2nd Mar 2006 07:02
Roc Oil Company Limited02 March 2006 2 March 2006 ROC OIL COMPANY LIMITED ("ROC") STOCK EXCHANGE RELEASE ROC ADOPTS SUCCESSFUL EFFORTS ACCOUNTING In conjunction with ROC's adoption of the Australian equivalent of theInternational Financial Reporting Standards ("A-IFRS") effective 1 January 2005,ROC has changed its accounting policy for exploration and evaluation ("E&E")expenditure to 'Successful Efforts'. There will be no impact on business activities or cashflow, as a result of thischange in accounting policy. Audited annual accounts for year ending 31 December2005, reflecting these changes, will be released on Wednesday, 8 March 2006. Under the new policy, ROC will expense all E&E costs as incurred except forsuccessful exploration well costs, exploration acquisition costs andpre-development expenditure. ROC defines a 'successful exploration well' as awell that discovers probable commercial reserves, where development is likely togo ahead in the near term. As a result the following amendments will be made to ROC's 31 December 2004Balance Sheet: • $47 million reduction in capitalised exploration and evaluation expenditure; • $1 million reduction in deferred tax liability; and • $46 million reduction in equity. ROC's 2005 Financial Statements, reported under the new policy, will include therestatement of prior year financial information for comparative purposes. Michelle Manook For further information please contact:General Manager - Corporate Affairs Bruce Clement on Tel: +61-2-8356-2000 Fax: +61-2-9380-2635 Email: [email protected] Or visit ROC's website: www.rocoil.com.au Dr Kevin Hird General Manager Business Development Tel: +44 (0)207 586 7935 Fax: +44 (0)207 722 3919 Email: [email protected] Nick Lambert Bell Pottinger Corporate & Financial Tel: +44 (0)207 861 3232 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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