2nd Quarter Report

Roc Oil Company Limited
31 July 2007


                             ROC OIL COMPANY LIMITED
                              (ABN 32 075 965 856)

                             REPORT TO SHAREHOLDERS
                 Activities for the Quarter Ended 30 June 2007

                                  CEO COMMENTS

This Quarter delivered a combination of established production, new field
production, exploration success, continuing aggressive exploration drilling and
acreage acquisition.

Enoch, a new oil and gas field in the North Sea, started production and achieved
target rates soon afterwards. A three well exploration drilling programme in the
offshore Perth Basin resulted in three discoveries, two of which may prove to be
commercial, subject to further evaluation. A high profile, multi-well,
exploration drilling programme commenced onshore Angola. ROC entered East Africa
for the first time when the Government of The Republic of Madagascar, awarded
the Company a 13,700 sq km deep-water area in the Mozambique Channel.

The high activity level referred to above was underpinned by total sales revenue
of $60 million, up more than 50% compared to the previous quarter. As a result,
ROC's 1H 2007 sales revenue is just shy of $100 million. The quarter-on-quarter
increase in revenue reflects strong oil prices and the timing of cargo liftings
since quarter-on-quarter production remained essentially flat. Based on
year-to-date results, production for the full financial year 2007 is expected to
be at the low end of the 10,000 to 12,000 BOPD guidance range previously
provided by the Company.

                                 KEY ACTIVITIES

1.             REVENUE & PRODUCTION

  • Total sales revenue of $60.4 million; up 55% compared to $38.9 million
    in the previous quarter, reflecting strong increases in global and regional
    crude oil sales prices and timing of cargo liftings. The average realised
    oil price across all of ROC's production assets was $78.98 (US$ 65.48), up
    17% from 1Q 2007.

  • Total working interest production of 789,543 BOE (8,676 BOEPD); up 1%
    compared to 782,544 BOE (8,695 BOEPD) in the previous quarter.

  • Total sales volume of 769,789 BOE; up 34% compared to 574,409 BOE in the
    previous quarter due to timing of cargoes.

See Section 5: Financial.

1.1 Cliff Head Oil Field, WA-31-L, Offshore Western Australia (ROC: 37.5% & 
    Operator)

Gross oil production of approximately 8,475 BOPD (ROC: 3,178 BOPD), up by 8% on
the previous quarter due to a successful work over program undertaken on the
CH-13 and CH-7 wells during April 2007. Although reservoir production capacity
is approximately 12,000 BOPD, currently production is approximately 9,000 to
10,000 BOPD due to an electric submersible pump failure in relation to CH-7 well
which is being addressed.

In May 2007, oil production from the field achieved its production target of 3.0
MMBO in the first year of production.

1.2 Zhao Dong C&D Oil Fields, Bohai Bay, Offshore China (ROC: 24.5% & Operator)

Gross oil production averaged 18,770 BOPD (ROC: 4,600 BOPD), down 11% on the
previous quarter largely as a result of natural decline of existing wells, delay
in commencement of drilling new development wells, minor operational
interruptions and higher than anticipated gas production which has effectively
constrained oil production.

1.3 Enoch Oil and Gas Field, North Sea (ROC: 12.0%)

Enoch Oil and Gas Field started production on 31 May 2007 and is currently on
production target with rates of approximately 12,000 BOPD and 20 MMSCFD of gas
(ROC:1,440 BOPD and 2.4 MMSCFD), following some initial commissioning and start
up constraints. Gross June production averaged approximately 7,900 BOPD and 10
MMSCFD.

1.4 Chinguetti Oil and Gas Field, PSC Area B, Offshore Mauritania (ROC: 3.25%)

Gross oil production averaged approximately 15,600 BOPD (ROC: 507 BOPD); down
15% on the previous quarter of 18,300 BOPD (ROC: 596 BOPD).The most recent
development well, CH-18, an important contributor to overall field production,
delivered a stable performance.

2.  DEVELOPMENT

2.1 Zhao Dong C&D Oil Fields, Bohai Bay, Offshore China (ROC: 24.5% & Operator)

Development drilling activities at Zhao Dong, which commenced in early April,
represents the first stage of the Incremental Development Plan for the C & D Oil
Fields. The development drilling activities planned for 2007 include the
drilling of an additional 9 producers and 6 water injectors, aimed at increasing
field wide production. Front End Engineering Design ('FEED') is in progress for
the planned expansion of the existing platform and production facilities.

2.2 Zhao Dong C4 Oil Field, Bohai Bay, Offshore China (ROC: 11.575% unitised &
    Operator)

FEED work has commenced and orders have been placed for piling and structural
steel.

