from w-w-bb:

19.01.2007 - Total Rocketscience

The third and final company making up our Risk / Reward trilogy on shares for 2007 has so many investment negatives that most observers might not even give it more than a cursory glance. Although quoted on the London AIM market, it is based on the other side of the World, has reported revenues and cash flow of diddly squat and, more importantly, operates in an area of expertise so deep in boffinland that you need to be at least a 5 star techie to venture anywhere near it.

What originally persuaded us to give it a second look was the fact that legendary Stockmarket investor, Jim Slater, was pouring money into it via several successive rounds of financing. As we all know, Mr. Slater is a qualified accountant and hugely experienced corporate financier but clearly he is more at home in leafy Surrey than in the technologically rarified atmosphere of Southern California. However, he must have gleaned enough about what the company actually did to get extremely excited about it. In fact, by last Autumn, he had grown to like it so much that, to paraphrase the immortal Victor Kiam, he bought the remaining 51 % of the company that his vehicle, Original Investments, didn't already own.

The company in question was VIALOGY and, ever since it was fully reversed into Original just before Christmas, Slater's loyal band of followers have seen their highly speculative penny punt move on to the calculated risk category and been duly rewarded with a 50% shareprice improvement. We first latched on to this situation last April when we wrote a piece entitled The Cisco Kid ( see news archive ). To recap briefly, the company was set up by some brainboxes who had earlier worked together on supercomputing projects for NASA. Led by Dr. Sandip Gulati, the team appeared to have perfected software to detect and enhance extremely weak signals previously obscured by background noise. This may not seem particularly earthshattering to the layman but, apparently, the applications for this technology are not only revolutionary but almost limitless which suggests that an exponential rise in licensing income could well lie ahead.

Big news clearly travels fast on the Eastern seaboard because global behemoths Cisco and Boeing have already enlisted Vialogy to work on 2 major government inspired projects and these are just the ones that the company have been allowed to talk about publicly. As we reported in April, Cisco has contracted Vialogy to help with its IPICS programme which seeks to make sure that all emergency services and government agencies can communicate with each other quickly via computers and phones. The need to address this obvious requirement was highlighted by 9 / 11 when communications between different departments with different systems proved chaotic.

For its part, Boeing has recently confirmed that Vialogy has delivered a tenfold improvement in the accuracy and efficiency of the types of gyroscopes it uses in spacecraft and missile navigational systems. It is also known that both Cisco and Boeing see a major role for the technology in such areas as border controls and missile defence systems. Elsewhere a much smaller Texan company, Evolution Petroleum, is applying the technology to improving seismic evaluation of oil and gas deposits.

This initial clutch of applications is almost certainly just the tip of a very large iceberg that is going to float into view over the next few years and all that is required is a little patience. At todays price of 5.5p, Vialogy is valued at a mere 22m. To justify this valuation, the company would have to be earning say 2 million pretax. With cash reserves of 3 million and its heavyweight partners funding the projects it is involved in, Vialogy should be able to get through to breakeven without further recourse to shareholders. We would expect this stage to be reached sometime over the next 12 months. Thereafter, profits could / should escalate very dramatically as new applications and licensing income start to snowball.

On a two year view, shareholders could be rewarded extremely handsomely indeed. Vialogy is in so many ways akin to last weeks selection, CORAC. Both are now moving from the development stage to commercialization with the scales tipping away from blue sky risk towards the reality of cash flow. Both have mindblowing upside potential yet both have current shareprice action that makes drying paint look positively orgasmic. Although this presents an opportunity for latecomers, it is a frustrating byproduct of both companies involvement with highly sensitive technology and powerful, publicity shy partners. Moreover, the present lack of any meaningful numbers together with the sheer scale of future potential makes any serious stockbroker research well nigh impossible. All this will resolve itself in due course but, as they say in the Grolsch advert, all good things come to those who wait.

it's certainly one about which i keep very quiet, for though the idea and technology is obviously very clever, as with all such things, it takes an age for them to reach maturity.

my holding is modest and has been lining the sock drawer

Odd isn't it that (recent) IC says BUY and then the Co ann. Options are exercised.....result is Option holders get a 30% boost and recent PI-buyers are shafted.
Sorry, I'm not convinced any US-company should be here (even Main Mkt), let alone on the rather looser AIM. They may have "fantastic technology" (but it's software after all that - DYOR) and as we've seen with ANPR software is easy enough to re-invent.
I don't hold.
Sage is "software - but they DO have a loyal Customer-base and Sage is too small to shift from their "niche" - but the likes of Microsoft, or Google could wreck it at a stroke - - - er, IMHO.

