http://www.falklands-oil.com/

http://www.rockhopperexploration.co.uk

http://www.argosresources.com/




Rockhopper was established in 2004 with a strategy to invest in and undertake an offshore oil exploration programme in the North Falkland Basin. It was floated on AIM in August 2005. Rockhopper was the first company to make a commercial oil discovery in the Falklands. Today Rockhopper is the largest acreage holder in the North Falkland Basin, with interests in the Greater Mediterranean region.

You were on about Shaikan being heavy oil....if you want to carry on with this nonsense put it on GKP...

Shaikan has 1-2 Billion bbls 17-20 API oil....heavy man!...plus it has some very sweet Oil.


You keep bring GKP here Pal!

You do not know what you are talking about....I'm not going to carry on discussing this crap...end...

Once the point has been made, why don't you just leave it. If we are interested, the rest of us can and do make up our minds who is right after researching those points made in the first couple of posts.
This is fast becoming a kiddies playground thread, with repeated, Yes it is, No it isn't.
Please post any sensible info, or none at all, it's getting annoying and boring.

Exactly....why does he just not post the rns saying it's heavy crude on the GKP thread...he's got it wrong that's it....over.

where is the squelch button?

Anyway...off subject...take a quick look at PMO,NPE and EO.----at this point probably the best bet is EO.

I've been squelched by Tweenie on the Stanelco happy go lucky thread....I wonder how she's getting on ?...must pop by one of these days to see...

Anybody on here know the difference between heavy, medium (if there is such a thing) and light oil....in api or so called terms ?....hang on !....Marky says that that is medium oil...

From the last RNS lets hope you understand it RF and put the subject to bed!!!

"a sample of oil from the shallowest oil sand in the well was subjected
to a preliminary test in Stanley and this indicated a medium grade crude, broadly in line withthe Directors' expectations, with an API of 26.3."

Shell well which was drilled had a API of 27 and sits 10km to where RKH drilled sea lion.
RKH have said it has a API of 26.3

Classifications or grades

Crude oil is classified as light, medium or heavy, according to its measured API gravity.

Light crude oil is defined as having an API gravity higher than 31.1 API. (less than 870 kg/m3)

Medium oil is defined as having an API gravity between 22.3 API and 31.1 API. (870 to 920 kg/m3)

Heavy oil is defined as having an API gravity below 22.3 API. (920 to 1000 kg/m3)

Extra heavy oil is defined with API gravity below 10.0 API. (greater than 1000 kg/m3)

The 2 api's are so close....hmmm....and not too far apart as the crow flies.

I suppose that tar sands like in Canada are an even further step below.....there was an article in the national geographic magazine, I think last year about that....

RF .... for crying out loud, stop the crap ..... we do not know the quantum, but assuredly we do know that this is medium grade crude ..... and yes, tar sands produce horrible thick gooey muck which is both difficult to extract and expensive to refine, and hence only commercially viable when the underlying crude price is high .... is it high enough now? .... possibly is my guess

perhaps someone with proper knowledge can no shed light on just how good this discovery is, though the market will tell us soon enough

======



Rockhopper Exploration, the North Falkland Basin oil and gas exploration company, is pleased to provide the following update regarding analysis of the results of the Sea Lion 14/10-2 well oil discovery recently completed in the North Falkland Basin:

Highlights:
Samples analysed in a dedicated laboratory confirmed as medium gravity crude oil - ranging from 26.4 to 29.2 API
Every sand in the well beneath regional seal charged with oil
RPS Energy Best Estimate recoverable upgraded from 170mmbbls to 242mmbbls recoverable with significant upside potential
Board believes new play fairway opened
217 metres gross oil column, 53 metres net pay
The Company intends to test the well at the earliest opportunity during the current campaign


Results of data analysis
Well 14/10-2 on the Sea Lion prospect ("Sea Lion" or "the Sea Lion well") was drilled to a depth of 2,744 metres during April and May 2010. Following completion of final logging, the well was suspended for future testing. The Company intends to test the well at the earliest opportunity during the current campaign and test equipment is currently being mobilised.

The well penetrated what the Company believes is a regional seal between 2,250 metres and 2,374 metres subsea. Based on log analysis, well site evaluation of shows and samples, sidewall cores and wireline formation testing, it appears that all sands encountered beneath this regional seal at the Sea Lion location are charged with oil and no oil water contacts were encountered.

The top oil sand in the Sea Lion well was encountered at 2,374 metres subsea, and the base of the lowest oil sand ("oil down to") level was encountered at 2,591 metres subsea. The total vertical oil column is 217 metres (712 feet), with total net pay of 53 metres in seven identified pay zones, the thickest of which is approximately 30 metres gross.

Pressure data suggest the possibility of two separate oil columns, although this will have to be confirmed by a full well test. The main Sea Lion fan has a net pay interval of 34.5 metres. Additional underlying sands have net pay totalling approximately 18 metres. Approximately 16m of this lower pay appears to relate to a Sea Lion lower fan, which had been previously recognised, but not included as a primary prospect. A further 2 metres of deeper pay has also been encountered.

