Since the arrow that points to the Sighted Object is closer to the North indicator on the compass, the reference meridian is North.
(the arrow; points; to the Sighted Object) (the arrow that points to the Sighted Object; is; closer to the North indicator on the compass) (the reference meridian; is; North) (the Sighted Object; is closer to; the North indicator)
the arrow the arrow that points to the Sighted Object the reference meridian the Sighted Object
points is is is closer to
to the Sighted Object
closer to the North indicator on the compass
North
the North indicator