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.

Gutted, same here initially. But am I correct in believing that the RNS is indicating that the oil found in Sands 3 may be connected by migration to the oil find in Sea Lion 2, as the pressures were identical.
If so, it looks like Sea Lion 2 could be far bigger than anyone thought.
Or am I reading this wrong.

Topped up @ 284

Greekman, I have to assume (however unlikely that may be) that the experts in the investment game think that the results of the drill are not encouraging. Whatever the correct stance, the market has decided and it is always right.
Was about to top up with more at 282 but chickened out. The press will be full of analyses over the weekend and we may have more doom and gloom and a further fall or they may say it's too cheap and we get a bounce. Who knows!
TT

i did put some money to one side in case it was a duster and know in 40 days the share price will be back up to 3 to 4 level but not sure when to dive in.

I bought some more...this is the support level.....with sealion holding this up.....I presume we shall be above 300p again soon....heavens help the those that had cfd's and spreads going long just now...

Bought more 2.81 ...

Greek been reading again the RNS and it does look to be massive Sea lion,your not wrong at all,guess in 40 days we will get a better idea.

Going long big time now....this will be back to 340p soon guys...buy...mark my words....

They have oil in sea lion 8 .5 kM away if reading this correct...its a monster

Hi Timetraveler,

Topped up just a tad. The experts are not always right, as Warren Buffet has often said. I appreciate any investment in shares is a gamble, but I topped up looking at the RNS in depth, reading that the chances of it being linked to the discover of oil in Sea Lion 2, as worth it. As to the experts, looking at the volume, it is not yet anywhere institutionals jumping ship. I would think at least 90% of trades since the RNS is by PI's who are not experts in any way shape or form.
Anyway, done now.

Regards Greek.

http://www.proactiveinvestors.co.uk/companies/news/25461/rockhopper-shares-slide-after-complex-well-result-disappoints-investors-25461.html

Rockhopper shares slide after complex well result disappoints investors
Friday, February 11, 2011 by Jamie Ashcroft

I wish they would dual list or move to the main market so it can be put in an isa.

There was talk of it RF...lots more buys to sells but it still drifts down

For immediate release: 11 February 2011

Rockhopper Exploration plc

("Rockhopper" or the "Company")

Results of 14/10-3 Exploration Well

Highlights:

64m good quality gross reservoir encountered

7.3m net pay with low oil saturation

Live oil recovered to surface from MDT

Well, on a stand-alone basis, considered to be uncommercial

Results considered technically encouraging for reservoir development within Sea Lion

Rockhopper Exploration plc (AIM: RKH), the North Falkland Basin oil and gas exploration company, announces that exploration well 14/10-3 located in licence PL032, 8 km to the north west of the Sea Lion oil discovery was drilled to a total depth (TD) of 2,830m. The well was designed to explore the northern lobe of the sea lion fan feature and is the first well to be drilled in that area.

The well encountered good quality reservoir from 2,425m to 2,535m in a sequence of 4 main sandstone intervals. Within these 4 main sand intervals 64m of gross reservoir sand was encountered with net sand of 54m (a net to gross ratio of 84%).

Wireline log interpretation was carried out using Rw taken directly from downhole MDT water samples from each sand. Logs indicate that three of the sands encountered (Sands 1, 2 and 4) have high water saturations with hydrocarbon shows during drilling and in cores. Logging indicates that one sand (Sand 3) has net pay of 7.3m using a cut off of 70% Sw.

The reservoir is located beneath a thick regional shale seal. The sands which came in, as prognosed by the Company, are of good quality with average porosity of 18-20% and peaks of up to 25%.

Sample
Sw

Sand 1
2,425m - 2,446m
18%
Water >90%

Sand 2
2,452m - 2,469m
20%
Water >90%

Sand 3
2,473m - 2,481m
18%
20% live oil
63%

Sand 4
2,517m - 2,535m
20%
Water >90%

The Company believes that Sands 1, 2 and 3 are likely to be related to part of the main Sea Lion feature, while Sand 4 could be related to the S2 feature.

Oil and gas shows were detected throughout the reservoir intervals. Four conventional cores were cut through the reservoir totalling 101 metres and both the bleeding of live oil and oil staining were observed throughout. However, MDT samples on Sands 1, 2 and 4 returned water.

