1. Pelican-1, Block 7, Offshore Mauritania (ROC: 2.0% - with an option to go to 5.5%)

Since the last report (ROC’s Release to ASX dated 23 December 2003), the Pelican-1 exploration well, in Block 7, offshore Mauritania, has drilled ahead in 12¼ inch hole to a Total Depth of 3,825 metres. The wireline logging programme is almost complete, pressure gradient data have been obtained and reservoir fluid samples collected, but not yet examined. Based on the preliminary interpretation of this information, the well appears to have penetrated a gross interval of approximately 300 metres through which a number of gas-filled Palaeocene sands, some with good oil shows, are intermittently developed. Individual sands are generally thin with variable reservoir characteristics but, occasionally they are in the range of 5 to 10 metres thick with excellent reservoir quality. The well, drilled in 1,700 metres of water at the high point of a large structure, will be plugged and suspended as a gas discovery. The timing and nature of any appraisal work will be dependent upon a comprehensive analysis of the information obtained from the well which, because of its relative isolation, will be a key data point for the region.

Commenting on the Pelican-1 discovery ROC’s Chief Executive Officer, Dr John Doran, stated that:


“Pelican-1 was a rank exploration wildcat in an essentially unexplored, deep water, frontier area, far removed from the Chinguetti, Banda and Tiof/Tiof West oil and gas fields which lie some 150 km to the south. Therefore, the discovery of movable hydrocarbons, in reservoir quality sands in a different part of the geological sequence from that which contains those other accumulations, may be regarded as encouraging. A lot more work and a full evaluation of all the new data, needs to be done before any commercial comment can be ascribed to this discovery; in particular we are yet to determine the wetness of the gas indicated by the preliminary log interpretation or whether or not there is an associated oil leg which, because the well drilled the top of the structure, remains a possibility. There is no doubt that we would have preferred to have found oil in thicker sands - and perhaps we will, as we analyse the data in more detail and begin to explore the block, because all we have at the moment is a preliminary interpretation of a 12¼ inch diameter hole in a 13,469 sq km/3.3 million acre permit.”

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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KEY POINTS

• The Chinguetti-4-7 (Tiof West) discovery well in Block 4, offshore Mauritania, has been plugged and abandoned as planned, after completing wireline logging and fluid sampling.

• The Pelican-1 exploration well in Block 7, offshore Mauritania, is preparing to drill ahead in 12¼ inch hole after drilling to 3,356 metres and setting 13-3/8 inch casing.

• The Saltfleetby-7 appraisal/development well has been completed for production in the main Westphalian gas reservoir. The initial clean up flow rate is in the order 2 to 3 MMSCF/D and increasing as the well cleans up.


• Site preparation for the Old Hills-1 exploration well, approximately 30 km from Nottingham in the English Midlands, is almost complete and the well is expected to commence drilling in early January.


• Preparations are continuing for a two to five well drilling programme due to commence in January 2004 in the Beibu Gulf, offshore China.


• ROC expects to book an after tax profit of approximately A$ 1 million from the proposed sale of its 6.4% to 14.3% interests in the undeveloped Ettrick Field and associated exploration acreage, in the UK North Sea. The proceeds of the sale, the precise magnitude of which is subject to confidentiality provisions in the Sales and Purchase Agreement, will go a considerable way towards offsetting the cost of ROC increasing its interests offshore Mauritania, as detailed in the Company’s recent ASX announcement.

1. OFFSHORE MAURITANIA

1.1 Chinguetti-4-7 (Tiof West): Step Out Exploration Well, Block 4, PSC B (ROC: 2.4%)

Woodside Mauritania Pty Ltd, Operator of the Mauritania Area B Joint Venture, reports that the Chinguetti-4-7 (Tiof West) step out exploration well was plugged and abandoned as planned and the rig released on 21 December 2003.
Since the last report, wireline formation sampling was concluded.
Following the recently announced acquisition of AGIP’s interest and assuming that each joint venturer takes up it’s pro-rata equity share, participants in the Area B PSC will be as follows:

. . . . . . . . . . . . . . . . . . . . . . . . . Area B
Woodside Mauritania Pty Ltd . . . . .53.846% (Operator)
Hardman Resources Ltd . . . . . . . . 33.230%
Fusion Mauritania B Limited . . . . . . .9.231%
Roc Oil (Mauritania) Company .. . . . .3.693%

Further appraisal drilling will be required to assess the significance of the Tiof and Tiof West oil and gas accumulations.