Not odd if option holders are waiting for the next positive newsflow which is likely shortly.

The sp fell today(Monday) because these options were being sold (my interpretation), so it appears they don't expect any good-news too soon.

However, it might be MM's dropping the price to cop some of the profit, if the option news generates more Short-term sellers...

2010 will be the year for viy .

RNS "The Company has allotted and issued 457,015 ordinary shares of 1 penny each in the capital of the Company following the exercise of options held by former employees of ViaLogy LLC, the Company's wholly owned subsidiary.

The Company has made application for the 457,015 new ordinary shares of 1 penny each to be admitted to trading on AIM. Admission is expected to occur on 29 January 2010."

London, February 10. ViaLogy plc (LSE: VIY)announces another successful well completion, this one in the Permian Basin in Central Texas under contract to Vecta Oil & Gas of Dallas, Texas. Drilled to a total depth of 8,175 feet, log analysis shows net pay from multiple zones, including stratigraphic Wolfcamp carbonates and the deeper Cisco sandstone.

This marks ViaLogy's first product for Vecta in a project that will both stress and refine ViaLogy's QuantumRD technology in difficult hydrocarbon zones in their Permian prospect. ViaLogy delivered analysis that chose the position of the well to penetrate two pay zones; the Wolfcamp carbonate formation at 5,800 feet and the Cisco Canyon sandstone formation at 7,780 feet. The firm's QuantumRD active signal processing technology is able to exploit all seismic frequencies, and to extract significantly more information from seismic data than other analytical methods. This information is used in conjunction with related well logs, coring data, and production histories in an end-to-end analysis methodology to estimate sub-surface characteristics. In the Vecta prospect, ViaLogy accurately positioned the well, predicted multiple high impedance geobody (HIG) pay zones, and their porosity - all subsequently verified by actual well logs.

ViaLogy CEO Robert Dean said, "We are pleased with our continued positive track record of successful wells. Keep in mind that each of our applications of QuantumRD thus far, including this continuing work for Vecta, has been against a very difficult reservoir characterization problem. I believe this will extend the reach of our technology and further validate it. The Vecta team has proven to be great partners, and we look forward to bringing them more successes."

Looking good......as market recovers and in time the sp will climb to 10p and perhaps more.

Its hard work getting back up to 8p .

RNS confirms technology successful we await more specific news about the value of their share of any oil/gas discovered.

good volume today more news coming?

mentioned in investor chronicle, speculative buy at 7p, expecting good newsflow and results of positive drilling on finding oils. Come on VIY time to rise t othe top !

unbelivable another placing, I thought the price would have been much higher, aGAIN pi's suffer as our holdings go down with the potential I would have expected at least a prie of 6p for new shares !

I think that 10p plus is still on the cards...wait to this really gets going...

It's a general rule that whenever journo's are given a good lunch they will report that company, possibly in a good light. In parallel with this the Company was silent on the funding and cash position (otherwise the Rec. would be "bargepoles" ho-ho) - - - - - - so the spectere of Dilution has visited PI's.

Does anyone know what dilution has been visited on [VIY]PI's - in the last 5-years, say?


-In general-
I am suspicious of foreign-based companies that come here to join AIM and take money from our economy - partly because it is a lengthy sorry litany of disapointments and in particular because it is very difficult to find out what's what, - unless you happen to live abroad where they operate.
I don't hold VIY.

London, 10th March. "ViaLogy (LSE:VIY) announces signing of a contract with Enel North America, a subsidiary of Enel Green Power, the Enel Group company operating renewable energy sources in 14 countries, including the US. Enel Green Power is one of the world's leading players in the renewables industry and a global leader in geothermal power generation. The Enel Group is Italy's largest power company and Europe's second listed utility by installed capacity.

