MercoPress. South Atlantic News Agency

Rockhopper completes sidetracking of its latest well in Falklands’ waters

Samples of the oil extracted by Rockhopper from Sea Lion prospect

Rockhopper Exploration, the oil and gas group working in the Falkland Islands announced on Friday it has completed coring and logging operations on a sidetrack of its latest well in the North Falkland Basin

The sidetrack well 14/15-4z was located approximately 12.5m from the main well bore and drilled to a total depth of 2.555m. A total 115m of core was cut through the hydrocarbon bearing Beverley, Casper South, Casper and Sea Lion reservoirs bringing the total amount of core cut during the entire drilling campaign to 455m.

In early December Rockhopper announced its third oil discovery in the North Basin and that the 14/15-4 well had penetrated multiple reservoir targets: Beverley, Casper South, Casper and Sea Lion Main Complex and that all of them were hydrocarbon bearing.

By drilling the well, the company earned a 60% interest and operator-ship of licence PL004b, which was previously controlled by its partner in the region, Desire Petroleum. The well will now be plugged and abandoned as planned.

The current round of oil exploration in Falklands’ waters started in February 2010 with the arrival of the Ocean Guardian drilling rig, contracted by Desire Petroleum, for a multi-well drilling campaign.

Rockhopper drilled an exploration well on its Sea Lion prospect during April and May 2010, the result of which was the first oil discovery and Contingent Oil Resource in the North Falkland Basin.

The Sea Lion discovery was successfully tested during September 2010 and June 2011 and was the first oil to flow to surface in Falkland Islands waters.

Rockhopper also contracted seismic vessels MV Polarcus Asima and Nadia to carry out a 3D seismic survey over areas of licences PL024, PL032 and PL033 which were not previously defined by 3D, as well as adjacent areas. Data over the southern portion of licences PL032 and PL033 has been fast track processed and an initial interpretation has now been completed.

The balance of the newly acquired 3D seismic data is still being processed and the Company expects it will be available for interpretation during January 2012.