Rockhopper Exploration Plc · LSE:RKH
Rockhopper Exploration — Investor Presentation (September 2011)
36 slides from Rockhopper Exploration's investor presentation, September 2011
Slide 1: Capital Markets Presentation Session 3 Operations
ROCKHOPPER EXPLORATION PLC CAPITAL MARKETS PRESENTATION SESSION 3 OPERATIONS ANDY MORRISON OPERATIONS MANAGER GENERAL INFORMATION LOCAL FACILITIES REVIEW OF 2010‐11 OPERATIONS LOGISTICS CONCLUSION SEPTEMBER 2011 84
Slide 2: Operations
OPERATIONS SEPTEMBER 2011 85
Slide 3: Falkland Islands General Information: Main Industries
OPERATIONS FALKLAND ISLANDS GENERAL INFORMATION MAIN INDUSTRIES • Fishing – 200 mile economic exclusion zone • Tourism – 29 cruise ships last season, 41,000 passengers • Agriculture – predominately beef and wool SEPTEMBER 2011 86
Slide 4: Falkland Islands General Information
OPERATIONS FALKLAND ISLANDS GENERAL INFORMATION • Overseas Territory of UK with Governor appointed by Foreign Office • 740 islands approx half size of Wales. East and West Falklands main islands • Population 2,500 of whom 2,000 live in the capital Stanley • Similar latitude to Cornwall, Vancouver is
Slide 5: Falkland Islands Map
OPERATIONS FALKLAND ISLANDS MAP SEPTEMBER 2011 88
Slide 6: Local Facilities
OPERATIONS LOCAL FACILITIES • IT and comms provided by C&W – broadband, mobiles and land lines through satellite earth station at Stanley • Port facilities at Mare Harbour (military) and FIPASS at Stanley. • FIPASS 3,000m2 with 800m2 warehousing • Hotel and accommodation – Malvina House Hotel is mai
Slide 7: Local Facilities
OPERATIONS LOCAL FACILITIES • King Edward IV hospital 24 beds and 4 ITU. Specialised services – air ambulance to Santiago or MOD to UK • Modern school education up to sixteen and then on to UK paid for by FIG • Roads mainly gravel outside Stanley and MPA • Airports – International at Mount Pleasant
Slide 8: Local Port Facility – FIPASS
OPERATIONS LOCAL PORT FACILITY – FIPASS SEPTEMBER 2011 91
Slide 9: Local Facilities – Rockhopper Base
OPERATIONS LOCAL FACILITIES – ROCKHOPPER BASE SEPTEMBER 2011 92
Slide 10: Pipe Yard and Warehouses
OPERATIONS PIPE YARD AND WAREHOUSES SEPTEMBER 2011 93
Slide 11: 2010-11 Operations Overview
OPERATIONS 2010‐11 OPERATIONS OVERVIEW • 7 operated wells • 5 non operated wells • 2 drill stem tests • 4,687km2 3D seismic with other operators • Maximum number of vessels/craft operated at one time by Rockhopper – Ocean Guardian – 2 AHVs – 1 PSV – 2 3D vessels – 5 Seismic support vessels – 2 Helic
Slide 12: 2010-11 Operations Overview: 3D Seismic
OPERATIONS 2010‐11 OPERATIONS OVERVIEW • 4,687km2 3D acquired with Polarcus – in conjunction with other operators • Nov 2010 – May 2011 • 2 acquisition vessels – ASIMA – NADIA • 5 support vessels • ASIMA – On hire – 3110 hours (130 days) – 2,049km2 acquired – Weather 864 hours (28%) • NADIA – On hir
Slide 13: Seismic and Support Vessels
OPERATIONS SEISMIC AND SUPPORT VESSELS SEPTEMBER 2011 96
Slide 14: 2010-11 Drilling Operations
