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Tuesday, 02 December, 2008, 00:10 GMT | more >>

Roc rides revenue wave



By Upstream staff 

Sydney-based producer Roc Oil reported record full-year revenues today on a 77% surge in year-on-year production from its six producing fields amid soaring oil prices.

Roc reported full-year revenues of $208.5 million, up 90% from $109.7 million in 2006, as production hit 3.5 million barrels of oil equivalent per day, up from 2 million boe from four producing fields last year.

The company reported record net cash flow from operations of $138.1 million, up 193% from $47 million last year.

Roc was forced to report a loss after income tax for the year of $83.3 million, compared with a loss of $44.9 million in 2006, as it wrote down exploration expenses of $88.9 million and hedging and derivatives expenses of $68.8 million, partially offset by a tax benefit of $21.4 million related to changes in Chinese corporate tax rates.

The company spent $94.7 million on exploration and appraisal in 2007, up from $59.1 million in 2006.

Production was boosted by the completion of the Enoch and Blane developments in the UK North Sea, the C4 oilfield off China and the Chinguetti-18 well off Mauritania, Roc said.

Progress was also being made on the Wei 6-12 and Wei 6-12 South pre-development projects in China’s beibu Gulf, which Roc is operating on behalf of a consortium of Australian explorers. A full development decision is expected by the middle of this year, the company said.

Roc also reported a potentially huge heavy oil find in the Massambala-1 onshore well in Angola, and potentially commercial discoveries in the North Perth basin off Western Australia.

Roc chief executive John Doran said the company’s 2008 outlook remained good, with continued production from its existing producing assets and potential upside at the Beibu Gulf play and a major sub-salt drilling initiative in Angola.


Thursday, 28 February, 2008, 05:25 GMT  | last updated: Thursday, 28 February, 2008, 11:41 GMT

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