Roc Oil Company Pty Limited (ROC) is pleased to announce it has, through its wholly owned subsidiary Roc Oil Holdings (Cayman Islands) Company, acquired the entire issued share capital of EOG Resources China Limited (EOG China), a wholly owned subsidiary of EOGI China International Limited for a base purchase price of US$140 million plus working capital adjustment with an effective date of 1 July 2020.

EOG China holds a 100% participating interest and operatorship of the Bajiaochang Field (BJC) and associated facilities located in the Chuanzhong Block, Sichuan Basin, to the north-east of Chengdu, China. The field produces virtually dry gas with minor condensate from tight sandstone reservoirs from 30+ wells and is adjacent to many other oil and gas fields, in an area of ongoing active field operations. Current net production is ~25mmscf/day. The block, with access to the Chuanyu Pipeline Network, is well connected to major demand centres in eastern and southern China.

The development of the Chuanzhong Block is governed by a Petroleum Contract with PetroChina. Current EOG China share of production and revenue after revenue split is 72%.

The transaction completed on 17 May 2021.

Commenting on the transaction, ROC’s CEO, Mr Lorne Krafchik, stated:

"This transaction follows from our strategy to pursue growth opportunities and to invest in high quality assets in our core regions of operation. This acquisition is a material addition to ROC’s portfolio, adding 70% to 2P reserves (to ~30mmboe) and balancing the portfolio in terms of oil and gas.
With a strong partnership with PetroChina established over many years of cooperation through ROC’s assets in China, we look forward to working with PetroChina to progress further development of the BJC field.”

About Roc Oil

Roc Oil Company Limited (ROC) is one of Australia's leading independent upstream oil and gas companies with a presence in China, South East Asia and Australia. The Company operates across the full range of upstream business activities from exploration and appraisal to development and production delivery.