| OCTOBER 2002 - RELEASES |
| ACTIVITIES FOR THE QUARTER ENDED 30 SEPTEMBER 2002 (31-10-02) |
To view the Quarterly Report for quarter ending 30 September 2002, click here |
| ACTIVITY UPDATE (23-10-02) |
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KEY
POINTS ·
The Chinguetti-6-1 exploration well, which is testing the Thon
Prospect, offshore Mauritania, started drilling on 20 October 2002 and
is currently running 13 3/8 inch casing. · ROC receives Global Pacific & Partners Award for “Independent Player of the Year 2002 – Africa”
1. EXPLORATION 1.1 DRILLING 1.1.1 PSC Area C, Offshore Mauritania (ROC: 5%, of which 1.25% carried) Woodside Mauritania Pty Ltd., Operator of the Mauritania PSC C Joint Venture, reports that the Chinguette-6-1 exploration well on the Thon Prospect, in Block 6 offshore Mauritania, started drilling on 20 October 2002. By 22 October 2002, the well had been drilled to a depth of 1,377 metres and current operation was running the 13 3/8 inch casing. The drill ship "Deepwater Discovery" is drilling the well. The location is approximately 125 kilometres northwest of Nouakchott. Water depth at the location is 659 meters and the planned total depth is 3,309 metres. Since the last report, plug and abandonment operations on Chinguetti-4-2 were completed in accordance with the pre drill plan and the rig was handed over to the Chinguetti-6-1 joint venture on 19 October 2002. All reported depths (except water depth) are referenced to the rig rotary table.
As at 22 October 2002, Dongsheng Jinggong Petroleum Development Group Co Limited ("Dongsheng") was continuing its preparations to test the well. Depending on how long these preparations take, it may be necessary to postpone the testing during the Northern Hemisphere winter. Based on the drill data and log analysis, ROC would be surprised if the test results proved to be commercially significant in the context of ROC's other activities in the rest of the world. ROC is being carried through the cost of the well, including testing, by Dongsheng.
At the recent
9th Annual Africa Upstream Oil & Gas Conference, organised by Global
Pacific & Partners, in Cape Town, ROC was awarded the “Independent
Player of the Year 2002” further details of which are provided at
the Global Pacific & Partners website www.petro21.com
and summarised below: Global
Award
Africa
"Big 5" Award
Africa
"Big 5" Award
Africa
"Big 5" Award
Africa
"Big 5" Award
Africa
"Big 5" Award
Bokke
Award
Bokke
Award
Bokke
Award
Robert
Gerrard
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| OFFSHORE PERTH BASIN: UPDATE AND FUTURE PLANS (21-10-02) |
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KEY POINTS 1. Cliff Head Oil Field · Following a number of detailed engineering and subsurface studies, the estimated amount of oil-in-place in the Cliff Head Oil Field in the northern Perth Basin, offshore Western Australia, has increased to 110 million barrels; up between 10% and 37% from the previously reported range of 80 to 100 MMBO in-place. · If the multi-well drilling programme, which is scheduled to start in three month’s time, confirms the new in-place estimate and the oil recovery factor proves to be within the anticipated 25% to 35% range, the Cliff Head Oil Field is expected to move towards commercial development with first oil being produced in late 2004/2005.
2. WA-325-P & WA-327-P · The relevant Joint Venturers have agreed to farmout a collective 37.5% interest to Apache Northwest Pty Ltd (“Apache”), a wholly owned subsidiary of Apache Energy, in consideration for Apache funding 56.25% of the Year One Work Programme cost up to a maximum of A$7.5 million. · Subsequent to the farmout, ROC will hold a 37.5% interest in each permit and will retain operatorship of both.
1. CLIFF HEAD OIL FIELD ROC Oil (WA) Pty Limited, Operator for and on behalf of the WA-286-P Joint Venture, has undertaken a detailed review of the geological, geophysical and engineering information relating to the Cliff Head Oil Field (“Cliff Head”), in the northern part of the offshore Perth Basin. The main points to come out of these studies include: · The oil-in-place estimate has been revised upwards to approximately 110 million barrels. The previously published estimate, calculated shortly after drilling the Cliff Head-2 sidetrack well in January 2002, suggested that the oil-in-place at Cliff Head ranged between 80 and 100 million barrels. The new estimate represents an increase of between 10% and 37% on the previously quoted range. Alternative oil-in-place estimates of up to 140 million barrels have been independently calculated by some WA-286-P co-venturers. · Following an extensive review of engineering information relating to Cliff Head, other fields elsewhere in the Perth Basin, comparable fields in Australia and also internationally, the previously stated expectation that the oil recovery factor is likely to be in the 25% to 35% range has been confirmed. This calculation takes into account the specific nature of the oil at Cliff Head, which is similar to other Perth Basin crudes: not particularly heavy (31° API), but somewhat waxy and viscous. If Cliff Head is developed, these crude characteristics could be managed for little additional cost within the overall development scheme. The multi-well drilling programme, which is due to commence in three months time, will consist of at least three and possibly as many as eight, exploration and appraisal wells, in and around Cliff Head, in both WA-286-P and the adjacent TP/15. Both permits are operated by ROC Oil (WA) Pty Ltd, while several other WA-286-P co-venturers are also participants in TP/15 (see below). One of the more important prospects scheduled to be tested during this drilling programme, Twin Lions, straddles the boundary between WA-286-P and TP/15. If Twin Lions-1, which is scheduled to be drilled from a location within TP/15, is a significant discovery, the potential would exist for a co-ordinated multi-field development to be undertaken in this part of the northern Perth Basin. The current view of the WA-286-P Joint Venture is that Cliff Head, which is entirely within WA-286-P, could be developed on a stand alone basis, without reference to results from Twin Lions-1, subject to positive results from the January-February 2003 drilling programme, so that success at Twin Lions would simply add to the overall potential of the area. Subject to the results of the imminent drilling programme and several external factors, including statutory and environmental compliances, first oil could be produced from Cliff Head in late 2004 or during 2005. The WA-286-P
