ROC Reports Progress with Offshore China Discovery

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ROC Oil Co. Ltd. which in mid-June struck oil at its Wei-6-12S-1 exploration well offshore China, said that it has completed operations at the nearby Wei-6-12S-1Sa sidetrack well.

The sidetrack well, located approximately 50 meters from the original discovery in Block 22/12 in the Beibu Gulf, was drilled to further delineate and core the relevant reservoirs. Five core samples were successfully cut and effectively 100% recovery achieved. Initial analysis indicates that these core samples are similar to the reservoir character and quality found in the discovery well.

The first sidetrack well reached a total depth of 2,530 meters below rotary table and has been plugged and abandoned after logging, in accordance with the pre-drill program. Preparations for the drilling of a second sidetrack well, Wei-6-12S-1Sb, are underway.

The second sidetrack has been designed to intersect the various reservoir sands in a downdip position relative to the discovery well, with the aim of better delineating the likely multiple oil-water contacts in the field and testing the possible thicker downdip development of thin sands intersected in the discovery well.

A possible sandy sequence is expected to be intersected toward the base of the sidetrack well. It is not present in the discovery well, providing the second sidetrack with an exploration component.

The second sidetrack well is expected to commence later this week and to be completed during August. This represents a significant step out, and ROC will thus issue regular weekly updates on the progress achieved.

"With the first sidetrack operations completed without any surprises, ROC and its co-venturers will continue with their two-pronged approach to appraising this field: do it methodically and do it quickly,Ē said John Doran, ROCís CEO.

The Block 22/12 Joint Venture includes ROC (40%, operator), Horizon Oil Limited (30%), Petsec Energy Ltd. (25%), and First Australian Resources subsidiary Oil Australia Pty Ltd. (5%). China National Offshore Oil Co. is entitled to participate up to a 51% funding equity level in any commercial development within the block.

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