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## npv oF CAsh FloW AFteR InCoMe tAXes usInG GlJ JAnuARY 1, 2011 FoReCAst pRICes AnD Costs (1) 

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(1) Additional infor mation on reserves is available in the Annual information form and in the february 10, 2011 news release titled “Arc resources ltd. 2010 year-end reserves increase by 29 per cent”. 

## nET ASSET vALUE (“nAv”) 

The following net asset value table shows what is normally referred to as a “produce-out” nAv calculation under which the current value of ARC’s reserves would be produced at forecast future prices and costs and do not necessarily represent a “going concern” value of ARC. The values presented below are at a point in time and are based on various assumptions including commodity price forecasts and foreign exchange rates, which will var y over time. It should not be assumed that the net present values estimated by gLJ represent the fair market value of the reserves. 

## hIstoRICAl nAv – DIsCounteD At 10 peR Cent (1) 

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(1) Additional information on reserves is available in the Annual information form and in the february 10, 2011 news release titled “Arc resources ltd. 2010 year-end reserves increase by 29 per cent”. (2) 

the value of Arc’s reserves increased due to reserve additions and declined due to a decrease in the natural gas price assumptions used by glJ as at december 31, 2010. 

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