Rockhopper Exploration plc · LSE:RKH

Rockhopper Exploration — FY2013 Earnings Presentation

14 slides from Rockhopper Exploration's earnings presentation, Aug 22, 2013

  1. Slide 1: Rockhopper Exploration: Focused on the Falklands, Final results

    ROCKHOPPER EXPLORATION Focused on the Falklands Final results 22 August 2013

  2. Slide 2: Important Notice

    IMPORTANT NOTICE This Presentation does not constitute an offer or invitation or a solicitation of any offer or invitation for the sale or purchase of any securities in the Company. In addition, it is not intended to form the basis of or act as an inducement to enter into any contract or investment

  3. Slide 3: Agenda

    AGENDA IntroducDon Sam Moody Sea Lion Update Sam Moody ExploraDon Update Fiona MacAulay Financial Update Peter Dixon-­‐Clarke Outlook Sam Moody 3

  4. Slide 4: Introduction: Building a Solid Foundation

    INTRODUCTION BUILDING A SOLID FOUNDATION § Rockhopper has aOracted a partner with both the financial and technical resources to exploit the Sea Lion oil field. § The company has a very strong balance sheet and is fully financed for its share of Sea Lion development costs. § The project has made good

  5. Slide 5: Sea Lion & Satellites Update

    SEA LION & SATELLITES UPDATE SUBSURFACE MODELS COMPLETE, OPTIMISATION ONGOING § The latest modelling suggests 2C resources of c.337mmbbl in the SLMC if a gas cap is Sea Lion & Satellites Mid Case Resources present on the western flank of the field. Phase 1 Phase 2 Added in % in (cum.) Phase 2 Phase 1

  6. Slide 6: Sea Lion Project: Phased Drilling

    SEA LION PROJECT PHASED DRILLING § Rockhopper and Premier conDnue to favour a phased drilling starDng in the north of the field where c.284mmbbl of Sea Lion’s resources are located. The iniDal field development plan will be submiOed on this basis. § IniDal producDon rates in excess of 100k bopd are

  7. Slide 7: Sea Lion Project: Examining an Alternative Concept

    SEA LION PROJECT EXAMINING AN ALTERNATIVE CONCEPT § Premier has confirmed that an FPSO soluDon The Snorre TLP for the Sea Lion development is viable and meets its internal metrics. § However, it is possible that a TLP will improve the economics of the project: ­ Reduced drilling and SURF costs. ­ I

  8. Slide 8: Exploration Upside: Drilling Plans

    EXPLORATION UPSIDE DRILLING PLANS § Opportunity for Rockhopper/Premier to enter into a rig sharing arrangement with other Falkands operators. Three slots for the joint venture have been included in the recent EOI. § Other contracDng strategies either to undertake an independent campaign or to sour

  9. Slide 9: Exploration Upside: Chatham Well Drill Targets

    ECHATHAM XPLORATION UPSIDE WELL DRILL TARGETS LION GAS CAP / CHATHAM SEA CHATHAM § Technical analysis reveals the possibility (esDmated at 50% SL20 by RKH) of a of non-­‐equilibrium gas cap on the western flank of Sea Lion. § This locaDon will determine its presence or absence. If absent an esDmate

  10. Slide 10: Exploration Upside: Zebedee Well Drill Targets

    EZEBEDEE XPLORATION UPSIDE WELL DRILL TARGETS ZEBEDEE JACKIE NW § Well located in PL04b where RKH has a 24% WI. JOSIAH § Total of 8 stacked exploraDon objecDves at this locaDon. HECTOR § Targets an esDmated total mean unrisked STOIIP of c.1Bn bbl. ZEBEDEE § The primary objecDve is Zebedee on the

  11. Slide 11: Financial Review: Balance Sheet Strengthened

    FINANCIAL REVIEW BALANCE SHEET STRENGTHENED Income statement US$ million § Pre-­‐tax profit in the year to 31 March 2013 of $47 Underlying operaDng loss (13) million aaer an excepDonal gain of $59 million. ExcepDonal gain 59 Pre-­‐tax profit 47 § Post-­‐tax loss of $75 million reflects current tax of

  12. Slide 12: Financial Review: Tax Return Submitted

    FINANCIAL REVIEW TAX RETURN SUBMITTED § In May 2013, a tax return was submiOed to the Falkland Islands Government Tax Office (“FIGTO”) that recognised a CGT liability related to the farm-­‐out of RKH FIG CGT liability es[mates* GB£’m GB£’m GB£52 million. Total 52 195 1st installment 24 33 § In June

  13. Slide 13: Financial Review: Creating Distributable Reserves

    FINANCIAL REVIEW CREATING DISTRIBUTABLE RESERVES § At a General MeeDng In June 2013, shareholders voted in favour of a proposal to cancel the Share Premium Account in order to create distributable reserves. § At the same meeDng, shareholders also voted in favour of a proposal to give the company a

  14. Slide 14: Summary: Growing Long-Term Value

    SUMMARY GROWING LONG-­‐TERM VALUE § Rockhopper is fully funded for its share of capital expenditure on Sea Lion through the development carry and standby financing provided by Premier Oil. § Rockhopper has an aligned and experienced operator with significant experience in analogous operaDng environm

Rockhopper Exploration — FY2013 Earnings Presentation on 6ix