Under its initial contract, ViaLogy will extend its QuantumRD sub-surface detection technology to seismic survey design, and the identification and location of appropriate geothermal drilling locations at an Enel North America site in Nevada."

nice interview, sounding excellent

https://research.tdwaterhouse.ca/research/public/Markets/NewsArticle/1314-BFA001099-1


UPDATE 1-INTERVIEW-ViaLogy sees significant revenue next fiscal
7:47AM ET on Friday Mar 19, 2010 via Thomson Reuters
* Sees locating 20 additional wells next fiscal - chairman

* Sees completion of one more well this fiscal yr

By Purwa Naveen Raman

BANGALORE, March 19 (Reuters) - ViaLogy Plc , a provider of sensor technology to oil explorers, expects to earn significant revenue in the next fiscal as it hopes to determine drilling locations for a minimum of 20 additional wells.

"Our revenues are at the moment not very significant, but we expect them to be significant next year, and very significant the year afterwards," Chairman Terry Bond told Reuters.

ViaLogy's revenue for the year ended March 31, 2009, was 129,028 pounds.

The chairman said the AIM-listed company would complete a total of six wells in the year ending March 31. "We have already done five and I know there is another one coming," Bond said.

He declined to give the location of the sixth well.

ViaLogy's QuantumRD technology helps oil and gas explorers to locate hydrocarbon deposits by analysing seismic data.

"There are a lot of people who interpret sound signals," he said, adding, "It's a fairly inexact science, and we have made it an exact science."

ViaLogy revenue model includes a service fee, which is typically between $100,000 and $200,000 for analysing the seismic data, and a success fee -- at 5 percent of the sale of a barrel of oil, usually -- or a set amount of money.

The company has been successful in all the five wells it helped locate so far.

ViaLogy now has 10 oil and gas exploration companies under contract.

"We are very young in the business, but we have a 100 percent success rate in a business where there is only 40 percent success rate normally," he said.

Bond said in the medium term, ViaLogy would continue to focus on the United States given that there was a lot of oil in comparatively small pockets, which is ideal for its technology.

In the United States, there are chances of hitting oil or gas in only four out of every 10 wells drilled, he said.

In the long term, he expects ViaLogy to refine its technology and sell it to the oil and gas explorers.

"My final aim would be to have a tool kit that we can sell to exploration companies so they can do their own analysis," he said.

RNS Number : 7878J
ViaLogy PLC
07 April 2010




VIALOGY PLC ("VIALOGY" OR "THE COMPANY")

TRADING UPDATE



London, April 7, 2010. ViaLogy (LSE: VIY). The board of ViaLogy announces that the fiscal year ending March 31, 2010, marks a year of strong performance highlighted by the successful introduction of QuantumRD seismic analysis and reservoir characterization technology to the hydrocarbon energy market. ViaLogy ends the year with 12 clients under contract, including two key industry independent E&P firms, and a strong sales pipeline which should produce additional high quality Exploration and Production company customers in the coming months. The five successfully completed wells have demonstrated the ability of QuantumRD to locate productive hydrocarbon deposits in a variety of formations.ViaLogy's strategy going forward is to work closely with clients to exercise the technology in as yet untried areas of major significance, especially to bring QuantumRD to shale gas and offshore exploration plays. ViaLogy's work for contracted clients has produced an inventory contingent backlog of over 60 probable future wells to be drilled at locations recommended by ViaLogy. The Company stresses that the ultimate decision to drill, drilling schedules, and locations are dependent upon clients' operational plans, as are business decisions about the timing of hydrocarbon extraction.

The five successful well completions have been at widely separated locations in Texas ranging from 3,000 ft to 12,000 ft in depth. These targeted structural and stratigraphic formations include carbonates, vugs, clastic sediments and channel sands. The deliverables provided analysis of formation porosity, lithology and fluid presence.