1.2 Pelican-1: Exploration Well, Block 7 (ROC: 2.0% plus 3.5% Option)

The Pelican-1 exploration well, offshore Mauritania, is preparing to drill ahead in 12¼ inch hole after drilling to 3,356 metres and setting 13-3/8 inch casing.

2. ONSHORE UK

2.1 Saltfleetby-7: Appraisal/Development Well, Saltfleetby Gas Field (ROC: 100% and Operator)

Since the last report (ROC’s ASX Release dated 16 December 2003), the well has been successfully completed as a gas producer in the main Westphalian gas reservoir of the Saltfleetby Field. Clean-up flow, to remove drilling and completion fluids from the well bore, has commenced at an initial rate of about 2 to 3 MMSCF/D which was increasing as the well unloaded significant quantities of drilling and completion fluids.
Early data from the completion and clean-up exercise indicate that the reservoir pressure at the well is similar to the pressure at other wells in the field, confirming good communication with the field’s main gas pool.

Commenting on the Saltfleetby-7 results, ROC’s Chief Executive Officer, Dr John Doran, stated that:

"Hopefully, we will be able to bring the well onto full production in January, so as to capture some of the high winter UK gas prices.”

2.2 Old Hills-1: Exploration Well, PEDL003 (ROC: 100% and Operator)

Well site preparation is almost complete for the Old Hills-1 exploration well, located in PEDL003, approximately 30 km southeast of Nottingham in the English Midlands. The well will be drilled by the ROC Explorer Rig after it has finished current operations at the Saltfleetby-7 location. The well is expected to commence drilling in early January 2004. Subject to drilling results, the Old Hills-1 well, which is targeting a 2 to 3 MMBO oil prospect, is expected to take approximately one month to drill.

3. CHINA

3.1 Block 22/12, Beibu Gulf (ROC: 40% and Operator)

Preparations are continuing for the commencement of the two to five well drilling programme due to start in mid January 2004 in Block 22/12, Beibu Gulf, offshore China. The Nanhai IV jackup drilling rig is currently in the region drilling for China National Offshore Oil Company and is due to be available for ROC and its co-venturers from about 15 January 2004.

4. UK NORTH SEA

4.1 Ettrick Field, UK North Sea

ROC has reached agreement with EnCana (U.K.) Limited (“EnCana”), whereby ROC will sell its interests in three U.K. North Sea licences to EnCana for cash. Confidentiality provisions within the Sale and Purchase Agreement presently preclude disclosure of the precise magnitude of the consideration to be paid by EnCana, however, subject to the foreign exchange rates which prevail at the time the transaction is completed, ROC expects to book an after tax profit in the order of A$ 1 million as a result of the sale,

Two of the licence interests are P.272 (Block 20/3a) (ROC 6.38899%) and P.317 (Block 20/2a) (ROC 14.281%), which together contain the undeveloped Ettrick Field to which ROC has assigned 3.5 MMBO probable undeveloped reserves. The third licence, P.273 (Block 20/7a) (ROC 12.402%) is contiguous with P.317 and contains the dry Squirrel exploration well drilled earlier in 2003.

Completion of the transaction, expected during the first half of 2004, is contingent upon receipt of necessary approvals from co-venturers and from the Secretary of State for Trade and Industry of the U.K. Government.

Commenting on the proposed sale, ROC’s Chief Executive Officer, Dr John Doran, stated that:

“This sale continues ROC’s declared strategy of exiting the U.K North Sea by selling its remaining interests in that area – but only as and when the time and price are right. ROC believes that the likely timescale for the potential development of Ettrick is such that ROC should monetise that asset and apply the sale proceeds to its activities in other areas, including potential field developments offshore Western Australia and Mauritania. In this particular case, the sale proceeds will go some considerable way towards offsetting the cost of ROC’s recently announced acquisition of additional interests, offshore Mauritania.”

