and not limited to economic conditions, stock market fluctuations, oil and gas demand and price movements, regional infrastructure constraints, securing drilling rigs, timing of approvals from relevant authorities, regulatory risks, operational risks, reliance on key personnel, foreign currency fluctuations, and regional geopolitical risks.

• This presentation does not purport to be all inclusive or to contain all information which you may require in order to make an informed assessment of the Company’s prospects. You should conduct your own investigation, perform your own analysis, and seek your own advice from your professional adviser before making any investment decision.

• Cautionary Statement for Prospective Resource Estimates – 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.

• Information in this report relating to hydrocarbon resource estimates has been compiled by Peter Nicholls, the FAR 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 Exploration Geophysicists and the Petroleum Exploration Society of Australia. Mr Nicholls consents to the inclusion of the information in this report relating to hydrocarbon Prospective Resources in the form and context in which it appears. The 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.

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