Rockhopper Exploration plc Rig Contract Cancellation (8896O)
February 12 2016 - 2:00AM
UK Regulatory
TIDMRKH
RNS Number : 8896O
Rockhopper Exploration plc
12 February 2016
12 February 2016
Rockhopper Exploration plc
("Rockhopper" or the "Company")
Rig Contract Cancellation
Rockhopper Exploration plc (AIM: RKH), the oil and gas
exploration and production company with interests in the North
Falkland Basin and Greater Mediterranean region, announces that
Premier Oil (on behalf of the Joint Venture) has served a notice to
terminate the rig contract with Ocean Rig UDW ("Ocean Rig") with
immediate effect. The notice to terminate follows a number of
operational issues with the Eirik Raude rig. As a result, the
drilling of the Chatham well - the final well in current campaign -
will now be deferred until the Sea Lion pre-development drilling
campaign.
The postponement of the Chatham well has no impact on the
planning or timetable for the Field Development Plan for the Sea
Lion initial phase development.
Rockhopper had an unaudited cash balance of approximately $110
million at the end of December 2015. Taking into account the
expected residual costs of the current exploration campaign and the
Company's continued investment in Sea Lion FEED activities,
preliminary estimates of the Company's cash balance at 31 December
2016 are now in the range of $70 - 80 million. The year-end 2016
preliminary cash estimate is subject to the outcome of a number of
material items including exploration drilling cost audits, disputes
and insurance claims - the outcomes of which should be known around
mid 2016.
Samuel Moody, CEO, commented:
"Whilst it is a shame not to be able to drill Chatham as part of
this campaign the resources added at the Zebedee location, along
with the potentially very significant discoveries in the
Isobel/Elaine area, mean that from a sub surface perspective this
has been a hugely successful campaign."
Enquiries
Rockhopper Exploration plc
Tel: (via Vigo Communications) - 020 7016 9573
Sam Moody - Chief Executive
Fiona MacAulay - Chief Operating Officer
Stewart MacDonald - Chief Financial Officer
Canaccord Genuity Limited (NOMAD and Joint Broker)
Tel: 020 7523 8000
Henry Fitzgerald-O'Connor
Liberum Capital (Joint Broker)
Tel: 020 3100 2227
Clayton Bush
Vigo Communications
Tel: 020 7016 9573
Patrick d'Ancona
Ben Simons
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCSFESMEFMSEFE
(END) Dow Jones Newswires
February 12, 2016 02:00 ET (07:00 GMT)
Rockhopper Exploration (LSE:RKH)
Historical Stock Chart
From Mar 2024 to Apr 2024
Rockhopper Exploration (LSE:RKH)
Historical Stock Chart
From Apr 2023 to Apr 2024