ROC today released its Half Year Financial Report and Appendix 4D for the period ended 30 June 2010 ("1H10"). Commenting on the 1H10 financial results, ROC's Chief Executive Officer, Bruce Clement, stated:

"ROC remains on target to meet its 2010 production guidance of between 8,000-9,000 BOEPD, with a year-to-date average daily production rate of 8,637 BOEPD to 22 August. After severe winter weather disruptions at the start of the year, ongoing strong production performance at Zhao Dong is especially pleasing. Following the end of the Half, ROC produced the 50 millionth barrel of oil at Zhao Dong and the 10 millionth barrel of oil at Cliff Head: outstanding milestones for both assets.

ROC reported a profit of US$6.7 million for the Period from sales revenue of US$100.2 million. Net cashflow from operations of US$40.3 million strengthened the Company's net cash position to US$52.7 million at 30 June 2010. However, development and exploration expenditure is planned to increase during 2H10.

Progress continues on the Beibu Gulf project. Following the agreement on commercial terms for sharing facilities with China National Offshore Oil Corporation ("CNOOC") Ltd that was completed during 1H10, the Supplemental Development Agreement ("SDA") to the Petroleum Contract for development of the WZ 6-12 and WZ 12-8 West Oil Fields was signed in Beijing on 24 August. In addition to the commercial terms, the SDA also outlines arrangements regarding facility integration and the sharing of services and personnel. The SDA confirms that CNOOC will take a 51% participating interest in the project. Overall Development Plan ("ODP") documentation has been submitted to CNOOC for expert review and final approval. Following this approval, the joint venture will proceed to its Final Investment Decision and the ODP will be submitted to the Chinese Government. First oil production is anticipated in 2H 2012."

The key highlights for 1H10 are:

FINANCIALS

• Sales revenue of US$100.2 million; down 2% from US$102.1 million in 1H09.

• Average realised oil price of US$76.76/BBL (before hedging); a 1% discount to Brent.

• Net cash flow from operations of US$40.3 million; down 16% from US$48.2 million in 1H09.

• Trading profit of US$30.6 million; up significantly from US$7.4 million in 1H09.

• Net profit after tax of US$6.7 million (1H09: net loss US$14.2 million) including unrealised hedging gain of US$14.6 million and a US$9.2 million asset impairment for BMG.

• Normalised net profit after tax of US$1.3 million (1H09: profit of US$19.6 million) after excluding unrealised hedging gains and asset impairment.

• Production costs incurred of US$32.6 million (1H09: US$31.0 million); US$21.33/BOE (1H09 US$14.86/BOE).

• Amortisation expense of US$36.8 million (1H09: US$56.0 million); US$24.10/BOE (1H09 US$26.84/BOE).

• Cash at 30 June 2010 was US$102.2 million (31 December 2009: US$67.1 million) and gross debt was US$49.5 million (31 December 2009: US$49.2 million).

OPERATIONS

• Production of 1.5 MMBOE from six production assets in Australia, Africa, China and UK; a decrease of 27% compared to 2.1 MMBOE produced in 1H09.

• Exploration expenditure of US$3.4 million (1H09: US$2.3 million) was incurred.

• Development expenditure of US$11.7 million (1H09: US$38.7 million) was incurred for the period, which included US$10.9 million at Zhao Dong.