News you've all been waiting for ...

Meridian Petroleum PLC
04 April 2006

MERIDIAN PETROLEUM PLC
('Meridian' or 'the Company')

VICTORY 1-21 SUCCESSFULLY COMPLETED


Meridian, the oil & gas exploration and production company with key assets in
the USA and Australia today announced that the Victory 1-21 production well (10%
WI) has been successfully deepened in order to further penetrate a Niagaran
reef.

Using a coiled tubing unit and conventional work over rig, Total Depth was
reached at 4,394 feet and gas communication was made between 4,161 feet and
4,192 feet, an increase of approximately 31 feet in net pay. The well was
treated with acid to stimulate flow and is currently being swabbed to remove
remaining acid from the well bore following which the well will be put back on
line this week. It is anticipated that enhanced production rates will be gained
from the additional pay sections in the reservoir.

Anthony Mason, Chief Executive of Meridian said:

'The successful deepening of Victory 1-21 is good news for Meridian. The well
will be back on line this week, following which Meridian will resume receiving
income from Victory 1-21. We are now looking forward to the imminent completion
on Calvin 36.'

Don Caldwell, a certified petroleum geologist, is the Company's Qualified Person
and has reviewed the information in this announcement.


Enquiries:


Meridian Petroleum (020 7409 5041)
Tony Mason, Chief Executive

Westhouse Securities (020 7601 6100)
Richard Morrison

Citigate Dewe Rogerson (020 7638 9571)
Media enquiries: Martin Jackson / George Cazenove
Analyst enquiries: Nina Soon


This information is provided by RNS
The company news service from the London Stock Exchange ND

I found that artice for IC August 06

Meridian Petroleum's chief executive, Tony Mason, says the company has been the victim of "rampant market abuse" and collusion involving a firm of stockbrokers. They are alleged to have taken a short position in the shares using contracts for difference (CFD) and Mr Mason has reported the firm to the regulators.

The timing is particularly unfortunate because Meridian is bouncing back after reporting poor 2005 figures. Gas production at its primary producing asset, the Emery Hudson gasfield in Michigan, fell from a peak of 900m cubic feet of gas a day (mcfpd) early in 2005 to just 278 mcfpd in mid-2005. Two subsequent step-out wells did not find commercial quantities of gas, so operations there were shut down, awaiting further drilling later this year. And Meridian's efforts to build up reserves were also thwarted by a scarcity of rigs.

But 2006 is turning out to be a better year for the company. The share price soared in the first half on news of drilling success on the deep Calvin 36-1 gas well in Louisiana. This should start producing in September this year, followed by the Milford 36 well in Michigan. Meridian has also acquired a coal-bed methane prospect in Black Warrior Basin, Alabama, which could involve drilling more than 600 wells. Its best bet, however, may be five gas exploration licences north of Adelaide, south Australia. It starts drilling there early in 2007.
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Ord price: 14.75p Market value: 11.8m*
Touch: 14.5-15p 12-month High: 39p Low: 7p
Dividend yield: nil PE ratio: na
Net asset value: 6p* Net cash: 1.59m*
*Adjusted for subsequent placing
--------------------------------------------------------------------------------
Year to Turnover Pre-tax Earnings Dividend
31 Dec (000) profit (m) per share (p) per share (p)
2004 356 -1.08 -2.4 nil
2005 88 -0.87 -1.4 nil

Market makers: 5
Traded on Aim
Last IC view: 23 Sep 2005, page 76
Meridian has dramatically increased gas reserves in 2005-06. Buy.

MRP starting on a upward trend

Nice to see. I guess we'll hit some resistance soon looking back at the chart. Fingers crossed it's good news this month.

Strawbs.

40p looks like resistance..i sold at 35p on the way down

It would be nice if it was. I was thinking of previous resistance at 24, as in February and March of this year. Either way, I'm happy to see it rise.

Strawbs.

So much for 24 being resistance....... Always nice to be wrong.....on the positive side.

Strawbs.

You were saying........

Well, right afterall, but nice to be wrong for a while. :-)

If the chart is anything to go by then I'd expect a bounce soon, from here or possibly a fraction lower. If they're planning a small placing, then it's understandable that people in the placing would sell at the higher price, and then take up larger or similar options with cheaper shares. I certainly don't think the price moved up strongly on the back of a placing though. I think Calvin is still the key milestone here. It pushed the price into the 40's at the start of the year, and I suspect will do the same again if finally completed.

