Rocksource Prepares to Farm-In Exploration Block on Indian Shelf
As announced on August 4, 2008, Rocksource is in advanced stages of negotiations to complete a farm-in agreement with ONGC for a 10% equity stake in exploration block CY DWN 2001/1, on the Indian Shelf. This process is moving ahead and Rocksource expects the agreement to be completed by early September.
The Operator is progressing with the work programme, and the drilling of the first well has now started. Results are expected from the middle of September depending on operational progress. This high-impact well is targeting the primary prospect where Rocksource has completed an integrated prospect evaluation which included CSEM data. This evaluation suggests that the prospect chance of success is in excess of 60%.
On completion of the farm-in agreement, ONGC (Operator) will hold 45% equity, Oil India 20%, Petrobras 25% from an agreement signed in October 2007 and Rocksource 10%.
Further details of the terms of the agreement will be disclosed pending final completion.