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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ROC is pleased to advise that, by prior agreement with Voyager Energy Limited (“Voyager”), it will exercise an option to acquire a 50% interest in, and operatorship of, a newly awarded permit in the offshore Perth Basin, near Geraldton (Attachment 1). The balance of the permit interest will be held by Voyager. The 725 sq km area is currently designated WO3-14 and covers a portion of the geological trend which, to the south, includes the Cliff Head Oil Field. The area is contiguous with three licences in which ROC and Voyager already hold interests, all of which are operated by ROC.

Commenting on the permit acquisition, ROC’s Chief Executive Officer, Dr John Doran, stated:

“The acquisition is consistent with ROC’s consolidation of its interests in the northern part of the offshore Perth Basin where ROC now holds between 20% and 50% in approximately 7 million gross acres/almost 30,000 sq km, together with an option to acquire a 7.5% interest in WA-226-P where the Fiddich-1 exploration well is expected to be drilled during 2004.”

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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KEY POINTS

• Effective 1 August 2003, Agip Mauritania B.V. (“Agip”) has decided to sell its 35% interest in Production Sharing Contracts ("PSC") Areas A and B, offshore Mauritania to the other four participants, including ROC. The proposed sale will be via a two step process which will initially see the operator, Woodside Petroleum Limited, temporarily acquire all of Agip's equity before distributing the relevant equity parcels to the other co-venturers on a pro-rated, same cost, basis.

• As a result, ROC's interest in PSC Area A, which contains the Banda Oil and Gas discovery, will increase from 2.7% to 4.155% and its interest in PSC Area B, which contains the Chinguetti and Tiof oilfields, will increase from 2.4% to 3.693%.

• ROC's total net share of the cost of the transaction will approximate US$3.6 million/A$4.8 million including adjustments for costs incurred subsequent to the 1 August 2003 effective date. The purchase will be funded from the Company's cash assets. Modest additional contingent payments, up to a total of US$0.6 million net to ROC, may be made subject to certain exploration, development and production success milestones being achieved.

1. BACKGROUND

Woodside Petroleum Limited (“Woodside”) has advised that:

- It will increase its interest in two of its core Mauritanian exploration areas following the signing of an agreement to acquire Agip Mauritania B.V. (“Agip”), a wholly owned subsidiary of the Italian oil and gas company, ENI Exploration B.V.

- Agip currently holds a 35% interest in each of PSC Area A, which contains the Banda discovery, and PSC Area B, which contains the Chinguetti and Tiof discoveries.

- As a result of the transaction, Woodside will initially and temporarily, acquire 100% of the shares in Agip Mauritania B.V. for about US$62 million, plus adjustments from an effective date of 1 August 2003. In addition, a contingent payment of up to US$15 million may be paid on completion of certain exploration, development and production success milestones.

2. THE ON-SALE TRANSACTION

In a related transaction, Woodside has agreed to on-sell, on the same cost basis, to the remaining joint venturers in the PSC areas, their pro rata share of the equity being acquired from ENI.

The acquisition and on-selling transactions are expected to close early in 2004.

Following the Agip acquisition and the pro rata allocation of interests among all of the continuing joint venturers, interests in PSC Areas A and B will be:

Company . . . . . . . . . . . . PSC A. . . . . . . . . . . . . . . PSC B
. . . . . . . . . . . . . Pre-sale . Post-sale . . . .Pre-sale . Post-sale
. . . . . . . . . . . . . . . %. . . . . . .%. . . . . . . . ..%. . . . . . .%
Woodside . . . . . . . . .35 . . . . .53.846 . . . . . . . 35 . . . . .53.846
Agip Mauritania BV . . .35 . . . . . .. - . . . . . . . . ..35 . . . . . .. -
Hardman . . . . . . . . .24.3. . . . .37.384. . . . . . . .21.6. . . .33.23
Fusion Mauritania A. . .3 . . . . . . 4.615 . . . . . . . .- . . . . . . . -
Fusion Mauritania B . . - . . . . . . . .-. . . . . . . . . .6 . . . . . 9.231
ROC Oil . . . . . . . . . .2.7 . . . . . 4.155. . . . / /. . 2.4 . . . . 3.693

3. ROC CEO’S COMMENTS

Commenting on the transaction, ROC’s Chief Executive Officer, Dr John Doran, stated that:

"The transaction’s US$3.6 million/A$4.8 million net cost to ROC will be funded from the Company cash assets.

