Strange ticking noise! octy VRS 2006

this post is on behalf of a friend of mine, who has got computer issues currently. Basically as in the title really, his vrs (petrol) has started to make a loud ticking noise you can hear it even when the bonnet is closed! we had a good poke about and think we have managed to locate the source of the noise (although may be wrong) ive included a picture or two to see if anyone can help or offer any advice on what the thing is and if thats likely to be the source of the noise (tip of screwdriver shows where we think the ticking is coming from) . thanks in advance. Tom.