Falkland Islands: Rockhopper Provides Ernest and Sea Lion Operations Update

Rockhopper Exploration plc , the North Falkland Basin oil and gas exploration company, provides an update on operations at its Ernest and Sea Lion locations.

The Ernest 26/6-1 exploration well has been safely plugged and abandoned as a dry hole following completion of all logging runs.

The Ocean Guardian drilling rig is now preparing to proceed to the Sea Lion location where the Company intends, subject to all necessary consents, to carry out a flow test on the Sea Lion discovery well 14/10-2. Submission for approval of the final design for the flow test programme was made to the Falkland Island Government on 24 August 2010.

The design for the initial flow test uses equipment that is available on the Ocean Guardian and certain chemicals which are expected to mitigate the wax appearance temperature and the pour point of the oil. The flow test is expected to give an early indication of the production potential of the reservoir sands and will be an essential part of the planning process required as the Company moves towards its full appraisal and possible development programmes.

A further announcement will be issued once the Ocean Guardian is at the Sea Lion location.

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Source: Rockhopper, August 26, 2010: