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.

The fact that DES is up to suggests there might be a faint whiff of good news potential, therefore shorts are closing out (DES and RKH are both North Falklands with the same PR team, rig, info sharing etc..... and by contrast FOGL is down).

Therefore could well be shorts closing as the "drums" are hinting that this one might not be bad news, not strong enough rumours to get buyers in in volume, but enough to warrant closing shorts perhaps ?

TIDMRKH

RNS Number : 4541L
Rockhopper Exploration plc
06 May 2010

For immediate release: 6 May 2010

Rockhopper Exploration plc
("Rockhopper" or the "Company")

Drilling Programme Update

Sea Lion Exploration Well - 14/10-2
Oil Discovery

Rockhopper Exploration, the North Falkland Basin oil and gas exploration
company, is pleased to announce that well 14/10-2 on the Sea Lion prospect has
reached a depth of 2,744 metres. Initial data collected indicate that this well
is an oil discovery, which would be the first in the North Falkland Basin.

The Company has run a suite of wireline logs and logging data collected thus far
indicate that the well has encountered a 150 metre gross interval of sand and
shales. The data show that the well has 53 metres of net pay distributed in
multiple pay zones, the thickest of which has a net pay of 25 metres. These pay
zones have an average porosity of 19%.

Rockhopper now intends to collect additional logging information prior to making
a decision whether to plug and abandon the well, or to suspend the well for
future testing. The Company is also considering whether to drill an appraisal
well on Sea Lion later during the current drilling campaign. Further information
will be distributed in due course.

It remains the intention of the Company to drill the Ernest prospect in the
fourth slot of the overall Falklands Drilling programme.

Samuel Moody, Managing Director, commented:

"We are extremely excited by the results of this well. While we are presently
acquiring additional data, current indications are that we have made the first
oil discovery in the North Falkland Basin. We will now focus on analysing in
more detail the data gathered from the well, in addition to continuing
preparations for the drilling of our Ernest prospect later in the year."

Nice :)

Shorts are a burning now........... LOL :)

Oil.. oil.. oil..

The price has a long way to go up to hit the peaks..... :)

And Ernest (next RKH drill) is the stronger area, given the additional CSEM work...... so plenty of movement to the upper regions in the coming months.

Shorters in total trouble, struggling to close their positions on RKH and DES.

I love it :)

Excellent......and so much more to come too ! :)

In auction. Moving too fast.

This could be a big find.

19% porosity and 53M of net oil pay.

Had a good Intraday retracement already from a high of 95p down to 75p, wants to improve since 75.50p now

wish I hadn't gone back to bed now.

Missed all the excitement!!

Mind you ...... she was probably worth it .....

;-)

.

Buy Buy Buy like there's no tomorrow.

It will be 400p in 2 weeks

Ohhh !...my gooddd....just seen this now....will have to catch up with the read....

Dirt cheap at 80p

Almost a sure sign it's going down then knowing your record ...

already at 83.50p since the bounce .......


"According to the competent persons report (see Rockhopper website) the NPV10 estimates for an oil discovery at Sea Lion range from $548 million to (a staggering) $8366 million. Even taking the lowest estimate gives 360 million which is around 3 times the current market capitalisation of 130 million. "

Update from Westhouse

"Malcolm Graham-Wood, director of broking at Westhouse Securities, comments: "What looks like an excellent result from Rockhopper and with 100%, if the well is on target for the mean recoverable number of barrels of 220 million then the unrisked value per share is 308p. We need further data and info from the company but we have said that they have the biggest potential upside (354p) of the two drilling this programme."

Update from Oriel from a post at AFN. Anyone for 600p a share ?


"Rockhopper Exploration (RKH, under rveiew, 77p) - Sea Lion oil discovery, initial thoughts

Rockhopper has announced that initial indications are that the Sea Lion well in the North Falklands is an oil discovery

The well encountered a 150m gross sand and shale interval with 53m of net pay in multiple pay zones. The thickest zone had net pay of 25m

Average porosity is c19%, but there was no indication of permeabilities at this stage. This remains the key uncertainty given the quality of reservoirs encountered to date in the North Falklands, including the Barremian interval being targeted in this prospect, has been variable

Additional logging information is being collected before a decision is made whether to abandon the well or suspend it for further testing at a later date.

The net pay encountered appears to be larger than that used to estimate the P50 pre-drill resources of 170mmb for the prospect. Our analysis of the seismic time section in the CPR suggests the targeted reservoir interval had pay potential of c20-30m to derive the pre-drill volumes, although this has not been confirmed by the company

Based on a notional US$8.5/boe valuation (may prove to be conservative in a US$90/bbl environment), a 170mmb discovery would be worth c600p/sh

Although early days this is clearly an encouraging result and the positive share price reaction is not overdone. The result also has positive implications for further prospectivity on both Rockhopper's and Desire's acreage in the North Falklands, particularly the Barremian fan plays on the eastern basin margin (Rockhoppers' analogue prospects include Fox at c144mmb and Stephens at c106mmb)

Our recommendation is under review pending a further update on the well, especially any data regarding reservoir quality"