The Company aims to create sustainable shareholder value by expanding and developing its portfolio of upstream oil and gas assets. In order to achieve this the Company intends to pursue the following strategy:

Pursue organic-led future growth with scope for add-on acquisitions

The Company is pursuing growth principally through organic reserve and resource additions in its core areas. The Group operates anchor assets in each core area, which are in proven basins with growth characteristics, and where the Directors believe technical risks are low due to the management's knowledge of the geology and petroleum system. Production and reserve growth is targeted from current developments, discoveries and step-out exploration prospects in each of the core areas.

The Company will consider taking advantage of opportunities to further develop its position or increase its participating interests in its core areas through acquisitions to complement its organic growth strategy. These add-on acquisition opportunities can both deepen and broaden the Company's position within a core area.

Create value through hub positions in core areas

The Company has developed hub positions in each of its core areas and has a majority equity stake and operatorship in each of them. Through building an acreage bank around each anchor asset, the Company can target exploration and appraisal close to existing assets.

Through exploring and appraising prospects and discoveries around core production and development assets in these core areas the Company will seek to benefit from exploiting technical, operational and financial synergies. In addition, use of existing infrastructure to reduce capital expenditure and operating costs should enhance financial returns from the development of step out or satellite discoveries.

Furthermore, the Company will, over time, be looking to limit its exposure to assets outside its core areas by seeking to minimise post-capex cash flow, potential disposal or withdrawal from certain non-core assets.

Maintaining a regional focus

The Company has a pure regional focus on South East Asia which provides a number of strategic benefits to the Company, including an ability to anticipate and respond to changes in the local operating, asset trading and economic environment, extensive and focused technical knowledge, an understanding of many of the hydrocarbon basins in the South East Asian region and the ability to benefit from the Company's network of contacts and relationships across the region. This network includes relationships with national and regional governments, national oil companies, key service providers and customers. The Company believes its local knowledge and relationships provide a sustainable competitive edge, increasing its chances of profitably exploiting its current portfolio and in capturing new opportunities.