cannacord - rkh

7/30/2019 cannacord - RKH

1/17

Company Analysis UK30 July 201

This research note is produced by Canaccord Genuity Limited which is authorized and regulated by the Financial Services Authority (FSA).

This is non-independent research and a marketing communication under the FSA Conduct of Business rules. Please see the Important Disclosures section in the appendix of this note which are a

integral part of it or v isit Canaccord Genuitys Online Disclosure Database http://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspxfor more information.

Rockhopper Exploration

RKH: 177p

Buy

Target: 553p

Charlie Sharp +44 20 7523 [email protected]

Thomas Martin +44 20 7523 838

[email protected]

KEY CHANGESKEY CHANGESKEY CHANGESKEY CHANGES

TP EPS FY0 EPS FY1

6.0% 0.0% 0.0%

COMPANY STATISTICSCOMPANY STATISTICSCOMPANY STATISTICSCOMPANY STATISTICS

Shares Out (m): 284

Market Cap: 502m

EV (m): 438

SHARE PRICE PERFORMANCESHARE PRICE PERFORMANCESHARE PRICE PERFORMANCESHARE PRICE PERFORMANCE

Rockhopper Exploration Rel to FTSE AIM All-Share

Source: Thomson Datastream

Oil & Gas - Oil & Gas Producers - Exploration & Production

Premier farm in the real value story

Investment case

We think that Premier Oils farm-in to 60% of Rockhoppers Falkland Islands licence

represents a very appealing deal for Rockhopper, delivering a highly competent and

motivated development operator, a significantly strengthened balance sheet with no

short-term cash calls, and an enhanced exploration outlook as Premier effectively

carries three further exploration wells. Rockhopper is now a very strong value play,

with the financial resources to deliver the Sea Lion development, and still significantupside potential through further carried appraisal and exploration.

Sector context

The E&P sector is trading at an average 58% of our fair value. Yet, Rockhopper is

trading at only 31% and with a very strong balance sheet and a highly credible

development partner in Premier Oil (once the companys farm-out of its Falkland

Islands licences completes). We believe that the discount compared with its peers is

unjustified. Indeed, in our view, post the Premier transaction, Rockhopper should

trade above the average rating in the sector.

Company fundamentals

Rockhopper Exploration is farming out a 60% operated interest in its Falkland

Islands licences to Premier Oil. The deal will leave Rockhopper with estimated cash

of $331m (excluding CGT) and a 40% working interest in the licences (net 2C

resources of 142 mmbbls, and fully carried up to first oil in H1 2017 assuming an

FPSO lease and gross capital costs of $1.8 billion). Further standby financing from

Premier is set aside, if the costs are greater. We think this transaction leaves

Rockhopper in a much stronger position than before, and with around 150 mmbbls

net resource upside potential.

Valuation

We value Rockhopper at 553p/share, underpinned by a core valuation, for the Sea

Lion development together with a balance sheet adjustment, of 410p/share.

Share performance catalystFormal completion of the Premier farm-in, which is anticipated in September, should

provide impetus to the stock. More details and timing on the restart of exploration

drilling and the specific targets, and further updates from the new operator on

progress towards FDP submission (expected in H1 2014), are also likely to be share

price catalysts.
http://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspxhttp://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspxhttp://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspx


2/17

2222

30 July 201

Executive Summary

Whats in the price

We expect Rockhopper to have net cash (after adjustments) of 55p/share (155m,

$248m) and no debt, once the Premier farm-in completes. Assuming net cash is given ful

value, which we think is reasonable as Rockhoppers cash outgoings for the foreseeable

future in the Falkland Islands are negligible, then the implied market valuation for the

underlying assets is 119p/share (338m, $541m). We value Sea Lion resources for

Rockhopper at $14.6 per barrel so the market is effectively discounting 37 mmbbls

resources for Rockhopper, compared with net Sea Lion 2C resources of 123 mmbbls, and

total net 2C resources (including Casper, Casper South and Beverley) of 142 mmbbls. The

market, then, in our view, is valuing the fully financed developments, to be undertaken

by a well-established operator, at 30% of the net Sea Lion resources alone and 26% of th

total 2C net resources.

The Canaccord Genuity viewThe E&P sector is trading at an average of 58% of our fair value, but Rockhopper is

currently trading at only 31% of our fair value. We believe the Premier farm-in to

Rockhoppers licences is good for both companies but is especially beneficial for

Rockhopper. Though Rockhoppers working interest declines to 40% in the Sea Lion

development post transaction completion, the terms of the deal translate, in our view, to

a 55% net economic interest to the company. The farm-in, once completed, should

significantly strengthen Rockhoppers balance sheet, and the prospect of fully financed

and competently developed assets should reassure investors. In addition, Rockhopper

will have effectively a three-well exploration carry, with still substantial upside for both

partners.

Valuation and recommendationOur core asset valuation for Rockhoppers Sea Lion resources, post completion of the

farm-in is 356p/share, which increases to 410p/share after financial adjustments.

Including the upside from additional appraisal resources and the Sea Lion deterministic

resource case, results in a central valuation of 499p/share and a total valuation of

553p/share with exploration. We maintain our BUY rating with a target price of

553p/share (down from 586p/share as a result of an adjusted anticipated ramp up of

production from Sea Lion).

Risks to investment case

The primary risk is that the deal does not complete, although we see that as a slim

probability following the signing of an SPA. Oil price weakness may impact market

sentiment, though with no production expected for several years there will be no direct

impact.


3/17

3333

30 July 201

ValuationOur valuation for Rockhopper is based upon the assumption that Sea Lion is developed

as a standalone field via a leased FPSO, coming onstream in H1 2017, with a ramp up of

production as new wells are drilled in the first two years of production, and reaching a

peak average production level of 84,000 bopd in 2019/2020.

