Risk of Changes in Reserve and Resource Estimates

Risks associated with these estimates include the risk of differences between estimates and actual conditions, including possible differences in quantity, volume and other geological conditions, increased production costs and capital expenditure, and others. These estimates are potentially inaccurate and needy adjustments that have the potential to have a material impact on business activities, financial condition, results of operations and business prospects of the Company. This risk can be minimized by increasing the accuracy of analysis of drilling data, the use of independent parties to provide an assessment of estimated reserves and resources, and other independent parties in valuing projects.