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.

StockMarketWire.com
Rockhopper has reported a 9-month FY pretax loss of $7.6m, from a year earlier 12-month loss of $15.7m. Revenue was $1.9m, from nil. It enjoyed a $6.5m forex gain, against a $2.6m forex loss in the prior period.

Chairman Pierre Jungels commented:
"The Zebedee well result represents a fantastic start to the 2015 Falklands drilling campaign and provides early proof of the significant remaining potential in the North Falkland Basin.

"The adoption of a phased, lower cost development solution for Sea Lion significantly de-risks the project and should allow us to capture further cost savings as we progress through the FEED and draft FDP submission processes in 2015 and early 2016.

"Since the acquisition of Mediterranean Oil & Gas plc, steady progress has been made in advancing the Mediterranean portfolio. Our recent Croatian offshore licence award represents an outstanding low cost opportunity to increase our acreage position in an area with proven hydrocarbons.

"Rockhopper's balance sheet remains strong and the Company is well placed to take advantage of potential growth opportunities which may present themselves as a result of the current market environment."

Separately, Rockhopper has agreed binding documentation with the Falkland Island Government ("FIG") in relation to the tax arising from the Company's 2012 farm-out to Premier Oil plc ("Premier").

The Tax Settlement Deed confirms the quantum and deferment of the outstanding tax liability and reflects the principles agreed between Rockhopper and FIG in December 2013 and is made under Falkland Islands Extra Statutory Concession 16.

Highlights:
· Outstanding tax liability confirmed at £64.4 million (approximately $95.7 million) and payable on the first royalty payment date on Sea Lion (or earlier subject to certain events)

· First royalty payment date anticipated to occur within six months of first oil production which itself is estimated to occur in late 2019 (assuming Sea Lion project sanction in mid 2016)

· Outstanding tax liability amount may be revised downwards if the Falkland Islands' Commissioner of Taxation is satisfied that either (i) the Exploration Carry from Premier is used to fund exploration activities in the Falkland Island license areas; or (ii) any element of the Development Carry from Premier becomes "irrecoverable"

· Rockhopper provides certain "creditor protection" undertakings to FIG while the tax liability remains outstanding including (i) restriction on dividends or distributions; (ii) granting of first ranking security over Rockhopper assets; and (iii) while such security is in place, restrictions, subject to conventional carve outs, on granting further security

· Intention that at the point Rockhopper is able to secure senior debt for the Sea Lion project, the security provided to FIG will be released and FIG will be provided with a standby letter of credit to preserve its creditor position

· Rockhopper retains balance sheet strength with cash resources at year end 2015 projected to be approximately $125 million.

Operations Update - Isobel Deep & Mediterranean

Rockhopper Exploration plc (AIM: RKH), the oil and gas exploration and production company with interests in the North Falkland Basin and the Greater Mediterranean region, is pleased to provide the following update ahead of the Company's AGM today in relation to the Isobel Deep Well and its Mediterranean operations.

Isobel Deep (Rockhopper 24%)
Following the penetration of a sand interval with suspected elevated formation pressure and oil shows, the operator has decided to set a cement plug over this interval and run the contingent 9 5/8" casing string in the shale section above, prior to drilling through the prognosed Isobel reservoir interval to the well TD (Total Depth).

The contingent casing string will enable additional flexibility while drilling and evaluating the target formation. This scenario had been anticipated and the additional 9 5/8" casing is already on the rig.

The presence of oil shows is not necessarily indicative of net pay and conclusive results for the well will not be available until drilling operations have been completed and logging data collected.

A further announcement on the results of the well will now be likely in early June.

Mediterranean
Guendalina (Rockhopper 20%)
A planned acid wash on the short string has been completed and has resulted in a gross production increase from 18k scm/d (thousand standard cubic metres per day) to 75k scm/d from that string. Overall gross production from Guendalina is currently approximately 190k scm/d ( or c.38k scm/d net to Rockhopper equivalent to approximately 223 boe/d (barrels of oil equivalent)) The planned sidetrack to the GUE2 well at Guendalina is due to take place during the summer of 2015.

Ombrina Mare (Rockhopper 100%)
The Environmental Impact Assessment ("EIA") of the Ombrina Mare Field Development Plan ("FDP") has been approved by the Minister for the Environment. The approval decree includes the 'Autorizzazione Integrata Ambientale' (Integrated Environmental Authorisation) ("AIA"). The decree now needs to be countersigned both by the Ministry of Cultural Heritage and then the Ministry of Economic Development in order for the Minister to be in a position to award the Field Production Concession.

