Meanwhile its aggressive exploration program will continue with 34 wells being drilled in six countries this year, including some projects that have the ability to transform the company.

“Our conveyor belt approach means there is always something happening at some stage of project development, from identifying new ventures through to mature production,” Doran said.

“Projects move along the conveyor belt, passing through different stages, and as they come into production they produce revenue that can be used to finance other projects at earlier stages on the conveyor. Using this approach means the company’s portfolio as a whole is self-funding and we have a strong financial position.”

Strong indeed. Roc has A$175 million in cash and receivables and no debt.

“We are prepared for any market downturn,” Doran says.

“Booms don’t last for ever, but through all stages of the business cycle nuggetty, solid-value companies can survive and prosper. Having said that, it is much easier to see oil prices staying high than it is to see oil falling below $30 a barrel.”

Doran says the company’s other key strategy is to be “sensibly contrary”, not following industry trends but basing its acreage acquisitions on solid fundamentals. Roc likes projects with low entry costs, often via options, in areas with confirmed petroleum system but a lot of untested upside potential.

The next projects to move along Roc's conveyor belt into the production phase are three offshore oil developments – Chinguetti in Mauritania, West Africa; Cliff Head in the Perth Basin, Western Australia; and Blane and Enoch, two adjacent UK North Sea fields.

“Chinguetti and Cliff Head will start producing early next year, while Blane and Enoch should be in production by the end of 2006,” Doran said.

“It will be disappointing if the combined production from Chinguetti and Cliff Head is not close to 6500 barrels per day net to Roc by this time next year. Later in 2006 Blane and Enoch could boost Roc’s production by another 3000 barrels per day.”

As well as these assets, Roc has acreage in other parts of the world, including offshore China, onshore and offshore Australia, onshore and offshore UK, onshore New Zealand, as well as several parts of Africa.

“Roc is international, and when you’re international you have to look for the audience that understands the tune you’re playing,” Doran says.

“We started in Australia and we are still headquartered in Sydney, but the Australian audience is generally wary of overseas markets. UK investors are interested in West Africa, so Roc decided to list on AIM last year.

“It was a good move – the AIM listing was simple, quick and inexpensive. It has paid off for Roc and it continues to do so.”

From a standing start without issuing any new shares to go with its AIM listing, Roc now has 12% of its shares held by a handful of London-based AIM institutional investors.

“Some UK funds are reluctant to invest in stocks that aren’t listed in London, but are prepared to come to Australia to buy shares that they can then trade on AIM,” Doran says.

“We also had a successful A$20 million premium-to-share price placement in January that would not have happened if we hadn’t been AIM listed.”

The placement was managed by a UK broker and substantially increased the numbers of Roc shares held by European investors, according to Doran. It was primarily intended to allow Roc to fund potential new exploration ventures in West Africa.

The first of the company’s West African projects to start production will be Chinguetti, which could also be followed in a few years by development at the nearby Tiof prospect.

Roc is a 3.2% partner in Chinguetti, offshore Mauritania. Australian petroleum giant Woodside has a 47.4% stake and is the operator. The other partners are Hardman Resources 19%, BG group companies 10.2%, Premier group 8.1% and the Mauritanian government's entity, Groupe Projet Chinguetti, 12%.

While Roc is pleased to be involved in Chinguetti, it wants to have a larger stake in future West African projects.

“The market wants to see another discovery in a large field where Roc has a significant equity of close to 20% or upwards,” Doran said.

Roc has an 18.75% interest (free carried to 15%) in its offshore Equatorial Guinea blocks and 60% in its onshore Angola acreage.