ROC OIL COMPANY LIMITED 2002-09-18 ASX-SIGNAL-GHOMEX -...

ROC OIL COMPANY LIMITED 2002-09-18 ASX-SIGNAL-G

HOMEX - Sydney

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KEY POINTS

* Gas production from the Saltfleetby Gas Field, onshore UK, has
increased by more than 15% to 34 MMSCF/D, the highest field rate
since late 2001. The increase is due to the recent successful
workover of Saltfleetby-5 in the main Westphalian reservoir.

* Oil production from Keddington-1, onshore UK, continues to increase
and is currently running at approximately 60 BOPD, following the
recent successful workover of the well.

* Chinguetti 4-3, the exploration well drilling the Banda Prospect,
offshore Mauritania, was tripping for a new bit prior to drilling
ahead at 2,434 m as of midnight 17 September 2002.

* The East Tsagaan Els-1 exploration well, in the East Gobi Basin of
Mongolia, is drilling ahead at 1,342 m.

1. DEVELOPMENT

1.1 WORK OVER

1.1.1 Saltfleetby Gas Field (ROC: 100% and Operator)

Production from the Saltfleetby Gas Field has increased by about 5
MMSCF/D (17%) to 34 MMSCF/D and the field is now producing at a
higher rate than at any time since late 2001. The additional
production is attributable to Saltfleeby-5, which was recompleted in
the main Westphalian reservoir in late August 2002. The increase is
timely with generally increasing gas prices going into the UK winter
and higher gas sales contract prices which will increase by
approximately 50% from 1 October 2002.

1.1.2 Keddington Oil/Gas Field (ROC: 100% and Operator)

Oil production from Keddington-1 continues to increase subsequent to
the well being brought back onto production following a successful
workover completed in July 2002. Since ROC's release to ASX dated 8
August 2002, the oil production rate at Keddington-1 has increased
from about 30 BOPD to 60 BOPD. The area immediately around the
Keddington Oil/Gas Field area has not been fully evaluated, which was
one of the reasons it was included in the 3D seismic survey which ROC
recently completed in this part of the South Humber Basin. In this
context, the continuing and increasing oil production at Keddington-1
may provide further insights to the untapped potential of the area.

2. EXPLORATION

2.1 DRILLING

2.1.1 PSC Area A, Chinguetti-4-3 (Banda Prospect) (ROC: 2.7%)

As at midnight on 17 September 2002, the Chinguetti-4-3 exploration
well was tripping for a new bit prior to drilling ahead at 2,434 m in
12 (1/4) inch hole. The forecast total depth for the well is 2,560 m
and the well is targeting the same channel sand complex that is known
to contain oil at the Chinguetti Oil Field.

In keeping with Joint Venture protocol, hydrocarbon shows will only
be reported after wireline logs have been run and evaluated.

The Banda prospect is in 306 m water depth, approximately 21 kms east
of the Chinguetti Oil Field.

2.1.2 East Gobi Basin Mongolia, East Tsagaan Els-1 (ROC: 50% and
carried)

As of 17 September 2002, the East Tsagaan Els-1 exploration well, the
second and last well in the current programme, was drilling ahead at
a depth of 1,342 m in 8(1/2) inch hole. The planned total depth of
the deviated well is 2,140 m measured depth corresponding to 1,900 m
true vertical depth ("TVD") with a top of the target zones expected
to be encountered below 1,300 m TVD. ROC is being carried through
the cost of the well by Dongsheng Jinggong Petroleum Development
Group Co Limited which is farming in and managing well operations.


For further information please contact:
Dr John Doran on
Tel: +61-2-8356-2000
Fax: +61-2-9380-2635
E-mail: [email protected]
Or visit ROC's website: www.rocoil.com.au