Rockhopper Exploration plc (AIM: RKH), the oil and gas company with key interests in the North Falkland Basin and the Greater Mediterranean region, is pleased to provide the following update in relation to its Greater Mediterranean portfolio.
Abu Sennan, Egypt (22% working interest)
Current production from the Abu Sennan concession is approximately 4,100 barrels of oil equivalent per day (“boepd”) gross (915 boepd net to Rockhopper), an approximate 10% increase over average production rates during 2018.
As previously announced, exploration well ASZ-1X located on Prospect S was spudded on 8 November 2018 and an oil discovery was made in the Abu Roash-C reservoir. The award of a development lease over the discovery is currently pending governmental approval.
2019 drilling campaign
Following joint venture approval, an active drilling programme has been agreed for 2019 including the drilling of one exploration well (SW-ASH-1X), two in-fill oil producer wells (Al Jahraa-11 and Al Jahraa-7) and a second water injection well on Al Jahraa field. Activity in 2019 continues the planned development programme in the Al Jahraa field, as well as further exploration on the concession.
The 20 inch conductor has been set in place at the Al Jahraa-11 location and the rig has been mobilised to site. Spud is anticipated towards the end of February for this first well of the 2019 drilling campaign. The well is expected to take approximately 54 days to complete and is targeting the AR-C and the Bahariya reservoirs.
Ombrina Mare arbitration
In March 2017, Rockhopper commenced international arbitration proceedings against the Republic of Italy in relation to the Ombrina Mare field. The hearing took place in early February 2019 in Paris with post hearing briefs to be submitted in the coming months and an outcome expected in late Q3 or early Q4 2019.
Rockhopper continues to believe it has strong prospects of recovering very significant monetary damages – on the basis of lost profits – as a result of the Republic of Italy’s breaches of the Energy Charter Treaty.
Rockhopper Exploration plc
Sam Moody – Chief Executive Officer
Stewart MacDonald – Chief Financial Officer
Tel. +44 (0)20 7390 0234 (via Vigo Communications)
Canaccord Genuity Limited (NOMAD and Joint Broker)
Tel. +44 (0)20 7523 8000
Peel Hunt LLP (Joint Broker)
Tel. +44 (0)20 7418 8900
Tel. +44 (0)20 7390 0234
Note regarding Rockhopper oil and gas disclosure
This announcement has been approved by Rockhopper’s geological staff which includes Lucy Williams (Geoscience Manager) who is a Chartered Geologist, a Fellow of the Geological Society of London and a Member of both the Petroleum Exploration Society of Great Britain and American Association of Petroleum Geologists, with over 25 years of experience in petroleum exploration and management and who is the qualified person as defined in the Guidance Note for Mining, Oil and Gas Companies issued by the London Stock Exchange in respect of AIM companies.
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (“MAR”).