Year to date highlights

Sea Lion

  • Announcement by Harbour Energy plc (“Harbour”) in September 2021 that the Sea Lion project does not fit its corporate strategy and therefore that it will seek to exit the project and its North Falkland Basin licences
  • Rockhopper to continue to pursue the Sea Lion project with a handover process to commence shortly
  • Discussions ongoing with Navitas Petroleum LP (“Navitas”) regarding its potential entry to the Sea Lion project
  • Extension of the Company’s North Falkland Basin Petroleum Licences, including the Sea Lion Discovery Area, to 1 November 2022

 

 Corporate and financial

  • Continued focus on corporate costs resulted in reduced administrative expenses – G&A US$1.6     million in  H1 2021(H1 2020: US$2.7 million)
  • Further corporate cost savings implemented post period end
  • Cash resources of US$7.1 million as at 30 June 2021

 

Outlook

  • Formal exit by Harbour – Rockhopper expects to regain operatorship and 100% working interest in Sea Lion and key North Falkland Basin licences, subject to necessary consents
  • Progress an alternative, lower-cost development scheme for Sea Lion utilising the existing extensive design and engineering work undertaken for the project in recent years
  • Potential farm-out of Sea Lion project to Navitas 
  • Outcome awaited in relation to Ombrina Mare arbitration – seeking significant monetary damages

 

Keith Lough, Chairman of Rockhopper, commented:

“Harbour Energy’s decision not to proceed with Sea Lion is both a disappointment and an opportunity, affording us greater control through our expected regaining of operatorship and a 100% working interest.
“Sea Lion is a world-class oil field with the scale and potential to create very material value for Rockhopper, its partners and the Falkland Islands as a whole.

“Work will continue on a number of fronts over the coming weeks, including: (1) progressing Harbour’s orderly exit from the Falklands; (2) advancing plans for an alternative, lower cost, development of Sea Lion; and (3) progressing discussions with Navitas Petroleum around their potential entry to the project.”

Enquiries:

Rockhopper Exploration plc
Sam Moody – Chief Executive
Stewart MacDonald – Chief Financial Officer
Tel. +44 (0) 20 7390 0234 (via Vigo Communications)

Canaccord Genuity Limited (NOMAD and Joint Broker)
Henry Fitzgerald-O’Connor/James Asensio>
Tel. +44 (0) 20 7523 8000

Peel Hunt LLP (Joint Broker)
Richard Crichton
Tel. +44 (0) 20 7418 8900

Vigo Communications
Patrick d’Ancona/Ben Simons
Tel. +44 (0) 20 7390 0234

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”).