Figure 1: Rockhopper Exploration sum-of-parts valuation

Country Field License Gross WI Post WI Unrisked Valuation CoS Unriske

Unrisked Farmout Reserves Value

mmboe % (mmboe) $m $/bbl % $m m p/share p/shar

Development

Falkland Islands Sea Lion SL10 PL032 84 40.0% 33.6 491 14.6 90% 442 276 97 10

Sea Lion SL10 PL04b 24 24.0% 5.8 84 14.6 90% 76 47 17 1

Sea Lion SL20 PL032 204 40.0% 81.5 1,191 14.6 90% 1,072 670 236 26

Sea Lion SL20 PL04b 9 24.0% 2.1 31 14.6 90% 27 17 6

Total Development 320 122.9 1,797 1,617 1,011 356 39

Financials PV Overheads -16 100% -16 -10 -4 -

Net current Cash 100 100% 100 63 22 2

Up front Payment 231 100% 231 144 51 5

PV CGT liability -83 80% -67 -42 -15 -1

Total Financials 231 248 155 55 5

Core NAV 2,028 1,865 1,166 410 44

Appraisal/Development

Falkland Islands Casper PL032 19.3 40.0% 7.7 113 14.6 70% 79 49 17 2

Casper PL04b 1.8 24.0% 0.4 6 14.6 70% 4 3 1

Casper South PL032 2.4 40.0% 1.0 14 14.6 70% 10 6 2

Casper South PL04b 36.6 24.0% 8.8 128 14.6 70% 90 56 20 2

B15 East PL032 0.7 40.0% 0.3 4 14.6 70% 3 2 1

SL05 PL04b 4.6 24.0% 1.1 16 14.6 70% 11 7 2

Sea Lion Deterministic upside 70.5 40.0% 28.2 412 14.6 50% 206 129 45 9

Total Appraisal/Development 135.9 47.5 694 403 252 89 15

Total Core + Appraisal ('Central' Value) 2,722 2,269 1,418 499 59

Exploration

Falkland Islands SL30 PL032 13 40.0% 5.2 53 10.2 20% 11 7 2 1

Casper South PL032 6.2 40.0% 2.5 25 10.2 15% 4 2 1

Casper South PL04c 8.1 10.0% 0.8 8 10.2 15% 1 1 0

Beverley West PL04b 12.8 24.0% 3.1 31 10.2 30% 9 6 2 Beverley PL04c 5.4 10.0% 0.5 6 10.2 20% 1 1 0

B15 West PL032 10 40.0% 4.0 41 10.2 50% 20 13 5

George Central PL032 29.3 40.0% 11.7 120 10.2 10% 12 7 3 2

George South A PL032 34.3 40.0% 13.7 140 10.2 10% 14 9 3 3

George South B PL032 51.8 40.0% 20.7 212 10.2 10% 21 13 5 4

George North PL032 17.7 40.0% 7.1 72 10.2 10% 7 5 2 1

Berkeley PL032 28.6 40.0% 11.4 117 10.2 10% 12 7 3 2

S2 PL032 50.5 40.0% 20.2 207 10.2 20% 41 26 9 4

Chatham PL032 30.9 40.0% 12.4 126 10.2 25% 32 20 7 2

Chatham East PL032 47.7 40.0% 19.1 195 10.2 20% 39 24 9 4

Chatham South PL032/04b 25.5 32.0% 8.2 83 10.2 25% 21 13 5 1

Total Exploration 371.8 140.6 1,439 246 154 54 31

Total Core + Upside 4,161 2,515 1,572 553 91

Risked NAV @ 10%

Source: Canaccord Genuity Limited Estimates, Brent oil price assumption for 2012, $90/bbl, escalating at 2% per annum, discount rate 10%.

We value SeWe value SeWe value SeWe value Sea Lion net to Rocka Lion net to Rocka Lion net to Rocka Lion net to Rockhopper, including the benefithopper, including the benefithopper, including the benefithopper, including the benefit ofofofof the development carry,the development carry,the development carry,the development carry,at $14.6at $14.6at $14.6at $14.6 per barrelper barrelper barrelper barrel.... We value Sea Lion net to Premier, including the impact of the

development carry, at $10.2 per barrel.

We still see some timing and subsurface risk related to theWe still see some timing and subsurface risk related to theWe still see some timing and subsurface risk related to theWe still see some timing and subsurface risk related to the Sea Lion development, soSea Lion development, soSea Lion development, soSea Lion development, sowe risk the project atwe risk the project atwe risk the project atwe risk the project at aaaa 90% chance of success.90% chance of success.90% chance of success.90% chance of success. This translates to a risked Sea Lion

valuation net to Rockhopper of $13.1 per barrel.

Assuming the FPSO were to be purchased, we estimate that Rockhopper would requiran additional $450m net capital (in excess of the hard carry of $722m), which would

be funded either directly by Premier, or could be derived from alternative sources.

However, our modelling indicates that a purchased FPSO development, although


4/17

4444

30 July 201

requiring a greater level of upfront capital for both Premier and Rockhopper, would

value Sea Lion resources at $14.8 per barrel (risked value $13.3 per barrel).

Our core value, on the leased FPSO projection, which includes only the Sea lion fieldOur core value, on the leased FPSO projection, which includes only the Sea lion fieldOur core value, on the leased FPSO projection, which includes only the Sea lion fieldOur core value, on the leased FPSO projection, which includes only the Sea lion fielddevelopment and bdevelopment and bdevelopment and bdevelopment and balance sheet aalance sheet aalance sheet aalance sheet adjdjdjdjustments, is 410ustments, is 410ustments, is 410ustments, is 410p/share.p/share.p/share.p/share.

Our total valuation including appraisOur total valuation including appraisOur total valuation including appraisOur total valuation including appraisal and exploration upside is 553al and exploration upside is 553al and exploration upside is 553al and exploration upside is 553p/share.p/share.p/share.p/share.Stripping out exploration results in aStripping out exploration results in aStripping out exploration results in aStripping out exploration results in a valuationvaluationvaluationvaluation ofofofof 499499499499pppp/share./share./share./share.

Another way to view this transaction is to assess the economic interest of both

Rockhopper and Premier in the Sea Lion field development after completion.

Figure 2: Working Interest vs. Economic Interest

PremierPremierPremierPremier RockhopperRockhopperRockhopperRockhopper

Working InterestWorking InterestWorking InterestWorking Interest 60%60%60%60% 40%40%40%40%

Net 2C Sea Lion Resources (mmbbls) 184 123

Valuation ($/bbl) 10.2 14.6

Asset Valuation ($m) 1,886 1,797

Additional cost/gain of entry ($m) -231 231

Total Value ($m) 1,655 2,028

Economic Interest (%)Economic Interest (%)Economic Interest (%)Economic Interest (%) 45%45%45%45% 55%55%55%55%

Source: Canaccord Genuity Limited Estimates; Gaffney Cline & Associates

We have assumed just the net Sea Lion 2C resources of 307.4 mmbbls (to the Premier

Oil/Rockhopper Exploration partnership) determined by Gaffney Cline & Associates in its

Competent Persons Report (CPR) of April 2012. Our valuation shows that though

Rockhopper will have a 40% working interest, the transaction gives the company an

overall 55% economic interest in the Sea Lion development.

The transaction

Premier Oil is to farm-in to 60% of all Rockhopper Explorations Falkland Islands licences

and become operator of all those licences that Rockhopper presently operates. There arethree elements to the transaction.

1. Upfront cash payment of $231m to Rockhopper on completion of transaction2. Sea Lion development carry of $722m net to Rockhopper ($1.8 billion gross)3. Exploration carry of $48m net to Rockhopper ($120m gross)

The upfront repayment is a return of substantially all the Premier pro-rata explorationand appraisal costs so far incurred by Rockhopper in the Falkland Islands.

The gross development carry of $1.8 billion capital expenditure is designed to takeRockhopper to first oil from Sea Lion assuming the lease of an FPSO. If further

financing is required then Premier will provide that, up to an additional maximum of

$1,278m, equivalent to gross capital expenditure of $5 billion. For example, if thedecision is to purchase rather than lease an FPSO, then total development costs to

first oil would be about $3 billion. Rockhopper could then choose the Premier facility

to fund its share of that, which we estimate would be about $450m. Premier would

then take an increased proportion of initial cashflows until it achieves a post-tax IRR

of 15% on its investment. We think that the presence of Premier Oil as operator, and

the already significant level of carry, could lead to other potential bank loan financing

options.