Joint Venture is comprised of:
“It is easy to forget that this time last year this part of the offshore Perth Basin was undrilled and generally regarded a high risk, gas-prone area with limited reservoir potential. Obviously, during the last ten months, our perception of the area and its prospectivity has improved markedly. However, that increase in our knowledge base is minor compared to what we are going to learn during the next round of drilling which is now less than three months away. “
The participants
in WA-325-P and WA-327-P exploration areas in the northern part of the
offshore Perth Basin have agreed to farmout a collective 37.5% interest
to Apache in consideration for Apache funding 56.25% of the Year One Work
Programme up to a maximum cost of A$7.5 million. The percentage interest of the participants in each permit after the farmout will be: Roc Oil (WA)
Pty Ltd (Operator) . . . . . . . . . . .37.50% WA-325-P and WA-327-P are adjacent areas; the former lies immediately to the north of WA-286-P, which contains the Cliff Head Oil Field, while the latter is immediately east of WA-226-P where the Morangie-1 exploration well is currently drilling.
Commenting on the Apache farmin, ROC CEO Dr John Doran stated that: “ROC is pleased that Apache will become an important participant in both WA-325-P and WA-327-P and we look forward to working with them and our other co-venturers in these two permits, which represent the northern most part of what is now 7 million contiguous acres/28,000 sq km operated by ROC in the northern offshore Perth Basin.”
Robert
Gerrard
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| ACTIVITY UPDATE (15-10-02) |
KEY POINTS ·
The Chinguetti-4-4 appraisal well offshore Mauritania, has been plugged
and abandoned in accordance with the pre-drill well plan after confirming
a 113.5 metres gross oil column. After completing operations to plug and
abandon the temporarily suspended Chinguetti-4-2 well, the rig will move
to drill Chinguetti-6-1, an exploration well on the Thon Prospect. 1. EXPLORATION
Since the last report, issued on 11 October 2002, wireline logging on the Chinguetti-4-4 well has been completed and the Chinguetti-4-4 well has been plugged and abandoned in accordance with the pre-drill well plan. Following completion of plug and abandonment operations at Chinguetti-4-2, the rig will move to the Area C PSC (Block 6) to drill the Chinguetti-6-1 (Thon) exploration well.
Robert
Gerrard |
| ACTIVITY UPDATE (11-10-02) |
KEY POINTS ·
A preliminary evaluation of the wireline log data from the Chinguetti-4-4
appraisal well shows a gross hydrocarbon interval of 113.5 metres. 1. EXPLORATION
Since the last report, a 12¼ inch hole was drilled to total depth and acquisition of wireline evaluation logs commenced. A preliminary evaluation of the wireline log data indicates that the well has intersected several oil-bearing sandstones in the primary objective over a gross hydrocarbon interval of 113.5 metres within the well. Wireline sampling has recovered oil to surface. Following the completion of the logging programme, it is planned to plug and abandon the well and return to the temporarily suspended Chinguetti-4-2 well to complete plugging and abandonment operations. After analysis of the Chinguetti-4-4 well results and the Chinguetti-4-2 core data, it has been decided by the joint venture not to complete the planned second zone production test on the Chinguetti-4-2 well. Results collected to date have given the joint venture confidence to proceed with the further study of the Chinguetti opportunity without the second production test.
Current operations are preparing for those tests. It may, however, be necessary to postpone the testing during the Northern Hemisphere winter, depending on the availability of testing equipment. ROC is being carried through the cost of the well, including testing, by Dongsheng. Commenting on the results of the East Tsagaan Els-1 well, ROC's Chief Executive Officer, Dr John Doran, stated that: "Based on the drill data and log analysis, ROC would be surprised if the test results proved to be commercially significant in the context of ROC's other activities in the rest of the world".
Robert
Gerrard |
| ACTIVITY UPDATE (08-10-02) |
KEY POINTS ·
The Chinguetti-4-4 appraisal well, after cutting 3 cores, is drilling
ahead to total depth. 1. EXPLORATION
Since the Operator's last report, the 12¼ inch hole was drilled to the core point and 3 cores were cut. Following coring operations, the 12¼ inch hole was drilled to a depth of 2,929 metres. Current operation is drilling ahead to total depth.
Robert
Gerrard |
| ACTIVITY UPDATE (03-10-02) |
KEY POINTS ·
The Chinguetti-4-4 appraisal well, the third in a series of four wells
being drilled offshore Mauritania during 2002, started on 26 September
2002 and operations are currently proceeding as planned. 1. EXPLORATION
As of 1 October 2002, the well had been drilled to a depth of 1,702 m and current operations are proceeding according to the pre-drill well plan.
Robert
Gerrard |