The oil down to level of 2,591 metres subsea is 116 metres beneath the lowest mapped point of the Sea Lion fan. The entire Sea Lion fan has an aerial extent of over 45 sq km and there are strong seismic indications of thicker reservoir packages elsewhere in the fan. The oil down to level is significantly lower than the lowest point of the Sea Lion main fan.

On the basis of the information gathered in this well, RPS Energy Pty Ltd, the competent person responsible for the Company's Competent Person's Report of April 2009 (the "April 2009 CPR"), has revised the range of possible outcomes as follows (the "June 2010 RPS Report"):

***RPS Energy current estimates (as of 3 June 2010):

STOIIP (MMbbls)
Low
Best
High
Mean

Sea Lion Main Fan
232
717
1,493
764

Sea Lion Lower Fan
53
146
370
185

Total*
382
806
1,673
943

Recoverable Contingent** Resources (MMbbls)

Low
Best
High
Mean

Sea Lion Main Fan
35
215
597
229

Sea Lion Lower Fan
8
44
148
63

Total*
57
242
669
291


*Totals are consolidated probabilistic volumes and not a summation of individual accumulations

**Contingent upon the determination of commerciality, based on well flow rates and an economic development plan

***The June 2010 RPS report relates specifically and solely to the subject assets and is conditional upon various assumptions that are described therein. The report should, therefore, be read in its entirety. The assessment of the Sea Lion discovery was performed within a limited time frame. RPS is being commissioned by the Company to conduct further work on the Sea Lion discovery and therefore the assessment published today may be subject to change following a more detailed technical review. The report is available on the Company's web site - www.rockhopperexploration.co.uk

Examination of side wall core samples confirms extensive good oil staining and good reservoir characteristics. Logging data are indicative of good quality reservoir, with average porosity of 19% and good permeability.

Samples of oil recovered from the well have now been analysed in a specialist laboratory. 5 samples were analysed and returned between 26.4 API and 29.2 API. Further analysis will now be carried out and a press release will be made when appropriate.

Management believes that the Sea Lion well has opened a new play fairway in licences PL032 and PL033. The Company will now re-evaluate technical data in the light of information gained from well 14/10-2 with a view to de-risking the existing inventory of prospects and indentifying new ones.

Sam Moody, Managing Director, commented:
"Rockhopper has now confirmed the first Contingent Oil Resource in the Falklands. Our analysis of the data from the Sea Lion well suggests that there is significant potential upside on our acreage and our technical effort will now focus on integrating all of our new knowledge of the basin so we can understand and identify the best prospects for future drilling. Being a 100% holder of this acreage potentially places Rockhopper in a very strong position. We are now looking forward to drilling Ernest and testing Sea Lion.

The test of Sea Lion will be a key step on the road to proving commerciality. We believe that, with modern horizontal completions and water injection in sands of the quality encountered, recovery factors significantly above the 15% assumed in the P90 case could be achieved. Furthermore, our recently updated economic model indicates that a stand alone field of 60mmbbls recoverable could be commercial at oil prices down to US$50 per barrel."

What a lovely update !!!

P50 recoverable upgraded to 240M barrels with SIGNIFICANT UPSIDE POTENTIAL - EG to a mind blowing 669M barrels recoverable at top of range.

http://www.investegate.co.uk/Article.aspx?id=201006040700160715N

All clear why some nasty people wanted to shake everyone with stop losses out of their shares earlier in the week.

What a wonderful result !!

Proselenes,

Yes, great RNS. Everything that was estimated in April has improved. Like you say no wonder someone 'fiddled' the sp a couple of days ago. Someone will now make many millions more.

perhaps i wasn't so dumb to top up by 25% yesterday

Testing sidewall cores basically tells them all they need to know with the other data.

A flow test is just a matter of course now, it will be commercial !!

Excellent news.

Up to 669M barrels recoverable.


Whats that worth top side ?? (ignoring for the moment future dilution or farm out)

669 x 8.5$ = 3.868 billon pounds

OR

2361 pence per share


And that is JUST Sea Lion.

So lots and lots and lots of upside potential.


On the basis of the P50 240M barrels

240 x 8.5 = 1.387 Billion Pounds

OR

847 pence per share "post flow testing of wells"



So bring on Ernest and bring on the Sea Lion appraisal well !!



Just love that "REGIONAL SEAL" wording........ :) Lots more prospects now with much higher CoS........

It does not get better than this, and we mostly in from the very start of the new Falkands Oil Fields.

Poor Balerboy and Requiredfield, telling everyone to sell at 90p.

LOL :)

Proseleness,

Due to not having the best memory, I have forgotten yet again what P50 means.
I did research this a few weeks ago, but as said forgot the meaning.
Not a lazy person, but will be busy today to wont have much time to look at the meaning again.
Any chance of a quick/brief explanation.

It will be much appreciated.

Regards Greek.