Civita (Rockhopper 100%)
Development remains on track with construction having commenced. First gas is expected by the end of 2015.

StockMarketWire.com
Premier Oil and Rockhopper Exploration confirmed an oil discovery at the Isobel Deep exploration well 14/20-1 in the North Falkland Basin, about30km south of the Sea Lion field.

The Isobel Deep exploration well has been drilled to a depth of 8,289 feet reaching top reservoir on prognosis. The bottom 75 feet of the well consists of oil bearing F3 sands.

These sands were at a higher than expected reservoir pressure and this resulted in an influx into the well. As part of the operations to remove the influx, oil was recovered from the well and appears similar in nature to Sea Lion crude.

As a result of the new geological information it has been decided to suspend operations on the well and release the rig to drill in the South Falkland Basin. The rig is expected to return to continue operations in the North Falklands Basin in August.

A few years ago : the sp would have soared on this news....how times have changed...+2p....now....

Same with Fogl, it's purely down to many punters expecting nothing less than a 100% proven gigantic oil find, so even a result that looks 'very promising' disappoints.

If I had a few quid spare, I would be topping up.

One other thought is that at $57 pb it isn't profitable to extract and given that forecasts for the crude price don't exceed $70 pb for the next 12 - 18 months, the probability of them starting to prepare for extraction are a long way off, imo.

Hi Harrycat,

I read an interesting report over the weekend (I think it was from Shell, but not sure) that due to many explorers cutting back as well as those supplying the infrastructure, the result could be that the thin end of the wedge re supply v demand could see $200pb by 2020.

I have read many reports since the start of the ppb drop and there are now more looking at the likelihood of the above than predicting the opposite.

Demand will I think within a couple of years, be again chasing supply, so by the time and FI field start production they will be ideally positioned for the higher ppb.

Regards Greek.

"Demand will I think within a couple of years, be again chasing supply......" If that is so, then no reason to invest in any of the oilies yet, unless you are happy to trade in and out on the small bounces following each RNS. I do hold ARG from a long way back, but I am the first to admit that it is stagnant money and not one of my best investments!

Still sitting here with my RKH and pleased with the rise in the last couple of days. I hope the dip today is the profit takers selling - that said, once bitten twice shy and I shall wait a while before committing more.

StockMarketWire.com
Rockhopper Exploration has acquired a portfolio of non-operated production and exploration interests in Egypt from Beach Energy Ltd for a headline consideration of $22.0m.

Highlights:
· Rockhopper to acquire the entire issued share capital of Beach Petroleum (Egypt) Pty Limited ("Beach Egypt") which on completion will hold: 22% interest in the Abu Sennan concession; and 25% interest in the El Qa'a Plain concession

· Current working interest production from Abu Sennan of approximately 1,300 boepd, net to Rockhopper (based on average H1 2015 production levels)

· 2P plus 2C reserves and resources at the effective date of 1 July 2015 are estimated at 4.5 mmboe (management estimate), net to Rockhopper

· Headline consideration of US$22.0 million to be satisfied: Approximately US$11.5 million in cash; and the issue of new fully-paid Rockhopper shares to the value of US$10.5 million, priced based on the volume weighted average price of Rockhopper shares during the 30 days prior to completion, subject to a maximum of 5% of the Company's issued share capital (the "Rockhopper Consideration Shares")

· Implied transaction multiple of less than US$4.50 per barrel of oil equivalent (adjusting for estimated financial assets being acquired)

· Rockhopper retains balance sheet strength post acquisition - forecast cash at end 2015 estimated at US$110 - 120 million

· Transaction represents the continuation of Rockhopper's strategy to build a full cycle E&P company focused on its two core areas and represents the Company's entry into Egypt, a prolific hydrocarbon province

· Acquisition anticipated to complete in late 2015 / early 2016 (subject to satisfaction of certain conditions), with consideration adjusted for net cash flow attributable to the assets since the effective date of 1 July 2015.

Who Should Attend?Date:

Wednesday 12th August 2015

Venue:

Novotel Tower Bridge, London EC3N, 10 Pepys Street, London, EC3N 2NR

Event Timings:Sponsored by:

StockMarketWire.com
Rockhopper has widened its H1 pretax loss to $5.1m, from a loss of $3.2m. Revenue was $1.8m, from $0.8m.

Chairman Pierre Jungels said:
"We have enjoyed a fantastic start to our 2015 North Falkland Basin exploration campaign with two material oil discoveries and, through the Isobel Deep well, the opening of a new play in a previously underexplored part of the basin. We look forward to the results of two further high-impact wells in the campaign during the remainder of 2015.

