Rockpool Acqui Regulatory News (ROC)

2 Jan 2008 07:01

Roc Oil Company Limited02 January 2008 2 January 2008 ROC OIL COMPANY LIMITED ("ROC") STOCK EXCHANGE RELEASE DRILLING UPDATE: MULTI-WELL EXPLORATION/APPRAISAL DRILLING PROGRAMME COMMENCES, OFFSHORE CHINA Roc Oil (China) Company, a wholly owned subsidiary of ROC, is pleased toannounce the commencement of a multi-well exploration/appraisal drillingprogramme in Block 22/12, Beibu Gulf, Offshore China. At 0500 hrs (local time) on 1 January 2008 the Premium "Murmanskaya" jack-up rigcommenced drilling the Wei 6-12W-1 well on the Wei 6-12 West Prospect, astratigraphic-structural feature approximately 2.5 kilometres northwest of theWei 6-12S-1 oil discovery which the Joint venture made in 2006. The well, which is in 30 m of water, is expected to reach Total Depth ofapproximately 2,425 metres later this month. The commencement of the drillingprogramme was delayed by approximately two weeks because of rig equipmentmalfunctions which have now been rectified. As of 0600 hrs (local time) on 2 January 2007 the current operation was drillingahead in 171/2 inch hole at 560 metres. The second well in the programme will test the Wei 6-12 East Prospect, astructural-stratigraphic feature 1.7 kilometres east of the Wei 6-12S-1 oildiscovery. The third well in the programme will be Wei 12-2-2 which will appraise astructure in the southern part of the Block which tested oil in 1993. There is a potential for a fourth well in the form of a sidetrack/step-out ifone of the first three wells makes a discovery which requires immediateappraisal. All of the wells will be operated by ROC using the Premium"Murmanskaya" jack-up drilling rig. The entire drilling programme is expected tobe completed by the end of 1Q 2008. Commenting on the commencement of the drilling programme, John Doran, ROC'sChief Executive Officer, stated that: • Between 2002 and 2006 the Joint Venture drilled two structures in the northern part of the Block and made two oil discoveries, both of which are now the subject of development planning studies. The first two wells of the current drilling programme are located in the same area but because they are testing targets that are primarily stratigraphic, not structural, there will be a commensurate increase in exploration risk - and potential commercial reward. • The proximity of the first two wells in the programme to the two oil accumulations already discovered by the Joint Venture means that a another discovery - or two - would be a healthy addition to the reserve base already established in this part of the Block. However, the commercial potential of the existing discoveries is not dependent upon the outcome of the 2008 drilling programme. Participating Interests in Block 22/12 Joint Venture are: Roc Oil (China) Company..........40% (Operator)Horizon Oil Limited..............30%Petsec Petroleum.................25%Oil Australia Pty Ltd*........... 5% The above interests are subject to Government participation in developments ofup to 51% * A subsidiary of First Australian Resources For further information please contact: Dr John Doran on Tel: +61-2-8356-2000 Fax: +61-2-9380-2635 Email: jdoran@rocoil.com.au Or visit ROC's website: www.rocoil.com.au Dr Kevin Hird General Manager - Business Development Tel: +44 (0)20 7495 5707/+61 (0)2 8356 2000 Mob: +44 (0)7751 3671 49/+61 (0)417 261 727 Email: khird@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 This information is provided by RNS The company news service from the London Stock Exchange