Rockpool Acqui Regulatory News (ROC)

3 Sep 2009 07:00



3 September 2009

ROC OIL COMPANY LIMITED ("ROC")

STOCK EXCHANGE RELEASE

OPERATIONAL UPDATE

Basker-Manta-Gummy ("BMG") Oil and Gas Fields, Bass Strait

Anzon Australia Pty Limited, a wholly owned subsidiary of ROC, provides an update on BMG Oil and Gas Field operations.

Following completion of the Basker-7 ("B7") development well as a future producer, the Ocean Patriot rig has departed the field having completed the 2009 workover and drilling programme ahead of schedule, within budget and with no lost time injuries. Tie-in of B7 to existing subsea production facilities is planned to be completed in September.

The Basker-3 ("B3") well production rate has been in line with expectations since coming online in mid-August following its successful re-completion.

Basker-2 ("B2") choke repairs are planned to take place when BMG is offline for approximately eight weeks from mid-September for planned survey, maintenance and upgrade activities on both the Crystal Ocean FPSO and the Basker Spirit tanker.

Following the successful completion of B2 subsea repairs and the commissioning of B7, the average production rate is expected to increase to approximately 10,000 BOPD.

Participating interests in the BMG Project are:

Anzon Australia Pty Limited (Operator).............................30%

Beach Petroleum Limited.......................................................30%

CIECO Exploration and Production (Australia) Pty Ltd..........20%

Sojitz Energy Australia Pty Ltd...............................................10%

Pertamina Hulu Energi Australia Pty Ltd................................10%

Zhao Dong Oil Field, Offshore China

Roc Oil (Bohai) Company, a wholly owned subsidiary of ROC, advises that the Zhao Dong 2009 development drilling programme has been completed on schedule, within budget and without any safety or environmental incidents. During 2009 a total of 16 wells were drilled; 12 producer and 4 injector wells.

For the year to date, over 5 MMBBLs of oil have been produced from the Zhao Dong fields, including the Extended Reach Area ("ERA") (ROC: 24.5%) and C4 unitised fields (ROC: 11.575%). The average daily rate during August was 21,389 BOPD.

The second processing platform ("OPB") at Zhao Dong has been commissioned on schedule and within budget. OPB will almost double fluid handling capacity from 90,000 BFPD to 175,000 BFPD, which will increase oil production capacity from the fields and accommodate additional production from future development drilling. Additional higher water-cut wells that had been previously shut-in are now being brought back online and daily oil production is expected to increase as this process progresses. 

OPB is the last of four platforms installed as part of the Incremental Development Plan ("IDP") for the Zhao Dong C and D Oil Fields and its commissioning represents the completion of facility development activities that started in early 2007.

Participating interests in Zhao Dong C and D and ERA Oil Fields are:

Roc Oil (Bohai) Company (Operator)..............................24.5%

PetroChina Company Limited..............................................51.0%

New XCL-China LLC............................................................24.5%

Matthew Gerber

Manager  Investor Relations & External Affairs

For further information please contact:

Mr Bruce Clement on

Tel: +61-2-8023-2000

Fax: +61-2-8023-2222

Email: bclement@rocoil.com.au

Or visit ROC's website: www.rocoil.com.au

Michael Shaw

Oriel Securities Limited (Nominated Adviser)

Tel: +44 (0)20 7710 7600

Bobby Morse

Buchanan Communications

Tel: + 44 (0)20 7466 5000

Fax: + 44 (0)20 7466 5001

E-Mail: bobbym@buchanan.uk.com

Mob: +44 (0)7802 875 227