5/17

5555

30 July 201

The exploration carry of $48m equates to a gross exploration programme of $120mand this should be sufficient for three wells including mobilisation and demobilisation

costs. As the primary prospects are already covered by 3D seismic data, we expect

that almost all this carry will be applied to drilling costs. Rockhopper will take thesubsurface lead on this exploration, and already has three drill ready prospects. The

timing and programme has not yet been decided.

In addition, Premier Oil and Rockhopper Exploration have announced an AMI covering

southern Mozambique, South Africa and Namibia. This could be an exciting part of

Rockhoppers portfolio in the mid and long term, but it is not likely to feature heavily in

the near term, either in time or costs spent.

Capital Gains Tax

The company expects this transaction will be subject to Capital Gains Tax (CGT). The

application of this tax, which is charged at 26%, is subject to change as the Falkland

Islands Government (FIG) is reviewing its application. Rockhopper has received formal

notification that the end result of this review, which may not be completed until 2013,

will not be worse than the current legislation, and may be less onerous.

CGT is applied to the transaction value less the applicable costs. At present the

transaction value is considered to be the total of the cash element of the farm-in together

with the discounted value of the development carry (exploration is excluded). The

applicable costs are deemed to be the remaining pro-rata Rockhopper interest costs

incurred so far (rather than the more intuitive pro rata costs attributable to Premiers

share).

The CGT would be repayable in two tranches. The first, eight months following

completion of the farm-in; and the second the earlier of five years after completion or at

first oil. This results in an overall estimated undiscounted CGT of $128m ($83m

discounted at 10%).

Figure 3: Rockhopper Exploration estimated CGT calculation

($m)($m)($m)($m)

Cash element of farm-in 231

Discounted value of carry 445

Total Transaction valueTotal Transaction valueTotal Transaction valueTotal Transaction value 676676676676

Applicable costs to date 185

Gain 491

CGT payable (@26%)CGT payable (@26%)CGT payable (@26%)CGT payable (@26%) 128128128128

Initial instalment of CGT mid 2013 44

Balance payable sooner of 5 years or 1st oil 84

NPV10 CGTNPV10 CGTNPV10 CGTNPV10 CGT 83838383

Source: Canaccord Genuity Limited Estimates, Rockhopper Exploration


6/17

6666

30 July 201

The Sea Lion developmentThe Sea Lion field has independent gross 2C resources of 321 mmbbls (Gaffney Cline &

Associates GCA, April 2012), with additional 2C resources in the Casper, Casper South

and other accumulations.

The fields remoteness is not really an issue. The current oil facilities onshore the

Falkland Islands can be quite easily expanded to allow for storage, workshops,

communications and other shore based requirements. The field itself lies in a water

depth of 450m, similar to the water depth at the Foinaven FPSO development to the west

of the Shetland Islands. The weather, though, to the north of the Falkland Islands, is less

extreme than the conditions found in the central North Sea.

Figure 4: Sea Lion Field and satellite discoveries

Source: Rockhopper Exploration


7/17

7777

30 July 201

Figure 5: Gaffney Cline CPR information, April 2012

FieldFieldFieldField GGGGrossrossrossross Net 2C ResourcesNet 2C ResourcesNet 2C ResourcesNet 2C Resources Net 2C ResourcesNet 2C ResourcesNet 2C ResourcesNet 2C Resources

2C Resources2C Resources2C Resources2C Resources Pre FarmPre FarmPre FarmPre Farm----outoutoutout Post FarmPost FarmPost FarmPost Farm----outoutoutout

(mmbbls)(mmbbls)(mmbbls)(mmbbls) (mmbbls)(mmbbls)(mmbbls)(mmbbls) (mmbbls)(mmbbls)(mmbbls)(mmbbls)Sea Lion 320.5 307.4 123.0

Casper 21.1 20.4 8.2

Casper South 39.0 24.3 9.7

B 15 East 0.7 0.8 0.3

SL 05 4.6 2.8 1.1

TotalTotalTotalTotal 385.9385.9385.9385.9 355.7355.7355.7355.7 142.3142.3142.3142.3

Source: Gaffney Cline & Associates, Rockhopper Exploration, Canaccord Genuity Limited

Both Premier and Rockhopper believe that the resource estimates are reasonable and

that no further appraisal drilling on Sea Lion is required. Premiers own presentation on

the transaction stated that the deal adds approximately 200 mmbbls net discovered 2C

resources, in line with the CPR, and 175 mmboe net prospective resources.

We expect the handover of operatorship to be accomplished shortly after transaction

completion, which is expected in September, following which the anticipated

development plan will be refined and perhaps modified. However, it would be surprising

if the development were to be substantially altered from that already envisaged by GCA.

That included the drilling of a total of 34 wells comprising 21 producers, 6 dual

producer/injectors and 7 injectors, in four subsea clusters, with production of around

70,000 bopd into an FPSO.

At present the only notable differences have been Premier Oils initial estimated gross

peak production of 80,000-85,000 bopd higher than the CPR projection; with first oil

expected in H1 2017 about a year later that the CPR report indicated. However GCAs

production profiles included downtime of 10%, and production is not expected to be

limited by well productivity.Dealing with Sea Lion wax

Rockhopper has spent considerable time, together with various consultancies including

Genesis Oil & Gas Ltd., assessing the best means of developing the field, particularly in

view of the crude oils wax content and its flow characteristics.

Figure 6: Sea Lion Crude Key Parameters

API gravity 29

GOR (scf/bbl) 265

Reservoir temperature (C) 88

Viscosity (cP at reservoir temp) 7.2

Wax content (%) 22Wax appearance temperature (oC) 72

Bulk wax appearance temperature (oC) 50

Pour point (oC) 20

Gel point (C) 8

Source: Rockhopper Exploration, Gaffney Cline & associates

The table above illustrates the key parameters of Sea Lion crude. Firstly, it is important

to point out that the crude is of medium weight, and sweet, resulting in a likely sale price

at the field of a 2-3% discount to Brent.


8/17

8888

30 July 201

The keys to the development, in our view, are the wax and gel management strategies.

The 22% wax content is quite high, though not exceptionally so (many Brazilian crudes

have a higher wax content), and is quite typical of oil generated from a lacustrine source

rock. Wax may be formed on pipe walls when crude oil is flowing or in the body of thecrude oil when there is no flow, if the temperature drops sufficiently. There are a numbe

of ways around this problem - the addition of wax inhibitors, pour point depressants,

heating, and insulation being the primary methods. All the work carried out by

Rockhopper and its advisors has indicated that a combination of heating and insulation i

the best solution for Sea Lion.

Producing, storing, and transporting Sea Lion crude oil at temperatures above 72C will

eliminate the formation of wax. At 72C and down to 50C some platelets of wax will

begin to form on pipe walls, but the build-up will be very slow. Below 50C (the bulk wax

appearance temperature) wax build-up will increase substantially. The answer then is to

maintain temperatures at least above 50C.

