395 



3 



It should be pointed out that although resource assessment methodologies may be 

 precise, resource estimates include subjective judgments (probabilities of 

 success or failure) based on the reliability of the data and information available 

 to the evaluator at the time of the appraisal. While the resource estimates 

 previously discussed are conditional on a commercial accumulation existing within 

 the proposed sale area, they do include subjective judgments as to the probability 

 of each prospect being dry. If a discovery was made in one of the prospects being 

 considered, it could exceed the average amount previously estimated to exist in 

 the area under consideration. In any event, a discovery would result in a reassess- 

 ment of the risks associated with other prospects and a new resource assessment. 