The last RNS indicated an update before year end, so with only 8 trading days left, that doesn't leave much time to be in or out before any news arrives. The Christmas dead zone with lower volumes can do some funny things to prices too, so larger than normal movements can't be rulled out (up or down).

Personally I'm not sure what news we'll get. The comment in the Evening Standard (which I haven't seen), apparently indicated that Ambrian were looking for resource upgrades and fair value at around 43. I would hope that Meridians brokers have more of a clue about whats happening than the rest of us, and so have some basis for their valuation. When the RNS finally arrives, I would hope the production zone at Calvin has been perforated and the final stages of completion begun. Bonuses would be JV talks over Warrior Basin CBM, Delores, and a positive update to drilling at Orion (which was expected to begin in October as stated in the Interim results).

I'm hoping that Mason has something bullish to say (and not bull of another kind). The share price has been all over the place this year. It would be nice to finish on some upward momentum.

Looking forward to next year, I'd expect to see a larger placing to cover funding of expansion projects and additional land leasing. It could be a very exciting year! Good luck to all fellow holders into 2007, whatever news we see in the coming weeks..

As ever, just my opinion, do your own research.....


Strawbs.

spread bet settlement date ends tuesday for december so expect fireworks then...shorters closing and then buying big for march

maestro ..... i dare say i am wrong, but i thought it was only normal traded options that had specific shut-off dates - i.e. i thought spread bets were much more flexible

Well spotted Maestro. 3rd Tuesday of the quarter. I'd forgotten about that. Do you know if it applies to CFD's too? I remember reading the IC article about MRP being heavily shorted through CFD's (someone posted it earlier on the thread). I don't use either CFD's or SpreadBets, but I know some of the mechanics. I suppose they could just roll any short positions over, but I wonder if the Ambrian note was almost designed as an incentive not too.... Very interesting.

As ever, just my ramblings, do your own research, etc.

Strawbs.

Cynic,

I think Maestro is refering to the expiry date of the bet. Normally the 3rd Tuesday of every quarter. From memory the holder must either close it or roll it forward (at a cost).

Strawbs.

i read his post correctly .... clearly i just did not know the workings of spread bets, which would now look to work in much the same way as tradional traded options

No disrespect intended Cynic. I believe you can close short or long positions at anytime by buying or selling in the other direction, but if you leave the bet to run each day then it eventually expires and must be settled (for profit or loss). Optionally you can roll it over into the next quarter for a fee. I'll wait until Wednesday before deciding how significant Tuesday is. I personally wouldn't have the courage to leave a short or long position running until it had to be closed, especially when it's highly leveraged. I guess we'll see on Tuesday if many city types leave positions open until the last day or not!

Strawbs.

Having looked back at the charts for the last 3 quarters expiry periods I don't see anything to suggest a massive ammount of activity on expiry day, but who knows, maybe this one will be different.

In my opinion, do your own research etc.....

Strawbs.

Well I'm sticking with MRP,bought more this week,now have a substantial holding,was in profit last week,now sitting on a loss,but only a loss if you sell,so will be holding to see the full story unfold,very confident now we have the JV,equipment and personnel will be easier to obtain,therefore more wells will come online,therefore more income.MRP will come good,but it all takes time,too many impatient people looking for a fast buck.This is a good little company,all their assets are in safe political areas,no fear of the Ruskies cheating you out of your investments.Looking forward to 2007,things will really start to move then,IMO.

Strawbs ..... that's how traditional traded options work too; except with those, the premium slowly depreciates with the passing of time ...... i also agree that i see no reason for any great excitement in this minnow just because the contracts are expiring ...... used to hold this share and even made money on it i think, but cannot get excited with it at the moment ..... have switched a lot of my portfolio out of oils/commodities

I originally sold in the run up to the 40p mark back in April as the share price started to look overvalued. Since then they've added the Calvin deep rights, coal bed methane and rights over the Delores prospect. If people paid 40p back in April with less assets, they should in theory be worth more than todays price. I've been waiting since October though for Calvin to be finished, and so far been dissappointed. Now with a JV partner on the Calvin field I'm hoping they'll bring the necessary experience, equipment and money to get things done and finally moving forward.......

Not sure if it's anything to get excited about, but I live in hope....

DYOR, IMO, etc.

Strawbs.

RNS: Placing Completed

Strawbs

its clear Tony Mason is hiding some very bad news about calvin 36, still not pumping gas, and it was said it was imminent re hook up a year ago.

still not hooked up and jan approaching fast..

you lot need to call an EGM.. something stinks of a cover up