The SolutionThe SolutionThe SolutionThe Solution ---- Artificial liftArtificial liftArtificial liftArtificial lift, heating and insulation, heating and insulation, heating and insulation, heating and insulation The low GOR and medium viscosity

of the Sea Lion crude require the application of artificial lift to assist production.

Rockhopper and its consultants have determined that the use of downhole hydraulic

submersible pumps (HSPs) is the best means of providing that lift. HSPs operate by

pumping water down the well bore, turning a turbine, lifting the crude, which is then

delivered with the water to the surface. For Sea Lion the water will be heated to around

75C before pumping, and this water forms a colloid with the crude oil, which itself is at

88C (the formation temperature), before returning to the FPSO through insulated flow

lines and riser. This process has multiple benefits. It results in production of a water and

crude oil mixture which flows more easily than crude alone, it provides improved well

productivity, and it maintains the flowing mixed liquids temperature above 72C. Once

on the FPSO, the produced liquids are processed, the water is extracted, and then

reheated prior to reinjection.

If the field has to be shut in for any reason then the crude oil in the production system

will begin to cool until eventually it reaches the gel point at around 8C. This is the

temperature at which wax forms within the crude oil and this could result in plugging of

the pipe and flowlines. However, through use of insulated pipe-in-pipe technology,

Rockhopper expects that there would be more than enough time to flush the system with

hot water to clear the crude and eliminate the risk.

Hydraulic Submersible PumpsHydraulic Submersible PumpsHydraulic Submersible PumpsHydraulic Submersible Pumps HSPs have a long and successful track record on the UK

North Sea Captain field, which has heavier and more viscous crude than Sea Lion (13-21

API, viscosity of 88 cP). The HSPs have operated over a wide variety of conditions

(including substantial gas volumes) with great reliability (the mean time to failure on

Captain was 12 years for HSP pumps). This reliability is attributed in part to the HSP

pump design, which requires no downhole electrics. The power required to operate thesepumps and heat the water will be derived from associated gas produced as a result of the

crude production.

FPSOFPSOFPSOFPSOs and tankerss and tankerss and tankerss and tankers - It is standard policy to heat crudes within the FPSO and offloading

tankers to nullify the onset of wax production. For example production from the

Peregrino field (operator, Statoil) offshore Brazil, which has much heavier (12-14 API),

and lower viscosity, crude than Sea Lion, is processed on board the FPSO at a

temperature of around 150C, and then maintained at a temperature of 65C on board,

before transfer to heated tankers for refinery delivery.


9/17

9999

30 July 201

Upside potentialWe see considerable upside potential both in the Sea Lion field itself, the satellite

discoveries, and further exploration. Overall, we see around 150 mmbbls additional

upside beyond the current Sea Lion 2C resources in the current primary areas of

exploration, appraisal and development.

Figure 7: Net Rockhopper upside in the current primary projects

AssetAssetAssetAsset Net Pot. additionaNet Pot. additionalNet Pot. additionalNet Pot. additional

ResourcesResourcesResourcesResources

(mmbbls)(mmbbls)(mmbbls)(mmbbls)

Sea Lion field 38.6

Casper South discovery 25.0

George prospects 53.2

Chatham prospects 39.6

TotalTotalTotalTotal 156.4156.4156.4156.4

Source: Canaccord Genuity Limited Estimates

Figure 8: Schematic Field and Prospect Cross Section

Source: Rockhopper

Sea Lion field

The GCA CPR, dated April 2012, followed the traditional probabilistic evaluation

methodology to determine both oil-in-place and recoverable resources. However, the

company also provided a deterministic assessment of oil-in-place. The deterministic

approach yields a bottom up technically based view of the resources rather than

employing a probabilistic method, which can lead to skewed results.


10/17

10101010

30 July 201

Figure 9: Sea Lion Main Complex (sands SL10 & SL20) CPR oil-in-place determinations

MethodMethodMethodMethod ClassificationClassificationClassificationClassification STOISTOISTOISTOIIPIPIPIP CommentsCommentsCommentsComments


Probabilistic 1C 650 Limited to 0.5 km radius around Sea Lion wellsProbabilistic 2C 1,067 Full field areal extent but inferred reduced reservoir quality/thickness towards boundaries

Probabilistic 3C 1,563 Full field areal extent but 'normal' reservoir quality/thickness towards boundaries

Deterministic Best 1,303 Most likely bottom up technical approach

Source: Gaffney Cline & Associates, STOOIP = Stock Tank Oil Originally In Place

Drilling results from the 2010-2011 campaign on Sea Lion were generally a very close

match to the pre drill estimates, and together with the presence of high quality 3D

seismic over the field, we think it reasonable to believe that the probabilistic 2C oil-in-

place figure could be overly cautious. This is supported by the deterministic oil-in-place

assessment. In any case, as development wells are drilled on Sea Lion, assuming oil

reservoir is found, then the 1C case will increase due to the addition of further resource

halos around each well, and this would positively impact the 2C case.

Assuming the anticipated mid-point field recovery factor of 30% (the CPR gave a range o

20-40% and stated that 30% is the most likely estimate), the deterministic approach

would result in gross Sea Lion (sands SL10 & SL20) resources of 391 mmbbls, compared

with the probabilistic 321 mmbbls. That would result in additional gross Sea Lion

resources of 70 mmbbls, or 28 mmbbls net to Rockhopper post farm-down.

There is also potential in the additional sand intervals, SL05, SL30 and B15, just above

and below the two main Sea Lion sand units (SL10 and SL20). Gaffney Cline identified

gross 5.3 mmbbls contingent and gross 23 mmbbls prospective resources in these

reservoirs. Clearly these sands need further appraisal/exploration drilling, but we think

that is unlikely until field development drilling gets underway.

Figure 10: Sea Lion Resource Evaluation

Sea Lion UnitSea Lion UnitSea Lion UnitSea Lion Unit ClassificationClassificationClassificationClassification NetNetNetNet

ResourcesResourcesResourcesResources


SL10 sand unit Contingent 2C 39.4

SL 20 sand unit Contingent 2C 83.6

Upside potential to SL10&SL20 Deterministic 28.0

SL 05/B15 East Contingent 2C 1.4

SL30 Prospective Best 5.2

B15 West Prospective Best 4.0

Total PotentialTotal PotentialTotal PotentialTotal Potential 161.6161.6161.6161.6

Source: Gaffney Cline & Associates, Assumed net resources post farm-down to Premier Oil. SL30 GCoS 22%, B15 West GCoS 53%.

Satellite fieldsCasper and Casper South are the two most significant discoveries other than Sea Lion in

the North Falkland Islands basin. The CPR has assigned combined gross contingent

resources to these discoveries of 60 mmbbls, net 18 mmbbls (post farm down to Premier

Oil). Both discoveries need further appraisal.

