Rocksource ASA intends to continue into the second phase of the Licence PL416 work programme based upon the positive analysis of electromagnetic (EM) data acquired earlier in the year. The results from these analyses show that an EM anomaly is present at the primary target on the Breiflabb prospect suggesting the likely presence of hydrocarbons. Overall prospect chance of success has been significantly increased as a result of the new information from the EM analysis and the anomaly extent would also indicate an increase in the mean undiscovered resources.

Rocksource is prepared to progress to the next stage of the work programme which requires that the partnership acquires a minimum of 250 sq km of 3D seismic in a 2 year period culminating in a drill or drop decision. Rocksource holds a 35% equity share in the licence which is operated by E.ON Ruhrgas Norge AS (50%). Aker Exploration ASA is the third partner with 15% equity.

Relinquishment of UKCS Promote Licence P1378, Block 211/7b:

Rocksource UK Ltd has decided to relinquish UKCS block 211/7b at the end of the initial 2 year licence term which ends on 22nd December 2007. Rocksource UK Ltd acquired a single EM line to test the block prospectivity in the summer, the results of which were negative.

Exploration VP, Gregor Maxwell commented: This is the first year that Rocksource has been able to start systematically testing its portfolio at low cost, by applying its proprietary EM technology (Rocksource Discover) to high-grade low risk prospectivity. We believe that this approach to exploration will return higher success rates, improved capital efficiency and add reserves faster than conventional exploration. We are very pleased at the positive results from 31/8Breiflabband see this as the first step toward creating a low risk, prospect portfolio ready for future drilling.

Tags: Rocksource Group