2.3 Blane Oil Field, North Sea (ROC: 12.5%)

The Blane Oil Field remains on track for first production in 3Q 2007. The Ula
topside modifications, the installation of the Blane module and the tie in of
all pipelines and flow lines to the Blane field sub-sea wells are now complete.

2.4 Enoch Oil and Gas Field, North Sea (ROC: 12.0%)

Development was completed during the Quarter and the field was successfully
commissioned with production start up on the 31 May 2007.

3.  EXPLORATION AND APPRAISAL

3.1 Perth Basin, Offshore Western Australia (ROC:20%-37.5% & Generally Operator)

During the Quarter, there was a high level of exploration drilling activity in
the offshore Perth Basin with three wells being drilled: Dunsborough-1 and
Frankland-1 (in WA-286-P) and Perseverance-1 (in WA-325-P) all of which were
classified as new field discoveries.

Although neither is large, both the Frankland-1 gas discovery and the
Dunsborough-1 light oil and gas discovery may prove to be commercial, subject to
further evaluation. Perseverance-1 is a small gas discovery with significant
carbon dioxide content which is considered to be sub commercial. See also
Section 4: Corporate and Section 6: Post Quarter Events.

3.2 Block 22/12, Beibu Gulf, Offshore China (ROC: 40% & Operator - Subject to 
    Government participation in developments for up to 51%)

During the Quarter work has progressed on the development plan for the Wei 6-12
South and Wei 6-12 oil fields. Planning is also in progress for a minimum four
well exploration program scheduled to commence in 4Q 2007.

3.3 Cabinda South Block, Onshore Angola (ROC: 60% Working Interest & 75% 
    Contributing Interest & Operator)

On 9 June 2007, the ROC owned Explorer rig commenced drilling Massambala-1, a
directional well located on the coastal plain south of Cabinda City. At Quarter
end, the well was at 1,360 mMDRT. It is anticipated that Massambala-1 will reach
a prognosed Total Depth of 2,185 metres by early August, 2007.

The Simmons 80 rig, which was upgraded in the United Arab Emirates, left Dubai
on 21 June 2007. The two rigs strategy allows concurrent drilling in the Block.

Surveying, line clearing and shot hole drilling operations for the 2007 200 sq
km 3D seismic survey commenced in May 2007.

3.4 Chinguetti Oil Field, PSC Area B, Offshore Mauritania (ROC 3.25%)

In PSC Area B, Offshore Mauritania, the Tiof high resolution 3D survey has been
completed and work is on-going with regard to processing and interpreting.

3.5 Blocks H15 & H16 Equatorial Guinea (ROC: 18.75% & Technical Manager)

Activity associated with the planned drilling of the Aleta-1 well has been put
on hold pending the outcome of arbitration hearings with Pioneer Natural
Resources (Equatorial Guinea) Limited (''Pioneer''). The arbitration process was
initiated in late June 2007 and concerns Pioneer's farm in obligations and
participation in the drilling of the Aleta-1 well previously planned for 2H
2007.

3.6 Block Belo Profond, Offshore Madagascar (ROC: 75% & Operator)

ROC purchased 1,000 sq km of 2D seismic and data on six offshore wells in order
to further assess the potentially high impact exploration acreage.

4.  CORPORATE

Mr Bruce Clement, the Company's Chief Operating Officer, was appointed as an
Executive Director of the Company on 1 July 2007.

During the six months to 30 June 2007, ROC's exploration expenditure was
approximately $52 million. In accordance with ROC's 'Successful Efforts'
accounting policy the majority of this expenditure will be expensed, including
the three Perth Basin exploration wells which at this time do not satisfy the
policy requirement that there is a high degree of probability that a development
will go ahead.

ROC is awaiting final publication of the Government of The Republic of
Madagascar's Presidential Decree and related Mining Title in the Official
Journal for Block Belo Profond PSC, offshore Madagascar. This should take place
during 3Q 2007.

During the Quarter, work progressed on the refinancing of ROC's US$137.5 million
Bridge Loan Facility which is planned to be completed in 3Q 2007.

5.  FINANCIAL

At Quarter-end ROC had approximately $35.1 million in cash and debt of $162.7
million.