The move is the latest example of ROC consolidating its position in its core areas. It is consistent with ROC’s 2 December 2003 ASX announcement that the Company had secured an option to increase its equity in Block 7 offshore Mauritania from 2.0% to 5.5%.

Ideally, ROC would like to be at about 5% in all of its deep water blocks offshore Mauritania and we are prepared to be patient with regard to how we get there because we see our involvement in this emerging petroleum province as a long term core project, as foreshadowed in ROC's Release to ASX dated 31 October 2002.

Agip has been a terrific participant and their contributions to the Joint Venture will be missed. However, we well understand that definitions of core area vary markedly between companies like Agip and companies like ROC.”

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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KEY POINTS

• Preliminary evaluation of wireline logs and pressure data acquired from the Chinguetti-4-7 (Tiof West) step out exploration well, 8 km west of the Chinguetti-4-6 (Tiof) oil and gas discovery, offshore Mauritania, indicates a gross vertical oil column of approximately 122 metres underlying a four metre gross gas column. Preliminary analysis of the pressure data indicates that the oil columns in the two Tiof wells are likely to be in direct pressure communication.

• The Pelican-1 exploration well in Block 7, offshore Mauritania, is drilling ahead towards the next casing point at 3,450 metres.

• Saltfleetby-7, onshore UK, is to be completed for production in the main Westphalian gas reservoir after the potential Namurian gas reservoir proved to be tight.

1. OFFSHORE MAURITANIA

1.1 Chinguetti-4-7 (Tiof West): Step Out Exploration Well, Block 4, PSC B (ROC: 2.4%)

Woodside Mauritania Pty Ltd, Operator of the Mauritania Area B Joint Venture, reports that preliminary evaluation of wireline logs and pressure data acquired from the Chinguetti-4-7 (Tiof West) step-out exploration well indicates a gas column of approximately 4 metres overlying a gross oil column of approximately 122 metres. Water bearing sands have been confirmed below the hydrocarbon bearing interval.

The top of the hydrocarbon bearing interval was intersected down-dip from the top of the hydrocarbon bearing interval in the Chinguetti-4-6 (Tiof) discovery well. Preliminary analysis of the pressure data indicates that the oil column is likely to be in direct pressure communication with the oil column intersected in the Chinguetti-4-6 (Tiof) well.

Further appraisal drilling will be required to assess the significance of the two wells and to verify connectivity and the net to gross of the reservoir section.

Since reporting on the well on 9 December 2003, the 36 inch conductor was jetted to 1,423 metres, 18 inch hole was drilled to 2,127 metres, 13-3/8 inch casing was run and cemented and 12¼ inch hole was drilled to the final total depth of 2,991 metres.

The well will now be plugged and abandoned, as planned.

Participants in the Area B PSC are as follows:

. . . . . . . . . . . . . . . . . . . . . . . . . Area B
Woodside Mauritania Pty Ltd . . . . . .35.0% (Operator)
AGIP Mauritania BV . . . . . . . . . . . . 35.0%
Hardman Resources Ltd . . . . . . . . . 21.6%
Fusion Mauritania B Limited . . . . . . . 6.0%
Roc Oil (Mauritania) Company .. . . . . 2.4%

Commenting on the Chinguetti-4-7 (Tiof West) results, ROC’s Chief Executive Officer, Dr John Doran, stated that:

"It is far too early to be talking about the magnitude of the potential oil reserves but you can’t help being a little encouraged whenever you establish a substantial gross oil column by drilling an 8 km step out well along the axis of a channel sand system that is more than 2 km wide particularly in a frontier area that is still barely explored.”

1.2 Pelican-1: Exploration Well, Block 7 (ROC: 2.0% plus 3.5% Option)

The Pelican-1 exploration well, offshore Mauritania, is drilling ahead at 3,213 metres in 17½ inch hole to the planned 13-3/8 inch casing point at 3,450 metres.

