While drilling the A Sand interval between 9,320 and 9,380 feet, the background gas increased to 385 units associated with an increase in drill rate penetration. While drilling the E Sand interval between 10,080 and 10,110 feet, background gas increased to 585 units associated with an increase in drill rate penetration.

Whilst these sands were not specifically targeted in the current drilling, they are productive elsewhere in the field and will be further evaluated when electric logs are run prior to setting intermediate casing at approximately 11,820 feet.

Provided the well remains on schedule, the top of the Krumbhaar interval should be penetrated within the next 48 hours after which the well will be cased prior to drilling into the Upper, Middle and Lower Hollywood objectives below 11,816 feet.

FAR is participating in the Lake Long Deep Test well by paying five percent of the well (before completion) reducing to a working interest of 4.09375% (after completion).

To date, FAR has participated in four wells within the field, all of which have resulted in commercial production. Existing facilities within Lake Long will enable early sales into the central production system with Columbia gas and Amoco being the ultimate product purchasers, although field capacity would need to be upgraded in the event of a large gas discovery.