MercoPress. South Atlantic News Agency
Falklands’ Sea Lion well latest oil appraisal sends Rockhopper shares soaring
Sea Lion has a minimum potential flow of 2.700 barrels of oil per day Shares in Falkland Islands Rockhopper Exploration soared 16% on Monday, after it raised its lowest case estimate of crude reserves at its Sea Lion well.
In a technical update on its appraisal well the company said that its management has raised its lowest case estimate of 57 million barrels, a figure that was released in June to 155 million barrels.
Recent results have shown that the appraisal well 14/10-4 has the potential to flow at 2,700 barrels of oil per day, compared to 2,000 barrels a day seen in the discovery well, according to a company’s release.
In a further boost, analysis of the results and logging has indicated that both wells are in communication: 14/10-4 and the original 14/10-2 discovery well, Rockhopper said.
Rockhopper is the only oil explorer to make a potentially commercial discovery in the Falkland Islands. Company shares have risen more than six-fold in the last year.
In March, Rockhopper said that the first appraisal well on the Sea Lion feature had proved successful with a thick, high-quality reservoir package and a substantial oil column, prompting chief executive Samuel Moody to announce that Sea Lion is “highly likely to prove commercially viable”.
The news caused a sweep of 'buy' recommendations and positive updates from analysts.
Charlie Sharp, an analyst with the Matrix Group remarked that this is clearly good news for Rockhopper and takes the Sea Lion a step closer to commerciality.
Top Comments
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Read all commentsWheres Think when you want him?
Apr 05th, 2011 - 09:32 am 0Following the announcement, Mrs Thatcher's only comment was to rebuke questioning journalists with the remark, ”Just rejoice at that news
:-))))
1--
Apr 05th, 2011 - 09:48 am 0Do you really think the next Commenters will Think
this subject impeccable ?
Think was bleating on about this on the forum of another story.
Apr 05th, 2011 - 10:00 am 0He thinks it is all a lie and tried to claim it was a downgrade when in fact it is the opposite.
Like many of the other Argie posters he can't admit being wrong and clearly any success must be a lie or conspiracy. He has his head in the sand and cannot even bring himself to see the information that is in his face.
Delusion is a terrible affliction isn't it!
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