ViaLogy'stechnical staff now includes experienced and industry geophysical specialists, and two to three more will join the staff in the coming months. In addition, ViaLogy will establish a Houston office to accelerate business development objectives and maintain close access to the customer base.

ViaLogy has ambitious objectives for the coming year. The focus will be on additional strong customers and repeat business, further establishing the Company's business model where payment is received through substantial up-front service fees and a share of income from successful wells. It should be emphasized that while QuantumRD - based on proprietary active signal processing technology that uniquely exploits signal spectrum and associated noise to extract more, and more precise, information from seismic data - will not prove successful in 100 per cent. of cases, it should significantly de-risk exploration as compared with current industry methods.

The coming months should see drilling of four to five new ViaLogy-positioned wells, some with new and some with established clients, and that number will increase over the course of the coming year. In its latest project, San Antonio-based client Atascosa is currently determining whether to do a deviated drilling completion of its Escondido well or to drill at another nearby ViaLogy designated location. Initial results indicate that the drilling process may have failed to achieve the placement accuracies set by ViaLogy, but has confirmed that QuantumRD analysis accurately located a pay zone and determined porosity. It is always up to the operator to determine if the expense of well completion is justified by the operator-estimated amount of profitably extractable oil, i.e. the standard he sets for his own operating margins. Atascosa's other two producing wells will be reworked in the coming months to bring them up to optimal production; such rework is typical and may include installation of larger pump and cement squeeze into the formations.

CEO Robert Dean said, "I'm very pleased that we've been able to achieve as much as we have during the last year. Anyone with experience will tell you unabashedly that you have to prove yourself to win acceptance in the oil industry, and that it doesn't come easily. Also, it's not academic - it's about finding oil. ViaLogy has done this in very challenging situations. We have successfully completed a significant number of QuantumRD wells, and, very significantly, our retrospective analysis showed why previous drilling efforts had produced dry holes for over 20 wells. The technology's ability to accurately and repeatably predict the presence of hydrocarbons and to estimate porosity are two of the critical variables in the high-risk exploration world. We are building our team of industry professionals and we can now look forward to a major year that brings ViaLogy to another level of industry acceptance for our pathbreaking QuantumRD."



For further information please contact:



ViaLogy plc

Robert W Dean, President & CEO - US +1 626-296-6337 (mobile: +1 703-589-3807)

Terry Bond, Chairman - UK & Europe +44 (0) 1235-834734 (mobile: 07860 842756)



Nominated Advisor to ViaLogy PLC (Seymour Pierce)

Mark Percy / Catherine Leftley, Corporate Finance +44 (0) 20-7107-8000

Jeremy Stephenson / Katie Ratner, Corporate Broking +44 (0) 20-7107-8000





About ViaLogy: Network Centric Signal Processing

ViaLogy is a leading innovator of network-centric, real-time signal processing platforms for sensor applications. ViaLogy is currently deploying and designing computational systems, powered by its patented technologies, for applications in life sciences, public safety and security, surveillance, defense and geoseismology. ViaLogy focuses on market driven problems where automation, timeliness, quality and reliability of information processing are essential. ViaLogy's core competency incorporates rapidly and accurately detecting weak signals buried in high noise background and clutter. This technology can be employed to solve problems involving sensor integration and information overload challenges involving video, telephony and control sensors, as well as for enhancement of numerous signal processing applications. For more information, visit our website at www.ViaLogy.com. Except for statements of historical fact, the information presented herein constitutes forwardlooking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results.

When I first saw this I thought it said "Supermarket contract"! I suppose you could call it that though. :o)

Whatever, it is a bit of good news on a gloomy day.

"Pasadena, CA, United States, August 12, 2010. ViaLogy PLC (LSE/AIM: VIY) announces that it has signed a master services contract with a global supermajor oil firm, marking an important step in the company's development. The contract with one of the world's top six energy firms prohibits release of details, pending completion in the coming months of ViaLogy's QuantumRD analysis of a large onshore prospect."

Think it's high time we turned ourselves into an oil company...have a rights issue to raise the capital, then do a reverse takeover into a smaller oil comany and get drilling for ourselves...& stop having to give our technology away for another person to make the profit.