2. ONSHORE UK (ROC: 100% and Operator)

2.1 Saltfleetby-7: Appraisal/Development Well

Since the last report (see ROC’s ASX Release dated 9 December 2003) it has become apparent that commercial gas production cannot be established from the potential Namurian reservoir at this location. Consequently, the Namurian sands have been isolated with a bridge plug and the well is currently being completed as a near horizontal producer in the main Westphalian gas reservoir. The Westphalian reservoir is behind casing and it is planned that 164 metres net sand out of a gross interval of 222 metres will be perforated for potential production.

The lack of commercial flow is due to the Namurian sand reservoir being unusually tight at this bottom hole location although the reservoir is known to be productive at two other wells in the field where Namurian gas has flowed at significant rates. The completion of Saltfleetby-7 in the main Westphalian gas reservoir is expected to allow accelerated production of gas reserves already identified and accessed, albeit less efficiently, by the five other Saltfleetby gas producers in the main field area, all of which have also been completed in the Westphalian.

Commenting on the Saltfleetby-7 results, ROC’s Chief Executive Officer, Dr John Doran, stated that:

"Up until we run the actual test of the Namurian we thought we stood a good chance of getting the hat trick: the feather edge of the Brindsley Abdy oil accumulation, the main Westphalian gas reservoir and the potential Namurian gas reservoir. However, despite encouraging drill data and partial log information, it turned out that we’ve drilled an unusually tight Namurian section. We could have given consideration to drilling another Namurian sidetrack in another direction in the hope of getting the better Namurian reservoir quality that we know exists elsewhere in the field but, on balance, we think it is commercially more prudent to complete the well in the main Westphalian gas reservoir in order to bring Saltfleetby-7 onto production quickly to capture some of the high winter UK gas prices.”

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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KEY POINTS

• Offshore Mauritania, the Chinguetti 5-1 (Pouné) exploration well in Block 5 was plugged and abandoned on 7 December 2003.

• Offshore Mauritania, in the Pelican-1 exploration well in Block 7, the 20 inch casing has been run and cemented and blow out preventers were being run prior to drilling ahead.

• Also offshore Mauritania, the Chinguetti 4-7 (Tiof West) step out exploration well is preparing to spud.

• Onshore UK, the Saltfleetby-7 appraisal/development well has been completed in the Namurian gas reservoir, however, to date it has not been possible to flow the well. Well completion alternative methods are currently being evaluated.

• UK gas prices have strengthened during October and November.

1. OFFSHORE MAURITANIA

1.1 Chinguetti-5-1 (Pouné): Exploration Well, Block 5 (ROC: 2.4%)

Woodside Mauritania Pty Ltd, Operator of the Mauritanian Area B Joint Venture, advises that the Chinguetti 5-1 (Pouné) exploration well was plugged and abandoned on 7 December 2003. No significant hydrocarbons were encountered in the well.

1.2 Pelican-1: Exploration Well, Block 7 (ROC: 2.0% plus 3.5% Option)

On 30 November 2003, the deepwater drilling rig, Jack Ryan, started drilling an exploration well on the Pelican Prospect on behalf of the Block-7 Joint Venture, offshore Mauritania. After some operational delays, the 20 inch casing has been run and cemented. As at 1100 hours (Australian EDST) on 9 December 2003 blow out preventers were being run prior to drilling ahead.

The well, which is in 1,679 metres of water, will be drilled to a Total Depth of about 3,800 metres. It is expected to take between 30 and 40 days to complete. It is located approximately 150 km north of the Chinguetti Oil Field. Woodside Energy Limited is managing the drilling of the well on behalf of the Block 7 Joint Venture.

1.3 Chinguetti 4-7 (Tiof West): Step Out Exploration Well, Block 4, PSC B (ROC 2.4%)

As previously announced (ASX Release dated 5 December 2003) the Area B joint venture has decided to drill a second well on the Tiof discovery as an addition to the current drilling programme. Tiof West commenced drilling on 9 December 2003 using the drillship "West Navigator" and at 1100 hours (Australian EDST) the 36 inch conducter had been jetted to a depth of 1,390 metres.

Water depth at the Tiof West location is approximately 1,315 metres. Planned total depth is approximately 2,990 metres.

