Rockhopper Exploration has entered an agreement to acquire its pro rata 35% participating interest in the OSX-1 FPSO, which operator Navitas Petroleum recently contracted for development of the central area of the Sea Lion Field in the North Falkland Basin.

The company also noted a statement issued by Navitas concerning a declaration by Argentina’s President Javier Milei that his government would continue to impose sanctions on those involved in the Sea Lion project and other oil and gas activities in the Falkland Islands.

Halliburton and Baker Hughes have opted out of the project. Navitas said it would take action to “replace two breaching contractors” and would continue to act to make adjustments to the project, as may be required.

The partnership intends to continue work on the development with the full support of the Falkland Islands and UK Governments, Navitas added, and foresees no material adverse effect on the project at this stage.

According to a recent Sea Lion project update, Navitas/Rockhopper sanctioned the Northern Development Area Phase 1 project (NDA 1) in late 2025 and are targeting first oil in first-quarter 2028. The FPSO Aoka Mizu is in Southeast Asia for upgrade works following an initial pre-acceptance survey in a UK shipyard.