"Progress at Sea Lion continues, despite the challenging market environment, with the award of major FEED contracts targeted during the fourth quarter of this year. These contracts, once awarded, will represent another significant milestone on the path towards project sanction.

"We continue to invest and grow our second core area in the Greater Mediterranean and North Africa region where we expect to see a material increase in production and cash flow over the next six months."

StockMarketWire.com
Rockhopper Exploration said the 14/20-2 'Isobel - 2' well was spudded, by operator Premier Oil on Nov. 21. The well is located on licence PL004a in which Rockhopper has a 24% working interest and is an exploration well on the Isobel/Elaine fan complex.

The Well, which will be a re-drill of the Isobel Deep formation at that reservoir level will also intercept four other fans within the complex comprising Irene, Doreen Elaine South and Isobel.

The Well is located approximately 4.2km from the Isobel Deep well (14/20-1), which penetrated the first 24m of the Isobel Deep reservoir but failed to reach Total Depth owing to operational issues in May of this year.

StockMarketWire.com
Rockhopper and Falkland Oil & Gas have agreed the terms of a recommended all-share merger. Falkland shareholders would receive, for every one share they own, about 0.2993 Rockhopper shares.

The merger values Falkland Oil & Gas at about OGBP57.1m, and each of its shares at 10.70p.

The combined Group is expected to:
o be the largest North Falkland Islands licence and discovered resource holder with a material working interest in all key licences;

o have enhanced prospects of progressing the Sea Lion project through final investment decision;

o have greater exposure to exploration and appraisal upside potential; and

o benefit from enhanced scale and capabilities creating value in the current market environment.

What it needs is a rise in crude...but that is good news...impressive exploration company...

Good news,asset rich with great prospects also sitting on £130 million

good heavens; it's young lazarus :-)

Ha Ha been watching in background quiet a while ready for this drill to invest in so you might hear a little more from me.

StockMarketWire.com
Rockhopper Exploration said the Italian Parliament has approved the 2016 Budget Law that reintroduces restrictions on offshore oil and gas activity including the general ban on exploration and production activity within 12 nautical miles of the coast of Italy.

This restriction was first introduced in 2010 and repealed in 2012.

Certain exceptions apply for existing production concessions and none of the Company's other interests in Italy, including the Guendalina gas field, are expected to be impacted by this new legislation. The Budget Law came into force on 1 January 2016.

At the same time, Rockhopper has been granted a 12 month extension to the suspension of the Ombrina Mare exploration permit to 31 December 2016.

Ombrina Mare is located within the 12 mile limit and the Company is conducting an in depth review of this new legislation, how the exploration permit is affected and its impact on the Ombrina Mare project.

Drilling update - 14/20-2 (Isobel-2 Re-drill)
Oil Discovery
Highlights
· Net oil pay of 27m
· No Oil Water Contact or gas encountered
· Oil discovery confirmed at Isobel Deep
· Additional oil bearing F3 reservoirs

The Well is located on licence PL004a in which Rockhopper has a 24% working interest which will increase to 64% following completion of the merger with Falkland Oil & Gas (anticipated to occur on the 18 January 2016).

The Company can confirm that the Isobel Deep reservoir has been successfully re-drilled and that the Well reached a total depth of 3014m below sea level, in a location some 4km from the Isobel Deep discovery well. The location of the Well was also in a position that intercepted the edges of a number of additional fans within the Isobel / Elaine complex.

The Company is delighted to announce that the Well encountered a total of five oil bearing fan packages of the F3 system, with net pay of 27m recorded within the Isobel Deep, Isobel and Emily reservoirs.

Additionally, whilst sand with oil shows was recorded in the Elaine South and Irene fans, reservoir quality was low (as had been anticipated) given the nature of the location at the very edge of the fan bodies. The Company anticipates that better reservoir can be found in the main bodies of those fans.

The Well did not encounter any gas nor did it penetrate an Oil Water Contact within any of the sands in this location, where the Isobel Deep reservoir is 350m downdip from the discovery well. The results indicate that the total oil column established by this second well is likely to be in excess of 480m.

Whilst the data acquired is still to be fully evaluated and integrated, the initial view of the Company is that the results of this Well indicate that the Isobel / Elaine complex is highly likely to contain a commercially viable quantity of recoverable oil.

The Well will now be plugged and abandoned as planned before moving to the final well of the programme, Chatham.