ROC OIL COMPANY LIMITED
ABN 32 075 965 856

 
HISTORY

• ROC acquired a 24.5% operated interest in the offshore Zhao Dong Block ("Block") in 2006 via the acquisition of 100% of the shares of Apache China Corporation LDC.

• The Block, located in shallow water close to the shore in Bohai Bay, contains two producing oil fields, C and D, and part of an undeveloped oil field, C4.

 REGIONAL ACTIVITY

• The Block is part of a prolific producing oil province.

 GEOLOGY

• Stacked reservoirs system, ranging in age from Palaeozoic to Tertiary.  Reservoir quality is good to excellent.

• The source rock is rich and generative.

• The Block is extremely oil prone, and oil is generally found wherever a suitable trap exists.

 PERMIT SIZE

• 27.5 sq km (6.7sq km net to ROC)

 JV PARTICIPANTS AND INTERESTS

ACTIVITY STATUS
Exploration and Appraisal
Successful drilling campaigns have been conducted.  Between 1994 and first production from the C and D fields in 2003, 11 exploration wells were drilled in the block, of which eight (73%) encountered significant oil.

A multi-well drilling programme targeting appraisal and near-field exploration opportunities is planned over the next several years.  As part of an approved Incremental Development Plan ("IDP"), the undeveloped Extended Reach Area ("ERA") in the northeastern part of the C Field, which contains a significant part of the possible reserves in the Block, will be targeted over the next 5 years by at least 35 wells.

Development
The C4 oil field straddles the permit boundary and is currently being developed.  A US$150MM development programme for the field was approved in February 2007 and includes construction of new facilities and the drilling of 24 wells (15 oil producers and 9 water injectors).  First oil production from the new facilities commenced in October 2008.  Initial 2P reserves are 17.1 MMBO gross (1.98 MMBO ROC net).

Production
The C and D Oil Fields are currently producing and undergoing simultaneous continuous development.