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              [html]<thead><tr><tdcolspan="2">32. Additional Financial Instruments Disclosure ( continued )</td></tr></thead><tbody><tr><tdcolspan="2">( e ) Net fair values of financial assets and liabilities</td></tr><tr><tdcolspan="2">The carrying amounts of all financial assets and labilities including hedges approximate net fair value.</td></tr><tr><tdcolspan="2"># 3 : 3 : December 2004 the Sarito Soup has open derivative frearcial instruments contracts relating to future operating profit which if closed aut at their market rates would have resulted in a gain of $ 2.8 mllion ( 2003 ; gain of $ 0.1. 0 mllit</td></tr><tr><tdcolspan="2">33. Economic Dependency</td></tr><tr><tdcolspan="2">There are in existence lang - term contracts for the sale of gas, but otherwise the Birectors believe there is no economic dependency.</td></tr><tr><tdcolspan="2">34. Post Balance Date Events</td></tr><tr><tdcolspan="2">The following events sccured subsequent to 31 Decenter 2006, the financial effects of which have not been brought to account in the financial statements for the year ended 31 December 2004.</td></tr><tr><tdcolspan="2">( a ) For dividends declared after 31 December 2004 refer note 20 ;</td></tr><tr><tdcolspan="2">( b ) On O1 February 2005, the Company entered into a contract to aspire Basin III Psy Lost effective 2.lanary 2005. Basin 00 Psy Lock has a 2.15 interest in SA Cooper Basin, 40 % Interests in Ristricia - Balaem and Sole, and Schools interests in</td></tr><tr><tdcolspan="2">35. Austratian Equivalents to International Financial Reporting Standards</td></tr><tr><tdcolspan="2">Following the implementation to the Accordinal According Standards Bandard ( Table ) of “ All Fiellonal Repeting Council standards ( Table 2007 ), the Enterodismal Recounting Standards Boards (“ Total ”), the Sartios Serup must comply t</td></tr><tr><tdcolspan="2">A project team has been in place throughout the year and is well advanced to achieve the transition from Australian GAAP to A - ERS. At 31 December 2004, the following activities are underway and are expected to be completed by 30 June 2005 :</td></tr><tr><td>▪ complete assessment of accounting standard AASB SI “ Explanation for and Eviluation of Mineral Resources ” which was issued by the AIGB in December 2004 as an ATRS with an effective date of 1.2anuary 2003 ;</td><td>• implement changes to information systems and business processes ;</td></tr><tr><td>• conduct training programs ;</td><td>▪ engage IPNG to suit the Sartos Group ’ s A - IPS compliant accounting policies and submit revised accounting pricies to the Based for approvic and</td></tr><tr><td>▪ restate the 20 % half - year and full year operating results and francial position from Australian GMP to A ERS for comparative purposes.</td><td>Under current Australian GAP the financial report is generally prepared on the basis of historical cost while under the EHB conceptual framework frees is a restributes in restributes in restribution and failities at their vialues. Acch</td></tr><tr><td>The transfor to ATPE at 3.2enary 2005 is not expected to change the Sartta Group ' s underlying buriness specifies not have any impact on either the quantity or the value of to all and go resenes, its future can flows, or its scoret browing fach</td><td>The differences between carrerit Australian GAAP and A - DRS which are more likely to have a significant effect on the Santas Group ’ s froncial performance and financial position are summarised below :</td></tr><tr><td>Financial : Instruments - All financial : Instruments Induding derivatives will be recognised in the statement of francial position and all derivatives will be correlated at follow</td><td>Oranges in the fair value of certain francial instituments will be recorded in the statement of financial performance. Where financial instituments suttisfy strict helpe orliperitis, changes in the for value will be recognised in equr</td></tr><tr><tdcolspan="2">The A OPRS relating to francial instruments applies from 1.3anuary 2005, Unille the majorly of other A IRTB standards which region retropective application as a 1. Sanary 2004, this accounting standard dee not require retrospective apl</td></tr><tr><tdcolspan="2">Santos intends to continue to align its helping transactions to underlying exposures to achieve accounting eligibility and thereby reduce profit and lass volatility.</td></tr><tr><tdcolspan="2"</tr><tr><tdrowspan="4"</tr><tr></tr><tr></tr><tr></tr></tbody>
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