Ann: 2010 Annual Financial Results - Presentation, page-3

re: Ann: 2010 Annual Financial Results - Pres... Roc Oil loses $US35.9m; revenues up 15pc [ROC]


Sydney - Friday - February 25: (RWE Australian Business News) -
Roc Oil Company Ltd (ASX:ROC) lost $US35.94m in the year ended December
31, compared with a $US115.39m net loss in 2009.
After adjusting for significant items, the net loss was $13.4m
versus a normalised profit of $23.0m.
Revenues rose 15pc to $235.43m from $204.48m.
Basic loss per share was US5.0c, against US17.9c.
Chief executive Mr Alan Linn said, "ROC's underlying performance
was broadly in line with expectations, underpinned by solid performances
from the ROC-operated Zhao Dong and Cliff Head assets.
"The development drilling program at Zhao Dong was delivered on
schedule and within budget, and ensured that this asset's annual
production target was achieved despite weather-related operational
challenges at the beginning of the year.
"The completion of well workovers at Cliff Head in early 2010
ensured that this asset recorded a year-on-year increase in the average
production rate.
"ROC made positive progress with the Beibu Gulf project and the
joint venture approved a Final Investment Decision in February 2011.
"ROC has now booked working interest 2P Reserves of 4.7 MMBBL
for this project. ROC now has closing 2P Reserves of 16.2 MMBBL.
"However, ROC's 2010 financial results were undermined by
ongoing poor performance at the BMG asset.
"BMG has entered into a non-production phase, the Phase-1 oil
project is now fully written off in ROC's balance sheet and the company
will look to lower exposure to any future Phase-2 gas development."
rx