Rockhopper believes that the CPR resource determination for Casper is reasonable, but

the company sees upside to the Casper South CPR resources in both the discovery sand

and other undrilled potential reservoirs.


11/17

11111111

30 July 201

The CPR assigns net unrisked prospective resources to Casper South of about 3 mmbbls,

but Rockhopper views that as a conservative estimate, and the company believes that

Casper South could have 25 mmbbls resources. Casper South looks to be a good

candidate for appraisal/exploration drilling.

Exploration

A number of other similar fan prospects have been evaluated in the CPR, with geological

chances of success (GCoS) assessed at between 8% and 34%. Of these Rockhopper is mos

excited by the George and Chatham groups of prospects.

Figure 11: Key Exploration prospects groups

Prospect GroupProspect GroupProspect GroupProspect Group Gross UnriskedGross UnriskedGross UnriskedGross Unrisked Net UnriskedNet UnriskedNet UnriskedNet Unrisked GCoSGCoSGCoSGCoS

Best CaseBest CaseBest CaseBest Case Best CaseBest CaseBest CaseBest Case

(mmbbls)(mmbbls)(mmbbls)(mmbbls) (mmbbls)(mmbbls)(mmbbls)(mmbbls) (%)(%)(%)(%)

George 133.1 53.2 11%

Chatham 104.1 39.6 24%

Total 237.2 92.8Source: Canaccord Genuity Limited Estimates, Net potential is post completion of farm-down to Premier Oil; George is a synthesis of four separateidentified targets, Chatham is a synthesis of three separate identified targets. Some of these individual prospects are stacked.

Rockhopper believes that two of the individual prospects, George South and Chatham

South, could be drilled by a single vertical well. This then would target about 25 mmbbls

net prospective resources, and such a well could form part of the exploration drilling

campaign.

The 2010-2012 drilling campaign focused on basin floor fan plays, but Rockhopper has

identified a number of additional play types, including basin margin pinchouts,

downthrown closures, inversion trends, and traditional structural highs. The

interpretation of the 2011 acquired 3D seismic data covering a number of these plays

type, both in Rockhoppers northern and southern acreage is ongoing.


12/17

12121212

30 July 201

APPENDIX: IMPORTANT DISCLOSURESAnalyst Certification: Each authoring analyst of Canaccord Genuity Limited whose name appears on the front page of this research

hereby certifies that (i) the recommendations and opinions expressed in this research accurately reflect the

authoring analysts personal, independent and objective views about any and all of the designated investments orrelevant issuers discussed herein that are within such authoring analysts coverage universe and (ii) no part of the

authoring analysts compensation was, is, or will be, directly or indirectly, related to the specific recommendations

or views expressed by the authoring analyst in the research.

Site Visit(s): An analyst has not visited the issuer's material operations.

Price Chart(s):*

____ Stock price____ Stock price____ Stock price____ Stock price ____ Target price____ Target price____ Target price____ Target price

Source: Thomson Reuters and Canaccord Genuity

Date Analyst Rec. Target price

30/07/2009 Richard Slape Speculative Buy 67p






11/06/2010 Richard Slape Buy 563p18/08/2010 Richard Slape Buy 490p

07/10/2010 Richard Slape Buy 641p









20/04/2012 Charlie Sharp Buy 644p



Distribution of Ratings:

Global Stock Ratings

(as of 03 July 2012)

Coverage Universe

Rating # % IB Clients %

Buy 590 60.9 30.5Speculative Buy 88 9.1 51.1

Hold 263 27.1 11.8

Sell 28 2.9 3.6

969 100.0


13/17

13131313

30 July 201

Canaccord Ratings

System:

BUY:BUY:BUY:BUY: The stock is expected to generate risk-adjusted returns of over 10% during the next 12 months.

HOLD:HOLD:HOLD:HOLD: The stock is expected to generate risk-adjusted returns of 0-10% during the next 12 months.

SELL:SELL:SELL:SELL: The stock is expected to generate negative risk-adjusted returns during the next 12 months.

NOT RATED:NOT RATED:NOT RATED:NOT RATED: Canaccord Genuity does not provide research coverage of the relevant issuer.

Risk-adjusted return refers to the expected return in relation to the amount of risk associated with the designated

investment or the relevant issuer.

Risk Qualifier: SPECULATIVE:SPECULATIVE:SPECULATIVE:SPECULATIVE: Stocks bear significantly higher risk that typically cannot be valued by normal fundamental criteria.

Investments in the stock may result in material loss.

Canaccord Research Disclosures as of 30 July 2012

Company Disclosure

Rockhopper Exploration 1A, 2, 3, 4, 7

1 The relevant issuer currently is, or in the past 12 months was, a client of Canaccord Genuity or its affiliated

companies. During this period, Canaccord Genuity or its affiliated companies provided the following services to the

relevant issuer:

A. investment banking services.

B. non-investment banking securities-related services.

C. non-securities related services.

2 In the past 12 months, Canaccord Genuity or its affiliated companies have received compensation for Corporate

Finance / Investment Banking services from the relevant issuer.

3 In the past 12 months, Canaccord Genuity or any of its affiliated companies have been lead manager, co-lead

manager or co-manager of a public offering of securities of the relevant issuer or any publicly disclosed offer of

securities of the relevant issuer or in any related derivatives.

4 Canaccord Genuity acts as corporate broker for the relevant issuer and/or Canaccord Genuity or any of its affiliated

companies may have an agreement with the relevant issuer relating to the provision of Corporate

Finance/Investment Banking services.

5 Canaccord Genuity or any of its affiliated companies is a market maker or liquidity provider in the securities of the

relevant issuer or in any related derivatives.

6 In the past 12 months, Canaccord Genuity, its partners, affiliated companies, officers or directors, or any authoring

analyst involved in the preparation of this research has provided services to the relevant issuer for remuneration,other than normal course investment advisory or trade execution services.

7 Canaccord Genuity intends to seek or expects to receive compensation for Corporate Finance/Investment Banking

services from the relevant issuer in the next six months.

8 The authoring analyst, a member of the authoring analysts household, or any individual directly involved in the

preparation of this research, has a long position in the shares or derivatives, or has any other financial interest in

the relevant issuer, the value of which increases as the value of the underlying equity increases.

9 The authoring analyst, a member of the authoring analysts household, or any individual directly involved in the

preparation of this research, has a short position in the shares or derivatives, or has any other financial interest in

the relevant issuer, the value of which increases as the value of the underlying equity decreases.

10 Those persons identified as the author(s) of this research, or any individual involved in the preparation of this

research, have purchased/received shares in the relevant issuer prior to a public offering of those shares, and such

persons name and details are disclosed above.

11 A partner, director, officer, employee or agent of Canaccord Genuity and its affiliated companies, or a member of

his/her household, is an officer, or director, or serves as an advisor or board member of the relevant issuer and/or

one of its subsidiaries, and such persons name is disclosed above.

12 As of the month end immediately preceding the date of publication of this research, or the prior month end if

publication is within 10 days following a month end, Canaccord Genuity or its affiliate companies, in the aggregate,

beneficially owned 1% or more of any class of the total issued share capital or other common equity securities of the

relevant issuer or held any other financial interests in the relevant issuer which are significant in relation to the

research (as disclosed above).