2. ONSHORE UK (ROC: 100% and Operator)

2.1 Saltfleetby-7: Appraisal/Development Well

Since the last report (see ROC’s ASX release dated 2 December 2003) attempts have been made to flow test the potential Namurian gas reservoir as the initial part of the completion programme for the well. However, contrary to expectations which were based on drill data and partial log information to date, it has not been possible to flow the well. Various alternative completion methods are being considered, including the possibility of a coiled tubing operation. This data review is expected to lead either to the implementation of an alternative completion programme in the Namurian gas reservoir or result in the completion of the well in the main Westphalian gas reservoir, as foreshadowed in ROC’s ASX release dated 2 December 2003.

3. UK GAS PRICES

Gas prices in the UK have strengthened into the winter as evidenced by the current spot price being approximately 33 pence/therm (A$8.50/mcf). October and November spot gas prices are the highest since the Saltfleetby Gas Field starting producing four years ago and are almost 40% higher than spot gas prices for the same period in 2002.

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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KEY POINTS

• The Chinguetti 5-1 (Pouné) exploration well in Block 5, offshore Mauritania, will be plugged and abandoned after failing to encounter significant hydrocarbons.

• In Block 4, offshore Mauritania, a step out exploration well at the Tiof West location will start drilling immediately after the rig has been released from Chinguetti 5-1 (Pouné). The Tiof West location is approximately 8 kms from the recent Chinguetti 4-6 (Tiof) discovery.

1. OFFSHORE MAURITANIA

1.1 Chinguetti-5-1 (Pouné): Exploration Well, Block 5 (ROC: 2.4%)

The Pouné exploration well (Chinguetti 5-1) commenced drilling on 16 November 2003. Since the last report (see ROC’s ASX release dated 2 December 2003) the well was drilled to total depth of 3,285 metres and wireline logs were run. The logs show that the well has not encountered any significant hydrocarbons. The well will now be plugged and abandoned as a dry hole and the drillship, Jack Ryan, will move to drill an appraisal well at the Tiof West location.

1.2 Chinguetti 4-7 (Tiof West): Step Out Exploration Well, Block 4, PSC B (ROC: 2.4%)

As a follow-up to the recent Tiof discovery, the Area B joint venture has decided to drill a second well as an addition to the current drilling programme. As previously announced (see ROC’s ASX Release dated 14 November 2003), the Chinguetti 4-6 (Tiof) discovery well drilled in October-November 2003 encountered a gross gas column of 49.5 metres overlying a gross oil column of 38.5 metres.

The well to be drilled at the Tiof West location is regarded as a step out exploration well which is in intended to evaluate the extent and nature of the hydrocarbon accumulation in the Tiof Miocene channel sand system. The Tiof West location is approximately 8 kms west south west from the Chinguetti 4-6 (Tiof) discovery well.

Drilling will commence following completion of plugging and abandonment operations on the Chinguetti 5-1 (Pouné) well.

Commenting on the decision to add another well to the drilling programme, ROC's Chief Executive Officer, Dr John Doran stated that:

"The decision to drill a step out well in the Tiof channel sand system as an addition to the current drilling programme is a positive move which will help to determine whether or not the 100-200 MMBO potential upside reserve is credible."

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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KEY POINTS

• Offshore Mauritania, the Chinguetti-5-1 (Pouné) exploration well in Block 5 is making up the bottom hole assembly prior to drilling ahead after running 9-5/8 inch casing.

• Also offshore Mauritania, the Pelican-1 exploration well in Block 7 commenced drilling on 30 November 2003 approximately 150 km north of the Chinguetti Oil Field.

• Onshore UK, the Saltfleetby-7 appraisal/development well sidetrack has reached Total Depth and is being completed in preparation for testing of the production potential of the Namurian gas reservoir.

1. OFFSHORE MAURITANIA

1.1 Chinguetti-5-1 (Pouné): Exploration Well, Block 5 (ROC: 2.4%)

Woodside Mauritania Pty Ltd, Operator of the Mauritanian Area B Joint Venture, advises that at 1700 hours (Australian EDST) on 1 December 2003 preparations were underway to start drilling 8½ inch hole in the Chinguetti-5-1 (Pouné) exploration well.

Since the last report, the 13-3/8 inch casing was run, 12¼ inch hole was drilled to 2,887 metres and 9-5/8 inch casing was run.