A number of live oil samples were recovered from Sand 3 using a standard MDT tool, samples were approximately 20% live oil and are indicated to be medium gravity.

The Company then performed a mini Drill Stem Test ("DST") on Sand 3 by using a dual packer MDT tool downhole. During the test, water was produced into the well. Further technical work is required to understand why the mini DST produced water while the standard MDT recovered 20% live oil from the same sand interval.

MDT pressure readings taken over Sand 3 indicate that it appears to be lying on the same oil pressure gradient as the main Sea Lion fan in well 14/10-2, indicating the potential for good lateral communication. Further wells and technical work will be required to determine if this is the case.

Log interpretation has proven to be complex and the Company believes that further work is required to fully understand what has been encountered in the well and its implications.

The Company believes that the lowest sand (Sand 4) could form the downdip, distal part of the S2 feature and will now undertake further analysis to determine the likelihood of oil being present updip in the S2 lobe. Despite the high levels of water saturation in Sand 4, oil staining was observed in the core.

Further technical work will also now be undertaken to determine the likelihood of oil being present elsewhere in the northern Sea Lion lobe and the likely contribution, if any, of this well to any commercial oil development on the Sea Lion feature.

As the regional overlying seal appears to be intact and effective at the well location, reservoir quality is good, oil shows and moveable live oil are present, the main technical risk associated with the northern Sea Lion lobe remains the effectiveness of the seal at the location of the feeder channel and the risk of effective charge from the south if there is discontinuity within the reservoir.

Following completion of all logging operations the Company currently intends to plug and abandon the well in line with the originally intended drilling programme.

Hi Markymar,

As you say far more buys than sells, but i think that is just punters like myself topping up a tad, due to the sp looking a good price for yet another punts worth.
Did not quite call todays bottom, as bought at 281, but near enough. Of course Monday could see the sp drop yet again as those who won't see the RNS till later today might jump ship. But saying that there will be plenty of analytical comments from oil experts over the week-end, hopefully more positive than negative, in fact some reviews of the results are already doing the rounds from oil analysts, so Monday could see the sp go either way, (clever prediction that...sp up or down).

But imagine if this latest well had found oil in just sufficient quantities to be commercially viable, it would have been the sort of news that everyone, including myself would be ecstatic about.
As it turns out we are quite rightly disappointed.

Fast forward a few months......if and it is still a fairly big IF, the oil shows found in 14-10-3 are migrating from the discovery well Sea Lion 2, then this could turn out to be excellent news.
Far better a discovery (Seal Lion 2) that stretches over such a huge area (over 8 kilometers in one direction) than a separate just viable well.

Of course this is all wishful thinking, but the 'possibility' is there.

So not ecstatic, but after reading the RNS in depth, not that disappointed either.

Glass half full perhaps!

Note.... was hoping to open a good bottle of vino the evening after the RNS to celebrate, but as the RNS has left a fair bit of doubt, it will have to be a cheaper bit of plonk till/if the test results come in good.

Regards Greek.

I don't want to ramp but if the area is covered in oil...there could be 5 to 10 billion barrels of oil there....! 8 square kms is enormous !...it's a possibility....though perhaps 1 to 2 billion is more likely...

Cheers Greek i guess a bottle of tesco buget wine tonight,Rf thats just one part of Sea Lion,roll on the 3 D and this appraisal the numbers could be mind blowing.

I think the market initial reaction was wrong and a very, very strong rebound could come as early as next week...Sold the rest of my DES and put into RKH...made a bad loss but put against juicy profits makes it much better overall.

Markymar,

With that RNS can't afford Tesco vino, will just about manage a Netto cheapy.

Required Field,

Looking at the best scenario, just think how much oil there would be if the field stretches 8 kms in all directions from the Sea Lion 2 drill.
Now that would warrant a good bottle of plonk.
Of course its all conjecture, the worse scenario is that there is no connection whatsoever.
Oilies must be one of the most frustrating sectors to be in.

Well have a good week-end all.

Greek.

Just think of the effect on the sp news that RKH are concentrating on bringing Sealion to production asap rather than sqandering shareholders funds on drilling dusters.