14/17

14141414

30 July 201

13 As of the month end immediately preceding the date of publication of this research, or the prior month end if

publication is within 10 days following a month end, the relevant issuer owned 1% or more of any class of the total

issued share capital in Canaccord Genuity or any of its affiliated companies.

14 Other specific disclosures as described above.Canaccord Genuity is the business name used by certain subsidiaries of Canaccord Financial Inc., including

Canaccord Genuity Inc., Canaccord Genuity Limited, and Canaccord Genuity Corp.

The authoring analysts who are responsible for the preparation of this research are employed by Canaccord

Genuity Limited, which is authorised and regulated by the Financial Services Authority (FSA).

In the event that this is compendium research (covering six or more relevant issuers), Canaccord Genuity and its

affiliated companies may choose to provide specific disclosures of the subject companies by reference, as well as its

policies and procedures regarding the dissemination of research. To access this material or for more information,

please refer to http://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspx.

The authoring analysts who are responsible for the preparation of this research have received (or will receive)

compensation based upon (among other factors) the Corporate Finance/Investment Banking revenues and general

profits of Canaccord Genuity. However, such authoring analysts have not received, and will not receive,

compensation that is directly based upon or linked to one or more specific Corporate Finance/Investment Banking

activities, or to recommendations contained in the research.Canaccord Genuity Limited and its affiliated companies may have a Corporate Finance/Investment Banking or other

relationship with the company that is the subject of this research and may trade in any of the designated

investments mentioned herein either for their own account or the accounts of their customers, in good faith or in

the normal course of market making. Accordingly, Canaccord Genuity Limited or their affiliated companies,

principals or employees (other than the authoring analyst(s) who prepared this research) may at any time have a

long or short position in any such designated investments, Related designated investments or in options, futures or

other derivative instruments based thereon.

For the purpose of UK regulation Canaccord Genuity Limited produces non-independent research which is a

marketing communication under the FSA Conduct of Business Rules and has not been prepared in accordance with

the FSA requirements to promote independence of research nor is it subject to the prohibition on dealing ahead of

the dissemination of research. However, Canaccord Genuity Limited does have procedures in place to manage

conflicts which may arise in the production of research, which includes preventing dealing head and Chinese Wall

procedures.

The information contained in this research has been compiled by Canaccord Genuity Limited from sources believed

to be reliable, but (with the exception of the information about Canaccord Genuity) no representation or warranty,

express or implied, is made by Canaccord Genuity Limited, its affiliated companies or any other person as to its

fairness, accuracy, completeness or correctness. Canaccord Genuity has not independently verified the facts,

assumptions, and estimates contained herein. All estimates, opinions and other information contained in this

research constitute Canaccord Genuity Limiteds judgement as of the date of this research, are subject to change

without notice and are provided in good faith but without legal responsibility or liability.

Canaccord Genuity salespeople, traders, and other professionals may provide oral or written market commentary or

trading strategies to our clients and our principal trading desk that reflect opinions that are contrary to the opinions

expressed in this research. Canaccord Genuitys affiliates, principal trading desk, and investing businesses may

make investment decisions that are inconsistent with the recommendations or views expressed in this research.

This research is provided for information purposes only and does not constitute an offer or solicitation to buy or sell

any designated investments discussed herein in any jurisdiction where such offer or solicitation would be

prohibited. As a result, the designated investments discussed in this research may not be eligible for sale in somejurisdictions. This research is not, and under no circumstances should be construed as, a solicitation to act as a

securities broker or dealer in any jurisdiction by any person or company that is not legally permitted to carry on the

business of a securities broker or dealer in that jurisdiction. This material is prepared for general circulation to

clients and does not have regard to the investment objectives, financial situation or particular needs of any

particular person. Investors should obtain advice based on their own individual circumstances before making an

investment decision. To the fullest extent permitted by law, none of Canaccord Genuity Limited, its affiliated

companies or any other person accepts any liability whatsoever for any direct or consequential loss arising from or

relating to any use of the information contained in this research.

For Canadian Residents: This research has been approved by Canaccord Genuity Corp., which accepts sole responsibility for this research
http://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspxhttp://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspxhttp://www.canaccordgenuity.com/en/ODD/pages/disclosures.aspx


15/17

15151515

30 July 201

and its dissemination in Canada. Canadian clients wishing to effect transactions in any Designated Investment

discussed should do so through a qualified salesperson of Canaccord Genuity Corp. in their particular jurisdiction.

For United Kingdom and

European Residents:

This research is for persons who are Eligible Counterparties or Professional Clients only and is exempt from the

general restrictions in section 21 of the Financial Services and Markets Act 2000 (or any analogous legislation) on

the communication of invitations or inducements to engage in investment activity on the grounds that it is being

distributed in the United Kingdom only to persons of a kind described in Article 19(5) (Investment Professionals)

and 49(2) (High Net Worth companies, unincorporated associations etc) of the Financial Services and Markets Act

2000 (Financial Promotion) Order 2005 (as amended). It is not intended to be distributed or passed on, directly or

indirectly, to any other class of persons. This material is not for distribution in the United Kingdom or Europe to

retail clients, as defined under the rules of the Financial Services Authority.

For United States

Residents:

For United States Residents: Canaccord Genuity Inc. and Canaccord Genuity Securities LLC, US registered broker-

dealers, accept responsibility for this research and its dissemination in the United States. This research is intended

for distribution in the United States only to certain US institutional investors. US clients wishing to effect

transactions in any Designated Investment discussed should do so through a qualified salesperson of Canaccord

Genuity Inc. or Canaccord Genuity Securities LLC. Analyst(s) preparing this report that are not employed by

Canaccord Genuity Inc. or Canaccord Genuity Securities LLC are resident outside the United States and are not

associated persons or employees of any US regulated broker-dealer. Such analyst(s) may not be subject to Rule 2711

restrictions on communications with a subject company, public appearances and trading securities held by aresearch analyst account.

For Jersey, Guernsey

and Isle of Man

Residents:

This research is sent to you by Collins Stewart (CI) Limited ("CSCI") for information purposes and is not to be

construed as a solicitation or an offer to purchase or sell investments or related financial instruments. This research

has been produced by a group company for circulation to its institutional clients and also CSCI. Its contents have

been approved by CSCI and we are providing it to you on the basis that we believe it to be of interest to you. This

statement should be read in conjunction with your client agreement, CSCI's current terms of business and the other

disclosures and disclaimers contained within this research. If you are in any doubt, you should consult your

financial adviser.

CSCI is l icensed and regulated by the Guernsey Financial Services Commission, the Jersey Financial Services

Commission and the Isle of Man Financial Supervision Commission. CSCI is registered in Guernsey and is a wholly

owned subsidiary of Canaccord Financial Inc.

Additional information is available on request.Additional information is available on request.Additional information is available on request.Additional information is available on request.

