Rocksource Spins Bit at Phoenix Prospect

- Rocksource Spins Bit at Phoenix Prospect

Thursday, September 08, 2011
Rocksource ASA

Rocksource announced that the drilling rig Borgland Dolphin has commenced drilling on the Phoenix prospect in PL 559 in the Norwegian Sea.

The PL 559 partnership consists of Rocksource (Operator and 60 percent working interest), VNG (30 percent) and Skagen44 (10 percent).

Oil & Gas Post

Promote Your Page Too
LINK

Rocksource Makes Headway in 2011 Drilling Program

- Rocksource Makes Headway in 2011 Drilling Program

Wednesday, July 27, 2011
Rocksource ASA

Rocksource has now announced the drilling results from three of its five, 2011 exploration wells. Initial results show one discovery (Norvarg) and two dry holes at wells drilled to test unproven petroleum systems (Breiflabb and Kora). Wells four and five in the 2011 program are expected to spud in September.

Norvarg

In June Rocksource announced a gas discovery in the Norvarg prospect in the Barents Sea license PL 535, operated by Total E&P Norge AS. On Norvarg Rocksource's Electromagnetic (EM) technology successfully identified the stacked hydrocarbon reservoirs present within the structure. It is too early to conclude on flow rate characteristics; hence the partnership has decided to perform a production test to gather information about reservoir production properties. Well operations are still ongoing with the planned well test to commence shortly.The test results are expected in early August.

Breiflabb

Earlier in July Rocksource announced a dry well on the Breiflabb prospect in license PL 416 in the Norwegian part of the North Sea. The Breiflabb prospect was characterized by a weak EM anomaly and was estimated to have a pre drill chance of success of 44 percent. The false positive response (EM anomaly not associated with hydrocarbon) is believed to have come from deeper levels that were not penetrated by the well.

Kora

The Kora-1 well in offshore Senegal and Guinea Bissau was on July 27 announced as unsuccessful. The Kora prospect had an EM anomaly interpreted by Rocksource to be associated with hydrocarbons with an approximate 50 percent chance of success. The prospect was found dry and the strong EM anomaly is believed to have been caused by a combination of lithologies (rock types) which have combined to produce unusually high resistivity. Although these lithologies were not specifically predicted pre-drill, given the lack of well control in this frontier area it was accounted for in Rocksource's prospect risking. Rocksource recently farmed down half of its interest in AGC Profond receiving as an initial consideration, USD 28 million in promoted contribution towards past expenditure and the costs of the Kora-1 well.

Commenting on the drilling results so far Chief Technology Officer John Howell said, "The average chance of success in our 2011 drilling campaign is approximately 50 percent. When you drill five wells with 50 percent chance of success, you should expect two to three discoveries and two to three dry holes. Although we would have liked more discoveries early, we believe we can still deliver a successful drilling campaign and we are looking forward to the results from the two remaining wells this year, and to test the further potential in our extensive exploration portfolio in 2012 and beyond."



The final two wells in 2011, will test the Heilo (PL 530) and Phoenix (PL559) prospects on the NCS. Both are expected to spud in September. Both wells are within proven petroleum systems and are on trend with earlier oil discoveries.

Heilo

PL 530 which includes the Heilo prospect is located in the Barents Sea on trend with the Goliat discovery to the west and the Nucula discovery to the southeast. The license which is operated by GDF Suez was reported to be the most sought after block in the Norwegian 20th Licensing Round. Rocksource carries a mean volume estimate of 200 mill boe and a chance of success of approximately 50% for the Heilo prospect. A success in the initial target will trigger a sidetrack to allow further efficient appraisal of the structure.

Phoenix

PL 559 which includes the Phoenix prospect was Rocksource's highest priority application in the Norwegian APA 2009 license round and is located on the Nordland Ridge, immediately to the east of the Norne, Urd, Falk and Linerle fields. Prospectivity within the license consists of three main prospects and several leads. All three prospects have encouraging EM responses. Rocksource carries a mean volume estimate of 160 mill boe for the Phoenix prospect and a chance of success of approximately 50%.

In parallel with the ongoing drilling operations Rocksource is continuing to mature EM positive prospects towards drilling decisions, and expect to firm up wells for drilling in 2012 and beyond throughout the remainder of the year.

Oil & Gas Post

Promote Your Page Too
LINK

Rocksource Hits Dry Well at Breiflabb Prospect

- Rocksource Hits Dry Well at Breiflabb Prospect

Monday, July 18, 2011
Rocksource

Rocksource ASA announced today that the drilling rig Borgland Dolphin is in the process of completing drilling operations on the "Breiflabb" prospect, in licence PL 416 in the Norwegian part of the North Sea. The well did not encounter hydrocarbons. The well will be further reviewed in the upcoming quarterly presentation on August 17th.

The PL 416 partnership consists of E.ON Ruhrgas (Operator and 50 per cent working interest), Det norske oljeselskap (15 per cent) and Rocksource (35 per cent).

