4th Nov 2005 07:01
Rockhopper Exploration plc04 November 2005 PRESS RELEASE For immediate release: 4 November 2005 Rockhopper Exploration plc Farm In to Desire Petroleum acreage - update On 14th February 2005, Rockhopper Exploration (Rockhopper or the Company)announced the Company had agreed terms with Desire Petroleum plc (Desire) for afarm in to a 7.5% interest in Falklands' Licences PL003 and PL004 inanticipation of gaining exposure to early exploration drilling in the Falklands.The farm-in agreement allowed Rockhopper to elect to increase the percentage to15% by 31 October 2005. Although the Rockhopper view of the prospectivity of the Desire acreage has notchanged, the Directors have decided to maintain the Company's farm in exposureto the Desire Petroleum operated licences PL003 and PL004 at its current levelof 7.5%. Over the past few months both the cost and availability of suitable drillingunits have deteriorated significantly and the drilling timetable is likely to bedelayed as a result. The Directors feel that, given that the primary purpose of the farm-in wasexposure to early drilling, the interest of the shareholders is best served byremaining at 7.5% and applying financial resources to maturing a number of highquality prospects for drilling within the Company's own extensive 100%exploration acreage in the North Falkland Basin. The Company is targeting these100% prospects to be ready for drilling during 2007, when the availability andcost of drilling units are expected to be more favourable. The recently announced 2D programme which Geophysical Service Incorporated (GSI)will shoot early in 2006 is the first step in this process. A significant 3Dprogramme has also been designed and an invitation to tender document issued. ENDS Contact: Rockhopper Exploration plcSam Moody - Managing Director 01722 414 419 Aquila Financial Ltd [email protected] Reilly 020 7849 3319Yvonne Fraser 020 7849 3326 www.rockhopperexploration.co.uk Notes to editors:The Rockhopper Group started trading in February 2004 to invest in and carry outan offshore oil exploration programme to the north of the Falkland Islands. TheGroup, which floated on AIM in August 2005, is currently the largest licenceholder in the North Falkland Basin and owns a 100 per cent. interest in fouroffshore production licences which cover approximately 5,800 sq. km. Theselicences have been granted by the Falkland Islands government. In total, the Board and its Consultant, the Falklands expert David Bodecott,have over 120 years experience in the oil industry, with specific expertise inthe field of exploration and in the region itself. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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