Copyright Canaccord Genuity Corp. 2012. Member IIROC/Canadian Investor Protection FundCopyright Canaccord Genuity Limited 2012. Member LSE, authorized and regulated by the Financial Services

Authority.

Copyright Canaccord Genuity Inc. 2012. Member FINRA/SIPC

Copyright Canaccord Genuity Securities LLC 2012. Member FINRA/SIPC

All rights reserved. All material presented in this document, unless specifically indicated otherwise, is under

copyright to Canaccord Genuity Corp., Canaccord Genuity Limited, and Canaccord Genuity Inc. and Canaccord

Genuity Securities LLC. None of the material, nor its content, nor any copy of it, may be altered in any way, or

transmitted to or distributed to any other party, without the prior express written permission of the entities listed

above.


16/17

16161616

30 July 201

Sales and Trading Toronto 1.800.810.8051

Calgary 1.403.508.3826

London 44.20.7050.6505

Montreal 1.514.284.1476

Boston 1.800.343.7096

San Francisco 1.800.830.2608

Vancouver 1.604.643.7052

New York 1.800.818.2196 www.canaccordgenuity.com

AgricultureAgricultureAgricultureAgriculture

Keith Carpenter,(C) MBA, CFA, Toronto 1.416.869.7325

Neal Gilmer,(C) MBA, Associate Analyst, Toronto 1.416.869.7294

Vitali Savitski,(C) Associate, Toronto 1.416.869.7354

ChemicalsChemicalsChemicalsChemicals

Paul Satchell(UK) London 44.20.7523.8294

Consumer ProductsConsumer ProductsConsumer ProductsConsumer Products

Wayne Brown,(UK) London 44.20.7523.8368

Laura Champine,(US) CFA, New York 1.212.389.8056

Alicia Forry,(UK) London 44.20.7523.8372

Eddy Hargreaves,(UK) London 44.20.7523.8374

Camilo Lyon,(US) New York 1.212.849.3978

Rob Mann,(UK) London 44.20.7523.8290

Scott Van Winkle,(US) CFA, Boston 1.617.371.3759Derek Dley,(C) Associate Analyst, Vancouver 1.604.694.6967

Chris Mandeville,(US) Associate, Boston 1.617.371.3728

Mark Sigal,(US) Associate, Boston 1.617.788.1591

Jason Smith ,(US) Associate, New York 1.212.389.8059

Emerging CompaniesEmerging CompaniesEmerging CompaniesEmerging Companies

Michael OBrien(UK) London 44.20.7523.8423

EnEnEnEnergyergyergyergy

James Evans,(UK), London 44.20.7523.8379

John Gerdes,(US) Houston 1.713.331.9443

Gordon Gray,(UK), London 44.20.7523.8383

Harold Hutchinson, London 44.20.7523.8391

Brian Kristjansen,(C) Calgary 1.403.691.7807

Thomas Martin,(UK)

, London 44.20.7523.8382Braden Purkis,(UK), London 44.20. 7523.4648

Charlie Sharp,(UK) London 44.20. 7523.4651

Phil Skolnick,(US)New York 1.212.849.3933

Marcus Talbert,(US) Houston 1.713.331.9468

John Tasdemir,(US) Houston 1.713.331.9447

Steve Toth,(C) Calgary 1.403.508.3884

Lindsay Wheeler,(UK) London Maternity Leave

Nick Coutoulakis,(C) Associate, Calgary 1.403.508.3824

Chad Ellison,(C) Associate, Calgary 1.403.691.7811

Lisa McCarthy,(C) Associate, Calgary 1.403.508.3822

Ryan Oatman, (US) CFA, Associate, Houston 1.713.331.9458

Benny Wong,(US) Associate Analyst, New York 1.212.849.3910

FinancialsFinancialsFinancialsFinancials

Scott Chan, MBA, CFA,(C) Toronto 1.416.869.3549

Ben Cohen, (UK)London 44.20.7523.8392

Gareth Hunt, (UK)London 44.20.7523.8365

Arun Melmane,(UK)London 44.20.7523.8390

Mario Mendonca,(C) CA, CFA, Toronto 1.416.869.7270

Robin Savage,(UK) London 44.20.7523.8376

Ming Zhu,(UK) London 44.20.7523.8284

Evan Minsky, CFA,(C) Associate Analyst, Toronto 1.416.869.7348

Lemar Persaud,(C) CA, Associate, Toronto 1.416.869.7319

HealthcareHealthcareHealthcareHealthcare

Julie Simmonds(UK) London 44.20.7523.8377

InfrastructureInfrastructureInfrastructureInfrastructure

Jared Alexander, (C) CFA, Vancouver 1.604.643.7612Sara Elford,(C) CFA, Halifax 1.902.442.3161

Yuri Lynk,(C) MSc, CFA, Montreal 1.514.844.3708

Juan Plessis,(C) MBA, CFA, Vancouver 1.604.643.0181

Zayem Lakhani,(C) Associate, Vancouver 1.604.643.7506

Catherine Siu,(C) CFA, Associate, Montreal 1.514.844.3108

Investment CompaniesInvestment CompaniesInvestment CompaniesInvestment Companies

Alan Brierley 44.20.7523.8091

Life SciencesLife SciencesLife SciencesLife Sciences

Ritu Baral,(US) New York 1.212.849.3917

Jeffrey Frelick,(US) Boston 1.617.371.3711

Neil Maruoka,(C) M.Sc., MBA, Toronto 1.416.869.3073

Jason Mills,(US) San Francisco 1.415.229.7166

William Plovanic,(US)

CFA, Chicago 1.847.864.1137Salveen Richter,(US) CFA, New York 1.212.389.8052

Randall Stanicky,(US) CFA, New York 1.212.849.3991

Dana Flanders,(US) Associate, New York 1.212.849.3953

Kyle Rose,(US) Associate, Chicago 1.847.864.1139

Vancouver Head OfficeVancouver Head OfficeVancouver Head OfficeVancouver Head Office(C)(C)(C)(C)

P.O. Box 10337 Pacific Centre220 . 609 Granville Street.

