Drilling for oil/gas in S Asia 2008 could be year for increased production.




http://www.salamander-energy.com/

so you mean this wasn't the most likely spot to find oil?
believe that and you'll believe anything .... looks like a solid SELL

I shorted this yesterday to protect my portfolio holding but still think it will fly up

don't follow your logic, though i have only seen this stock in passing on this bb

My logic is I hold this stock in my share portfolio, I opened a spreadbed sell position yesterday in the event their latest drill was negative thus losing on my holding but gaining on my spreadbed leaving me even. Like insurance.

i fully understand the s/b, but do not see your logic as to why this stock should be a rocket

Even though the oil and gas
sector has been dogged by
negative headlines for the past
two months, there are a number
of UK-listed companies getting busy
with the drill-bit this summer. If successful
their shares should perform irrespective
of the crude price or events in the
Gulf of Mexico and one good play on
this exploration theme is Salamander
Energy (SMDR).
A combination of weak commodity
prices and BP's (BP.) travails in America
has dragged the oil and gas producers
sector down by 10.4% in the past two
months, a period which has also seen the
price of the black stuff retreat by 13.2%.
Yet by the beginning of August
Salamander should have drilled three
prospects that, according to broker
Evolution Securities, have the capacity to
add as much as 475p to the share price,
representing upside in the stock of
almost 200%. Despite such potential
Salamander shares have slithered down
by 18% in 2010, affording risk-tolerant
investors an excellent opportunity to buy
in ahead of the planned activity.
The 383 million market cap is entirely
focused on South East Asia and earlier
this month (10 Jun) spudded a well on
the first of the three prospects, Tom Su
Lau, offshore Vietnam. The well is being
drilled at shallow depths (around 15
metres) and is anticipated to take around
25 days to complete. If the group makes
a discovery, testing is likely to account for
another two weeks so investors can
expect a result before the end of July.
Salamander will then drill the Tom
Hum Xanh-1 prospect, also off the coast
of Vietnam, and the Anklung prospect, in
Thailand. Both wells are due to be sunk
before the end of July.
Should the first well disappoint, the
market may be in the mood to punish the
company disproportionately, as happened
when Desire Petroleum
(DES:AIM) took a hammering after its
initially disappointing results from the
Liz Well in the Falklands back in March.
As a result, we believe it is prudent in this
case to put a wider-than-normal stop loss
on the call of 25%, which should ensure
investors gain exposure to the drilling
campaign in its entirety.
Drilling for oil and gas is always a risky
business but Salamander is far from
being a blue sky explorer, even if the
results will determine the immediate
prospects for the share price, as Brewin
Dolphin analyst Tracy Mackenzie
observes. He says: 'With a core producing
reserves base the company offers exposure
to significant upside without the
associated risks of being a frontier
explorer with binary outcomes in regards
to share price performance.'
The group currently produces around
17,000 to 18,000 barrels of oil or equivalent
per day (boepd). After launching a
convertible bond in April, it also has
around $100 million at its disposal to
fund acquisitions. In March, ahead of
this new issue, Salamander announced a
50% farm in deal for the 101-100/04 block
offshore Vietnam, in order to increase its
footprint in the country.
The block has exploration potential
and Salamander will carry the cost of the
first well, Cat Ba, which will be drilled in
2011. Future deals are likely to be more
geared towards adding to the current
proved and probable reserves, in line
with the companys policy of deploying
80% of its capital into development and
production projects.
The firm has identified a number of
discovered yet unexploited resources on
the books of South East Asian national
oil companies which it believes would
make useful additions to its portfolio.
Trio of wells could offer considerable upside while reserves and production protect the downside


SALAMANDER ENERGY
FTSE ALL SHARE OIL & GAS PROD
Source: Thomson Datastream
Rebased to first
Shares summary
Drilling three prospects over the
next two months which could lead
to the share price almost trebling.
Sector: Oil & Gas Producers
Sub-sector: Exploration &
Production
Business:
South East Asia-focused energy firm
with a mix of exploration, development
and producing assets.
Vital stats:
Market value: 383 million
Historic PE 2009: n/a
Prospective PE 2010: 20.1
Prospective PE 2011: 17.4
Prospective sector PE 2011: 7.8
1-month relative strength: +8.1%
1-year relative strength: +10.2%
Prospective dividend yield: n/a

Tom Hum Xanh-1 spudded. That was certainly a quick turnaround. SMDR aren't hanging around. Surely one well will come up trumps - they can't all hold water!

UP yesterday down today. Being dragged down with FTSE.

Salamander Energy plc

1 July 2010
Spudding of Tom Hum Xanh-1X Exploration Well

Salamander Energy plc, the Asia focussed independent oil and gas exploration and production company, announces the spud of the Tom Hum Xanh-1X ("31-THX-1X") exploration well in Block 31, in the Vinh Chau Graben system, offshore southern Vietnam. Salamander holds an operated 35% interest in Block 31, which was the subject of a previously announced farm out arrangement between Salamander and Origin Energy in December 2009.

The 31-THX-1X well will be drilled to a depth of approximately 2,500 metres and is targeting oil in the Eocene-Oligocene clastics as well as pre-Tertiary basement in a horst block structure in the centre of the basin. The mean gross pre-drill estimate of prospective recoverable resource is c. 80 MMbo. The well will be drilled by the PVD-1 jack-up rig in a water depth of 18 metres. It is expected to take approximately 32 days to complete on a dry hole basis.

Golden egg IMHO

FTSE 100 all red today.

Go on Salamander my son up up and away.

Big well strike South East Asia in next 12 days get in now. Clubby in for 250,000

of course you are
who would ever doubt your word?

A gift for you office boy, get in now and you could move away from West of airport to a decent jewish area.

Where's the big strike you've mentioned, Clubby???


23 July 2010

Salamander Energy plc

Tom Hum Xanh-1X Exploration Well Plugged and Abandoned

Salamander Energy plc, the Asia focussed independent oil and gas exploration and production company, announces that it has plugged and abandoned the Tom Hum Xanh-1X ("31-THX-1X") exploration well in Block 31, in the Vinh Chau Graben system, offshore southern Vietnam.

The 31-THX-1X well has been drilled to a total true vertical depth subsea of 2,103 metres without encountering significant hydrocarbons in the target reservoir sections. Following the completion of wire-line logging operations, the well has been plugged and abandoned as a dry hole and the rig is currently being towed off location. Salamander entered into a farm out agreement with Origin Energy, announced in December 2009, which resulted in the Company retaining an operated 35% interest in the Block 31 PSC.

James Menzies, Chief Executive of Salamander, said:
"With an intensive exploration programme we expect some dry holes. Nevertheless we are disappointed that drilling in this frontier basin has not offered more encouragement. Salamander's drilling campaign will be moving on to the proven Kutei basin, offshore East Kalimantan, Indonesia."

Minor hicup next well is proven will hang in there tabby has given me hope

oh i'm sure our pet mountebank bought swathes of these, but just won't tell us

============

ah there he is .....

tell us Tosspot, how many of these little gems do you hold?

SP only down 2% on this news

More than your house is worth jewboy

so tell how many shares you bought then?

bet Tosspot won't, or if he does, it almost certainly won't be the truth, for he doesn't know what that is

Rising now, only 0.98% down this morning on dry hole news