Rockhopper, to invest, or not?
Rockhopper Exploration or Rockhopper share price is an oil and gas exploration company based in the United Kingdom. The company focuses on the discovery and development of offshore oil and gas reserves.
Rockhopper Exploration became known for its involvement in the Falkland Islands oil and gas sector. In 2010, the company made a significant discovery in the North Falkland Basin with its Sea Lion oil field. The Sea Lion field is estimated to contain substantial oil reserves, and Rockhopper Exploration has been working on developing the area for production.
The company was involved in various exploration and appraisal activities in the Falkland Islands, including drilling wells and conducting seismic surveys to identify potential oil and gas reserves. Rockhopper Exploration was also actively part of securing partnerships and investments to fund its exploration and development projects.
Apart from the Falkland Islands, Rockhopper Exploration has also participated in exploration activities in other regions, including Italy and Egypt. However, its primary focus has been on the Falkland Islands, where it holds a significant portfolio of licenses.
Rockhopper Share Price has gone through several changes. In June 2018, Rockhopper Share price started at 40.87GBX then it dropped to 20.19GBX by the end of 2018. Thankfully, it got back up to 23.58GBX in January 2019 but then slowly went down to 15.25GBX by the end of the year. Unfortunately, the price during January 2019 was the highest price it had until today.
At the time this article was written, Rockhopper Share price opened at 12.30GBX and closed at 12.88GBX. This price was a 2.52% increase from the previous day.
Rockhopper Exploration Plc was founded in 2004 by Samuel Moody and David McManus, two geologists with experience in the oil and gas industry. The company began with the goal of exploring and developing oil and gas reserves in frontier areas.
Rockhopper Exploration’s early focus was acquiring exploration licenses in the Falkland Islands. The company recognized the potential of the North Falkland Basin as an untapped hydrocarbon province and sought to explore the area’s oil and gas potential.
Rockhopper Exploration made a significant breakthrough when it discovered the Sea Lion oil field in the North Falkland Basin in 2010.
The discovery of the Sea Lion marked a turning point for the company and attracted widespread attention within the industry. The field was estimated to contain substantial oil reserves and presented an opportunity for commercial development.Following the Sea Lion discovery, Rockhopper Exploration embarked on an ambitious development plan to bring the field into production.
It involved conducting further exploration and appraisal activities, securing funding and partnerships, and engaging in extensive planning and engineering studies.Over the years, Rockhopper share price has faced various challenges and uncertainties, including global oil price fluctuations, technical complexities associated with offshore drilling, and regulatory considerations.
Nonetheless, the company continued its efforts to develop the Sea Lion field and unlock the potential of the Falkland Islands’ oil and gas resources.
Rockhopper Exploration Plc operates in the oil and gas exploration industry, and as such, it faces competition from several companies engaged in similar activities. Some of the main competitors of Rockhopper Exploration can include:
- Premier Oil: Premier Oil is an independent oil and gas exploration and production company with a global presence. It operates in various regions, including the Falkland Islands, where it holds licenses and has been actively exploring and developing offshore oil and gas reserves.
- Falkland Oil and Gas Ltd (FOGL): FOGL is another exploration company focused on the Falkland Islands. It holds several licenses and has been involved in drilling and seismic activities to identify potential hydrocarbon resources.
- Desire Petroleum: Desire Petroleum is an exploration company primarily focused on the Falkland Islands. It has conducted drilling campaigns and seismic surveys in the area to evaluate oil and gas prospects.
- Borders & Southern Petroleum: Borders & Southern Petroleum is engaged in oil and gas exploration, emphasizing the Falkland Islands. The company has conducted drilling operations and seismic studies to assess the potential of its licenses.
- RockRose Energy: RockRose Energy is an independent oil and gas exploration and production company with operations in various regions, including the UK Continental Shelf. While not focused on the Falkland Islands, it competes in the broader oil and gas exploration sector.
Rockhopper Exploration Plc offers several potential investment advantages to consider:
- Promising Oil and Gas Reserves: Rockhopper Exploration has made a significant discovery in the Falkland Islands with the Sea Lion oil field. The field is estimated to contain substantial oil reserves, which presents a potential opportunity for significant production and revenue generation. If successful, developing the Sea Lion field could provide a long-term revenue stream for the company and its investors.
- Geographic Diversification: Rockhopper Exploration’s presence in the Falkland Islands provides geographic diversification for investors. The Falkland Islands offer a unique exploration opportunity in an underexplored region, which can be attractive for those seeking exposure to new frontiers in the oil and gas industry. Diversification across regions and geologies can help mitigate risks associated with concentrated investments.
- Development Potential: Rockhopper Exploration is actively working towards developing the Sea Lion field. The company has undertaken various appraisal activities, and engineering studies, and secured funding and partnerships to progress the project. Successful development could lead to production and revenue generation, potentially driving value for investors.
- Strategic Partnerships: Rockhopper Exploration has proactively secured strategic partnerships to advance its projects. Collaborating with established players in the industry can bring technical expertise, financial support, and market access, enhancing the chances of successful exploration and development. Such partnerships can provide additional confidence to investors regarding the company’s prospects.
- Potential Upside from Industry Factors: Global energy demand, geopolitical dynamics, and commodity prices influence the oil and gas industry. Positive shifts in factors such as increased oil prices or favorable regulatory developments, can create an upside for Rockhopper Exploration and its investors. Monitoring and analyzing industry trends and macroeconomic indicators can help assess potential opportunities for the company’s growth.