OPERATIONS 2010‐11 DRILLING OPERATIONS • Rockhopper use AGR Petroleum Services based in Aberdeen to support and manage the drilling campaign • 7 Operated wells (7th Well currently at T.D. finishing logging) • 5 non‐operated wells • 2 drill stem tests • Operations shore base in Stanley • Re‐supply fr
Slide 15: HSE Statistics
OPERATIONS HSE STATISICS • 1 LTI offshore • 2 LTI onshore • No environmental Incidents 2010 2011 to date LTI LTI 0 3 Recordable Recordable Injury 0 Injury 2 Minor Minor Injury 10 Injury 10 Near Near Miss 4 Miss 5 SEPTEMBER 2011 98
Slide 16: Drilling Operations Main Equipment
OPERATIONS DRIILLING OPERATIONS MAIN EQUIPMENT OFFSHORE ON SHORE • Ocean Guardian moored Semi • 8,000m2 hard standing storage submersible rig from Diamond • 600m2 warehousing Offshore International Drilling • 1 Bulk cement silo • Anchor handlers UOS Endeavour and • 2 Bulk mud silos UOS Enterprise 20
Slide 17: Service Companies
OPERATIONS SERVICE COMPANIES • 16 main services companies supporting operations with people and equipment both on and off shore • Services include: – Mud logging – Wireline logging – Fishing and casing running – Cementing – Mud – MWD logging – Coring – Wellheads – Well testing – Rig move – Rig posit
Slide 18: Ocean Guardian Flaring at the 14/10-2 Well Test
OPERATIONS OCEAN GUARDIAN FLARING AT THE 14/10‐2 WELL TEST SEPTEMBER 2011 101
Slide 19: PSV Toisa Invincible and AHV UOS Navigator
OPERATIONS PSV TOISA INVINCIBLE AND AHV UOS NAVIGATOR SEPTEMBER 2011 102
Slide 20: AHV and Resupply Coaster at FIPASS
OPERATIONS AHV AND RESUPPLY COASTER AT FIPASS SEPTEMBER 2011 103
Slide 21: Stanley Airport and Helicopters
OPERATIONS STANLEY AIRPORT AND HELICOPTERS SEPTEMBER 2011 104
Slide 22: 2010-11 Drilling Operations
OPERATIONS 2010‐11 DRILLING OPERATIONS Well TD m 14/10‐2 2,744 26/6‐1 2,240 14/10‐2 Well test – natural flow 14/10‐3 2,830 14/10‐4 2,801 14/10‐5 2,726 14/10‐5 Well test – pumped 14/10‐6 2,706 14/10/7 2,696 TOTAL 18,747 SEPTEMBER 2011 105
Slide 23: Typical Well Schematic
OPERATIONS TYPICAL WELL SCHEMATIC SEPTEMBER 2011 106
Slide 24: 2010-11 Drilling Operations – Drilling Times
OPERATIONS 2010‐11 DRILLING OPERATIONS – DRILLING TIMES • Average days from spud to TD 24.8 • Average logging days at TD 4.02 • Average time on hire per well 35.5 Rockhopper All Wells Time Depth Curve 0.0 SEA LION 2 SEA LION NORTH 3 SEA LION 4 SEA LION 5 SEA LION 6 500.0 ERNEST 1000.0 Depth (m) 1500
Slide 25: 2010-11 Operations to Date Statistics
OPERATIONS 2010‐11 OPERATIONS TO DATE STATISTICS • Total days on hire to RKH as operator – 326 days • 7 operated wells • 2 DSTs • Total meters drilled – 18,747m • Total core cut – 279m • Total WOW days – 17 • Maximum people working with RKH at one time c. 300 – during seismic operations • 865 tons m
Slide 26: Rig Performance: Waiting on Weather vs North Sea
OPERATIONS RIG PERFORMANCE COMPARISON OF WAITING ON WEATHER FOR NFB VS NORTH SEA data from AGR All wells average (46 wells) 9.5% North Sea Average (35 wells) 10.6% Ocean Guardian NFB; semi‐sub (11 wells) 5.8% Byford Dolphin; North Sea Semi‐Sub (5 wells) 14.8% Sedco 704; North Sea Semi‐Sub (10 wells)
Slide 27: Rig Performance: Non-Productive Time vs North Sea