Oil & Gas Post

Promote Your Page Too
LINK

Rocksource Sells U.S. Assets

- Rocksource Sells U.S. Assets

Friday, June 24, 2011
Rocksource ASA

Rocksource announced that its US subsidiaries have sold the U.S. onshore producing fields to a Texas-based oil and gas company. The transaction also terminates potential arbitration proceedings from the former owners of the US subsidiary Sandhawk Energy LLC, as described in Rocksource's Annual Report for 2010.

The US onshore assets, which in Rocksource's 1Q 2011 financial report were recorded as "assets classified as held for sale" in the consolidated statements of financial position, consist of gas producing fields in San Jacinto and Polk Counties, Texas and are owned through Rocksource's subsidiaries Rocksource Energy Corporation (REC) and Sandhawk Energy LLC (SHK). The fields are on a natural decline and have earlier been classified as non-core by Rocksource. The sale of these assets is in line with the Company's strategy to focus on drilling high potential, EM positive, exploration wells.

The US onshore assets were important in the build-up phase of Rocksource, providing cash flow to assist the Company growing its core business. Due to declining production coupled with a significant drop in US gas prices, the US assets have become increasingly marginal to Rocksource. The net proceeds from the sale are approximately USD 3.5 million and the sale will only have a marginal effect in the profit and loss statement.

Rocksource has a NOK 200 million bond maturing in May 2012 which has security in the U.S. onshore and other assets. The net proceeds from the sale will be used to make a partial early redemption of the bond.

Oil & Gas Post

Promote Your Page Too

Rocksource Scoops Up Blocks Offshore Norway

Rocksource Scoops Up Blocks Offshore Norway

Friday, April 15, 2011
Rocksource ASA

Rocksource has been awarded 4 new licenses in the 21st Licensing Round on the Norwegian Continental Shelf (NCS) announced by the Ministry of Oil and Energy on the April 15, 2011. All licenses contain high potential, low risk prospects that have been de-risked using Controlled Source Electromagnetic (CSEM) data, processed in the proprietary software system ‘Rocksource Discover’, prior to application. These awards mark another significant milestone in the Company’s development and add multiple, high value drillable prospects to the Rocksource prospect inventory.

 

PL 602. Blocks 6706/10 (part), 6706/11, 6706/12 (part)

This license is located on the Vema Dome in the Vøring Basin (Norwegian Sea), immediately west of the Luva, Haklang and Snefrid discoveries. Several prospects have been mapped and de-risked using 3D seismic data and CSEM. The prospects have potential targets at multiple reservoir levels.

• The license group consists of:
  
  • Statoil (Op.): 40%
  • Petoro: 20%
  • Centrica: 20%
  • Rocksource: 20%
• The work program consists of:
  
  • Year 1-3: Acquire new 2D seismic and reprocess 3D seismic. Decide on drill or drop.
  • Year 4-5: Drill exploration well.
  • Year 6: Decide on continuation or drop.

 

PL 528 B. Block 6707/10 (part)

This license is located in the Vøring Basin in the Norwegian Sea, directly northeast of the Luva, Haklang and Snefrid discoveries. The license is an extension to PL 528, and the new acreage is securing ownership of the full extent of the Ivory prospect which was awarded in the 20th Round.

• The license group consists of:
  • Suncor Energy (Operator): 40%
  • Centrica: 30%
  • Rocksource: 30%

The work program follows PL 528, where a drill or drop decision must be taken within April 2012.

 

PL 601. Blocks 6609/3 and 6610/1

This license is located in the eastern part of the Træna Basin, in the Norwegian Sea. Several leads and prospects have been mapped and de-risked using 3D seismic data and CSEM.

• The license group consists of:
  • Wintershall (Op): 40%
  • Edison International: 20%
  • North Energy: 20%
  • Rocksource: 20%
• The work program consists of:
  • Year 1-3: G&G work, reprocessing of existing 3D seismic, acquisition of minimum 250 sq.km. new 3D seismic. Carry out G&G studies where evaluation and possible CSEM acquisition is included. Decide on drill or drop.
  • Year 4-5: Drill exploration well.
  • Year 6: Decide on continuation or drop.

 

PL 610. Blocks 7722/2 and 7722/3

This license is located at the eastern margin of the Loppa High, in the Barents Sea, immediately north of the Obesum discovery. The prospectivity has been mapped and de-risked using 2D seismic data and CSEM.

• The license group consists of:
  • GDF Suez E&P (Op.): 50%%
  • Spring Energy: 25%
  • Rocksource: 25%
• The work program consists of:
  • Year 1-3: Acquisition of new 3D seismic. Decide on drill or drop.
  • Year 4-5: Drill exploration well.
  • Year 6: Decide on continuation or drop.

Rocksource's COO Gregor Maxwell commented, "These awards further add to Rocksource’s existing portfolio of prospects which have been de-risked using an integrated evaluation of EM data in combination with conventional seismic and well information. We believe each award contains low risk, high value prospectivity which we look forward to maturing with our partners."