5.1 Production
+-------------------------+------------+-----------+----------+
|                         |  2Q 2007   |  1Q 2007  | % change |
+-------------------------+------------+-----------+----------+
|Oil Production (BBLS)    |            |           |          |
+-------------------------+------------+-----------+----------+
|Cliff Head               |     289,233|    265,358|     9    |
+-------------------------+------------+-----------+----------+
|Zhao Dong C&D Fields     |     418,497|    462,914|   (10)   |
+-------------------------+------------+-----------+----------+
|Chinguetti               |      45,599|     53,623|   (15)   |
+-------------------------+------------+-----------+----------+
|Enoch                    |      29,610|          -|    N/A   |
+-------------------------+------------+-----------+----------+
|Other                    |         500|        649|   (23)   |
+-------------------------+------------+-----------+----------+
|Total Oil Production     |     783,439|    782,544|     0    |
+-------------------------+------------+-----------+----------+
|Gas Production (MSCF)    |            |           |          |
+-------------------------+------------+-----------+----------+
|Enoch                    |      36,625|          -|    N/A   |
+-------------------------+------------+-----------+----------+
|Total Gas (MSCF)         |      36,625|          -|    N/A   |
+-------------------------+------------+-----------+----------+
|Total BOE                |     789,543|    782,544|     1    |
+-------------------------+------------+-----------+----------+
|BOEPD                    |       8,676|      8,695|     0    |
+-------------------------+------------+-----------+----------+

Note: Production quoted is ROC's working interest share of total production.
ROC's net entitlement production for the period was 756,434 (1Q 2007: 747,938).

5.2 Sales

                          +------------------------+---------------------+
                          |         2Q 2007        |       1Q 2007       |
+-------------------------+------------+-----------+----------+----------+
Oil Sales (BBLS)          |    BBLS    |  $'000    |   BBLS   |  $'000   |
+-------------------------+------------+-----------+----------+----------+
Cliff Head                |   296,192  |  24,322   |  259,517 |  19,124  |
+-------------------------+------------+-----------+----------+----------+
Zhao Dong C&D Fields      |   406,224  |  31,222   |  314,242 |  19,722  |
+-------------------------+------------+-----------+----------+----------+
Chinguetti                |    60,769  |    4,731  |        - |       -  |
+-------------------------+------------+-----------+----------+----------+
Enoch                     |         -  |        -  |        - |       -  |
+-------------------------+------------+-----------+----------+----------+
Other                     |       500  |       43  |      649 |      47  |
+-------------------------+------------+-----------+----------+----------+
Total Oil Sales           |   763,685  |   60,317  |  574,408 |  38,893  |
+-------------------------+------------+-----------+----------+----------+
Gas Sales (MSCF)          |            |           |          |          |
Enoch                     |    36,625  |      126  |        - |       -  |
+-------------------------+------------+-----------+----------+----------+
Total Gas Sales (MSCF)    |    36,625  |      126  |        - |       -  |
+-------------------------+------------+-----------+----------+----------+
Total Sales (BOE)         |   769,789  |   60,443  |  574,408 |  38,893  |
+-------------------------+------------+-----------+----------+----------+

Note: ROC's net entitlement crude stock position decreased by 13,943 BBLS during
the period and at the end of the 2Q 2007 ROC was in a underlift position of
59,987 compared to a 73,930 BBLS underlift in the previous quarter.

5.3 Expenditure Incurred
+-------------------------------------+--------------+--------------+
|                                     |   2Q 2007    |   1Q 2007    |
|                                     |    $'000     |    $'000     |
+-------------------------------------+--------------+--------------+
|Exploration                          |              |              |
+-------------------------------------+--------------+--------------+
|Angola                               |        18,474|         7,578|
+-------------------------------------+--------------+--------------+
|China                                |           320|           614|
+-------------------------------------+--------------+--------------+
|Mauritania                           |           460|           145|
+-------------------------------------+--------------+--------------+
|Australia                            |        21,149|           130|
+-------------------------------------+--------------+--------------+
|UK                                   |            68|           105|
+-------------------------------------+--------------+--------------+
|Equatorial Guinea                    |           192|           102|
+-------------------------------------+--------------+--------------+
|Madagascar                           |         2,161|             -|
+-------------------------------------+--------------+--------------+
|Other                                |           562|           251|
+-------------------------------------+--------------+--------------+
|Total Exploration                    |        43,386|         8,925|
+-------------------------------------+--------------+--------------+

+-------------------------------------+--------------+--------------+
|Development                          |              |              |
+-------------------------------------+--------------+--------------+
|Zhao Dong C & D Fields               |         6,379|         1,201|
+-------------------------------------+--------------+--------------+
|Blane                                |         5,608|        11,048|
+-------------------------------------+--------------+--------------+
|Enoch                                |         3,726|         5,883|
+-------------------------------------+--------------+--------------+
|Chinguetti                           |           701|         2,462|
+-------------------------------------+--------------+--------------+
|Total Development                    |        16,414|        20,594|
+-------------------------------------+--------------+--------------+
|                                     |              |              |
+-------------------------------------+--------------+--------------+
|Total Exploration & Development      |        59,800|        29,519|
+-------------------------------------+--------------+--------------+

5.4 Hedging

At 30 June 2007, the company's hedge position for the period through to December
2011 can be summarised as follows:

+---------+---------------------------+----------------------------+
|         |   Brent Oil Price Swaps   |    Brent Oil Price Puts    |
+---------+-------------+-------------+-------------+--------------+
|         |   Volume    |  Weighted   |   Volume    |   Weighted   |
|         |             |Average Brent|             |Average Brent |
|         |             |    Price    |             |    Price     |
|         |             |   USD/BBL   |             |   USD/BBL    |
+---------+-------------+-------------+-------------+--------------+
|  2007   |745,980      |67.85        |165,000      |50.00         |
+---------+-------------+-------------+-------------+--------------+
|  2008   |1,177,987    |71.40        |-            |-             |
+---------+-------------+-------------+-------------+--------------+
|  2009   |851,998      |70.01        |-            |-             |
+---------+-------------+-------------+-------------+--------------+
|  2010   |686,994      |68.46        |-            |-             |
+---------+-------------+-------------+-------------+--------------+
|  2011   |455,997      |66.31        |-            |-             |
+---------+-------------+-------------+-------------+--------------+
|         |3,918,956    |69.31        |165,000      |50.00         |
+---------+-------------+-------------+-------------+--------------+

6.  POST QUARTER EVENTS

6.1 The WA-325-P and WA-327-P Joint Ventures gave the WA Government formal 
    notification of surrender of these permits effective 23 July 2007.

6.2 The Simmons 80 Rig arrived in Angola in late July and is expected to
    commence drilling by the end of August 2007. Also, in Cabinda, 3D seismic 
    data recording started on 10 July 2007.

7.  FURTHER INFORMATION

For further information please contact ROC's Chief Executive Officer, John
Doran, Chief Operating Officer, Bruce Clement or General Manager, External
Affairs & Investor Relations, Damian Fisher on:

Phone: [phone] Email: [e-mail]
Facsimile: [phone] Web Site: www.rocoil.com.au
Address: Level 14, 1 Market Street, Sydney, NSW 2000, Australia

Or:

Dr Kevin Hird
General Manager - Business Development
Tel: [phone]
Mob: [phone]
Email:  [e-mail]

Michael Shaw
Oriel Securities Limited (Nominated Adviser)
Tel:  [phone]

+-------------+---------------------------------------------------------------+
|definitions  |                                                               |
+-------------+---------------------------------------------------------------+
|BBL(S)       |means barrel(s)                                                |
+-------------+---------------------------------------------------------------+
|BCF          |means billion cubic feet                                       |
+-------------+---------------------------------------------------------------+
|BOE          |means barrels of oil equivalent (6 MSCF = 1 BOE)               |
+-------------+---------------------------------------------------------------+
|BOPD         |means barrels of oil per day                                   |
+-------------+---------------------------------------------------------------+
|BOEPD        |means barrels of oil equivalent per day                        |
+-------------+---------------------------------------------------------------+
|BCPD         |means barrels of condensate per day                            |
+-------------+---------------------------------------------------------------+
|GWC          |means gas-water contact                                        |
+-------------+---------------------------------------------------------------+
|MCF          |means thousand cubic feet                                      |
+-------------+---------------------------------------------------------------+
|m BRT        |means metres below rotary table                                |
+-------------+---------------------------------------------------------------+
|mTVDSS       |means metres true vertical depth below sea level               |
+-------------+---------------------------------------------------------------+
|MSCF         |means thousand standard cubic feet                             |
+-------------+---------------------------------------------------------------+
|MMSCF        |means million standard cubic feet                              |
+-------------+---------------------------------------------------------------+
|MMSCF/D      |means million standard cubic feet per day                      |
+-------------+---------------------------------------------------------------+
|MMBO         |means million barrels of oil                                   |
+-------------+---------------------------------------------------------------+
|MMBOE        |means million barrels of oil equivalent                        |
+-------------+---------------------------------------------------------------+
|OWC          |means oil-water contact                                        |
+-------------+---------------------------------------------------------------+
|PSC          |means Production Sharing Contract                              |
+-------------+---------------------------------------------------------------+
|Quarter      |means the period 1 April 2007 to 30 June 2007                  |
+-------------+---------------------------------------------------------------+
|ROC          |means Roc Oil Company Limited and includes, where the context  |
|             |requires, its subsidiaries                                     |
+-------------+---------------------------------------------------------------+
|SCF          |means standard cubic feet                                      |
+-------------+---------------------------------------------------------------+
|TCF          |means trillion cubic feet                                      |
+-------------+---------------------------------------------------------------+
|US$          |means US dollars                                               |
+-------------+---------------------------------------------------------------+
|$            |means Australian dollars                                       |
+-------------+---------------------------------------------------------------+





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