OPERATIONS RIG PERFORMANCE COMPARISON OF NON‐PRODUCTIVE TIME FOR NFB VS NORTH SEA data from AGR All wells average (46 wells) 18.5% North Sea Average (35 wells) 20.8% Ocean Guardian NFB; semi‐sub (11 wells) 9.4% Byford Dolphin; North Sea Semi‐Sub (5 wells) 18.9% Sedco 704; North Sea Semi‐Sub (10 well
Slide 28: Logistics: Initial Mobilisation
OPEARATIONS LOGISTICS INITIAL MOBILISATION • Date of initial MOB – 26 November 2009 • Ocean Guardian towed from Invergordon to Stanley – 86 days & 7,960 nautical miles • 2 x coasters with 7,914 Tons materials and drilling equipment • 2 x Anchor handling/supply vessels (AHV), one towed rig from Inver
Slide 29: Logistics – Evening Prior to Mobilising the Ocean Guardian
OPERATIONS LOGISTICS – EVENING PRIOR TO MOBILISING THE OCEAN GUARDIAN SEPTEMBER 2011 112
Slide 30: Logistics – Re-supply
OPERATIONS LOGISTICS – RE‐SUPPLY • December 2009 Honest Rays and Thor Leader – 7,914 tons cargo • May 2010 Thor Elizabeth – 4,000 tons • February 2011 Beluga Skysails – 3,500 tons • September 2011 Clipper Angela Currently loading Aberdeen/Great Yarmouth/Antwerp SEPTEMBER 2011 113
Slide 31: Logistics – People
OPERATIONS LOGISTICS – PEOPLE DRILLING SEISMIC • Guardian typically 90 POB • 2 x Seismic vessels typically c.120 POB • Working 28 days on, 28 days off • Working 42 days on 42 days off • Thirty five service personnel between rig and • Crew change shore (28/28) – Port based crew change at • Additional
Slide 32: Logistics – Waste Management
OPERATIONS LOGISTICS – WASTE MANAGEMENT • Normal landfill disposed of locally • Hazardous waste returned to UK under licence for proper disposal • Waste engine oil given to Stanley Growers to heat poly tunnels • All materials will be returned to UK at end of campaign SEPTEMBER 2011 115
Slide 33: Logistics – Accommodation
OPERATIONS LOGISTICS – ACCOMODATION • 12 hotel rooms permanently available for operations in Malvina House Hotel • 6 houses rented in Stanley • Additional 3 houses rented during Seismic programme SEPTEMBER 2011 116
Slide 34: Travel Routes by Sea
OPERATIONS TRAVEL ROUTES BY SEA • MOD monthly vessel from Southampton to Port Stanley. Takes military and commercial freight approx 35 days. Can be used to support operations, mainly equipment change out and cement and chemicals • Chartered Coaster approx 25 days sailing Aberdeen to Port Stanley typ
Slide 35: Travel Routes by Air
OPERATIONS TRAVEL ROUTES BY AIR ROCKHOPPER CHARTER – A340 • Operated by Hi fly from Gatwick to Mount Pleasant via Cape Verde 6,800 nautical miles, 16 ½ hours flying time plus refuel at Cape Verde. Departs Gatwick Sunday evening and returns to Gatwick Tuesday evening every fortnight. On ground approx
Slide 36: Summary
OPERATIONS SUMMARY • Ocean Guardian has been operating non stop since February 2010 • Zero hours lost owing to logistics/location • With dedicated teams and good planning, operating in the Falklands is not a problem • All required local facilities are available in the Falklands • Weather downtime ha
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