Vancouver, British Colombia V7Y 1H2

1.604.643.7000

TorontoTorontoTorontoToronto(C)(C)(C)(C)

Brookfield Place, 161 Bay StreetSuite 3000, P.O. Box 516

Toronto, Ontario M5J 2S1

1.416.869.7368

CalgaryCalgaryCalgaryCalgary(C)(C)(C)(C)

TransCanada Tower450 1st Street SW Suite 2200

Calgary, Alberta T2P 5P8

1.403.508.3800

MontrealMontrealMontrealMontreal(C)(C)(C)(C)

1250, Rene-LevesqueBureau 2930

Montreal, Quebec H3B 4W8

1.514.844.5443

LondonLondonLondonLondon(UK)(UK)(UK)(UK)

8th Floor, 88 Wood Street

London EC2V 7QR

44.20.7523.8000

BostonBostonBostonBoston(US)(US)(US)(US)

99 High Street, Suite 1200

Boston, MA 02110

1.617.371.3990

New YorkNew YorkNew YorkNew York(US)(US)(US)(US)

535 Madison Avenue. 2nd Floor

New York, NY 10022

1.212.849.3900

SaSaSaSan Franciscon Franciscon Franciscon Francisco(US)(US)(US)(US)

101 Montgomery Street, Suite 2000

San Francisco, CA 94104

1.415.229.7171


17/17

17171717

30 July 201

Sales and Trading Toronto 1.800.810.8051

Calgary 1.403.508.3826

London 44.20.7050.6505

Montreal 1.514.284.1476

Boston 1.800.343.7096

San Francisco 1.800.830.2608

Vancouver 1.604.643.7052

New York 1.800.818.2196 www.canaccordgenuity.com

MediaMediaMediaMedia

Simon Davies,(UK)

London 44.20.7523.8373Thomas Eagan ,(US) New York 1.212.389.8115

Aravinda Galappatthige,(C) Toronto 1.416.869.7303

Frank Poerio,(US) CFA, Associate, New York 1.212.389.8116

Metals and MiningMetals and MiningMetals and MiningMetals and Mining

Steven Butler,(C) MBA, Toronto 1.416.869.7918

Nicholas Campbell,(C) Vancouver 1.604.643.7027

Jeremy Dibb,(UK) London 44.20.7523.4637

Tim Dudley,(UK), London 44 20 7523 8385

Matt Hasson (Specialist Sales),(UK), London 44 20 7523.8405

Gary Lampard,(C) Toronto 1.416.867.6020

Peter Mallin-Jones,(UK), London 44.20.7523.4645

Orest Wowkodaw,(C) CA, CFA, Toronto 1.416.869.3092

Wendell Zerb,(C) PGeol, Vancouver 1.604.643.7485

Rahul Paul,(C) Associate Analyst, Toronto 1.416.869.7289

Jacob Field-Marsham,(C) Associate, Toronto 1.416.869.7299

Adam Gofton,(C) CFA, Associate, Toronto 1.416.869.7349

Gabriel Gonzalez,(C) Associate, Vancouver 1.604.643.7529

Dmitry Kalachev,(UK), Associate, London 44.20.7523.4643

John Kratochwil, (C) P.Eng., Associate, Toronto 1.416.869.6592

Chris Lerch,(C) Associate, Vancouver 1.604.643.1655

Todd Liang,(C) Associate, Toronto 1.416.867.2649

Adam Melnik,(C) Associate, Toronto 1.416.687.5428

Paper and Forest Products

Neal Gilmer,(C) MBA, Associate Analyst, Toronto 1.416.869.7294

Real Estate

Shant Poladian,(C) CA, CPA, Toronto 1.416.869.6595

Mark Rothschild,(C) Toronto 1.416.869.7280

Alastair Stewart,(UK) London 44.20.7523.8336

Kevin Halmos,(C) Associate, Toronto 1.416.869.3643

David Chrystal,(C) Associate, Toronto 1.416.869.7351

Support Services

Julian Cater,(UK) London 44.20.7523.8425

James Gilbert, CFA, (UK) London 44.20.7523.8424

Sustainability & CleanTech

John Quealy,

(US)

CPA, Boston 1.617.371.3837Jonathan Dorsheimer,(US) Boston 1.617.371.3875

Sara Elford,(C) CFA, Halifax 1.902.442.3161

Bob Liao,(UK) CFA, London 44.20.7523.4644

Honghua Chen, (C) Associate, Toronto 1.416.869.7364

Chip Moore,(US) CFA, Sr. Associate, Boston 1.617.371.3879

Josh Baribeau,(US) CFA, Sr. Associate, Boston 1.617.371.3892

Shannon Lynch,(C) MBA, Associate, Halifax 1.902.442.3159

Technology

Bobby Burleson,(US) San Francisco 1.415.229.7163

Richard Dvis,(US) CFA, Boston 1.617.371.3862

Gareth Evans,(UK) ACA, London 44.20.7523.4639

Michael Graham,(US) New York 1.212.849.3924

Alan Howard,(UK) CFA, London 44.20.7523.4642

Jonathan Imlah,(UK), London 44.20.7523.8418

Bob Liao,(UK) CFA, London 44.20.7523.4644

Eyal Ofir,(C) CFA, Toronto 1.416.869.7215

Jeff Rath,(US) CFA, Boston 1.617.371.3891

T. Michael Walkley,(US) Minneapolis 1.612.332.8069

Robert Young,(C) MBA, Toronto 1.416.869.7341

David Delleo,(US) Sr. Associate, Boston 1.617.788.1595

David E. Hynes, Jr.,(US) Sr. Associate, Boston 1.617.371.3882

Haesu Lee(C), Associate, Toronto 1.416.869.7329

Matt Ramsay,(US) Associate, Minneapolis 1.612.332.2208

Shawn Rassouli,(US) Associate, New York 1.212.849.3957

Telecommunications and Cable

Dvai Ghose,(C) Toronto 1.416.869.7274

Alan Howard,(UK) CFA, London 44.20.7523.4642

Greg Miller,(US) New York 1.212.389.8128

Sanford Lee,(C) MBA, Associate Analyst, Toronto 1.416.867.4544

Eric Z. Chu,(US) CFA, Associate, New York 1.212.389.8129

Transportation and Industrials

David Tyerman,(C) MBA, Toronto 1.416.869.7304

Chris Bowes, (C) MBA, Associate Analyst, Toronto 1.416.869.7375

Quest

Helpdesk 44.20.7523.8493

Vancouver Head OfficeVancouver Head OfficeVancouver Head OfficeVancouver Head Office (C)(C)(C)(C)

P.O. Box 10337 Pacific Centre

220 . 609 Granville Street.

Vacouver, British Colombia V7Y 1H2

1.604.643.7000

TorontoTorontoTorontoToronto(C)(C)(C)(C)

Brookfield Place, 161 Bay Street

Suite 3000, P.O. Box 516

Toronto, Ontario M5J 2S1

1.416.869.7368

CalgaryCalgaryCalgaryCalgary(C)(C)(C)(C)

TransCanada Tower

450 1st Street SW Suite 2200

Calgary, Alberta T2P 5P8

1.403.508.3800

MontrealMontrealMontrealMontreal(C)(C)(C)(C)

1250, Rene-Levesque

Bureau 2930

Montreal, Quebec H3B 4W8

1.514.844.5443

LondonLondonLondonLondon(UK)(UK)(UK)(UK)

8th Floor, 88 Wood Street

London EC2V 7QR

44.20.7523.8000

BostonBostonBostonBoston(US)(US)(US)(US)

99 High Street, Suite 1200

Boston, MA 02110

1.617.371.3990

New YorkNew YorkNew YorkNew York(US)(US)(US)(US)

535 Madison Avenue. 2nd Floor

New York, NY 10022

1.212.849.3900

San FranciscoSan FranciscoSan FranciscoSan Francisco(US)(US)(US)(US)

101 Montgomery Street, Suite 2000

San Francisco, CA 94104

1.415.229.7171

cannacord - rkh

Documents