STANLEY, Falkland Islands -- Rockhopper Exploration Plc. has agreed to a relinquishment pattern with the Falkland Islands government in accordance with the standard terms of licenses PL023 and PL024.
The licenses were granted in Nov. 2004 with a three-year initial term for a 2D seismic work program. In addition to the seismic survey, Rockhopper collected four controlled source electromagnetic survey (CSEM) lines.
This statutory 50% relinquishment was anticipated by Rockhopper when the licenses were awarded in 2004. When the relinquishment takes effect in Nov. 2007, Rockhopper will retain all the leads and prospects that have been identified during the technical evaluation.
Phase 2 of the license is for three years beginning Nov. 2007, during which time Rockhopper is committed to drilling a single well between both licenses.
"Having more than satisfied the obligations of Phase 1 of our licenses and given the very encouraging results of this first phase, we are in a position to accept the obligation of drilling one well in Phase 2," says Sam Moody, managing director. "Ernest is a high quality prospect with the chance of finding hydrocarbons set at 40%."