The Chinguetti-5-1 (Pouné) well is located in 926 metres of water approximately 48 kilometres to the north of the Chinguetti Field and 27 kilometres to the northeast of the recent Tiof oil and gas discovery.

1.2 Pelican-1: Exploration Well, Block 7 (ROC: 2.0% plus 3.5% Option)

On 30 November 2003, the deepwater drilling rig, Jack Ryan, started drilling an exploration well on the Pelican Prospect on behalf of the Block-7 Joint Venture, offshore Mauritania. At 1700 hours (Australian EDST) on 1 December 2003, the operation was drilling ahead in 26 inch hole at 2,414 metres.

The well, which is in 1,679 metres of water, will be drilled to a Total Depth of about 3,800 metres. It is expected to take between 30 and 40 days to complete. It is located approximately 150 km north of the Chinguetti Oil Field. Despite the recent drilling successes achieved in Mauritania, ROC regards this well as a frontier wildcat well because its primary objective, Paleocene sands, have not been previously targeted in this region. The collective potential reserves of the Pelican Prospect are estimated in terms of several hundreds of millions of barrels of oil. Woodside Energy Limited will manage the drilling of the well on behalf of the Block 7 Joint Venture.

Participants in the Block 7 PSC are:

Dana Petroleum (E&P) Limited (Operator). . . . 80.0%*
Hardman Resources Mauritania Pty Ltd . . . . . 18.0%
Roc Oil (Mauritania) Company . . . . . . . . . . . 2.0% – plus a 3.5% Option*

* Please note: Roc Oil (Mauritania) Company has entered into an agreement with Dana Petroleum (E&P) Limited whereby ROC has an option to increase its interest in Block 7 from 2.0% to 5.5% in consideration for paying an additional 3.5% of the cost of the Pelican 1 well. The option must be exercised no later than 30 days after completion of drilling operations at the Pelican location.

2. ONSHORE UK (ROC: 100% and Operator)

2.1 Saltfleetby-7: Appraisal/Development Well

Since the last drilling report (ROC’s ASX Release dated 25 November 2003) Saltfleetby 7 has reached a Total Depth of 3,205 metres measured drill depth and preparations are underway to complete the well and to test the long term production potential of the Namurian gas reservoir, which underlies the main Westphalian gas reservoir of the Saltfleetby Field.

The four month well has proved to be challenging. Fortunately, a combination of innovative engineering techniques, including the use of an expandable liner, and subtle geological insights, allowed the well to reach its prognosed total depth after penetrating its three pre drill objectives: the potential Brinsley Abdy oil accumulation, the main Westphalian gas reservoir and the potential Namurian gas reservoir. The intersection of the Brinsley Abdy confirmed the pre-drill seismic model in relation to a discrete oil accumulation which lies above the main Westphalian gas reservoir (see ROC’s ASX release dated 21 August 2003). The main Westphalian gas reservoir is partially depleted, as would be expected after almost four years of Westphalian gas production from the field. The potential Namurian gas reservoir had good gas shows and appears to display reasonable reservoir quality. One of the more compelling statistics to emerge from Saltfleetby-7, which was drilled at a high angle through the Westphalian and horizontally through the Namurian, is that it encountered a total of 235 metres of net gas pay: 135 metres in the main Westphalian gas reservoir and 100 metres in the Namurian gas reservoir beneath it.

At this stage, it is not possible to predict how well, or how long, the Namurian will flow when it is brought into production during December 2003 for what is essentially an Extended Production Test. If the Namurian gas production proves to be short lived, consideration will be given to early recompletion of the well by perforating across the main Westphalian gas reservoir to accelerate production. Alternatively, if the Namurian gas reservoir realises its productive potential it is expected to boost field wide Saltfleetby gas production by 10-15% during the first quarter 2004.

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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In order to view the ROC OIL COMPANY LIMITED (“ROC”) RELEASE TO AUSTRALIAN STOCK EXCHANGE (“ASX”) SHAREHOLDERS' UPDATE: JULY - NOVEMBER 2003 (2 December 2003), click here

Bruce Clement
Chief Operating Officer
E-mail: bclement@rocoil.com.au

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