Desire Petroleum

<>Desire Petroleum plc (Desire) is a UK company listed on the Alternative Investment Market (AIM) dedicated to exploring for oil and gas in the North Falkland Basin.

Desire has recently completed a 6 well exploration programme. The Liz well encountered dry gas and gas condensate at 2 separate levels while other wells recorded shows.
Together with the Rockhopper Exploration Sea Lion oil discovery in the licence to the north, these wells have provided significant encouragement for the potential of the North Falkland Basin. The oil at Sea Lion is of particular interest as this has demonstrated that oil is trapped in potentially significant quantities in a fan sandstone on the east flank of the basin. It is believed that over 50% of this east flank play fairway is on Desire operated acreage.

Desire has now completed new 3D seismic acquisition which provides coverage over the east flank play, Ann, Pam and Helen prospects. The results from fast-track processing of priority areas are provided in the 2011 CPR. A farm-out to Rockhopper has been announced. The revised equities are shown on the licence map (subject to regulatory approval and completion of the farm-in well). Desire Petroleum

Rockhopper Exploration

British Geological Survey

Argos Resources



Latest Press Realeses from Desire

Nice one Eddie. Thanks for the update and I will certainly do my best to fill the void while you are on vacation....have a good one!
I certainly liked the fact that DES closed above the 42.25p peak (lower high). That effectively confirms thats the decline from the 44.75p high was a three legged corrective decline and terminated at 40.25p. We should now expect to test the 44.75p level.
Regards to all.
Lynnzal

good morning i'm here to learn ! so gentleman impart away at your liesure.
i bought shares in des on the say so of a rugged old oil prospector who was present
@ the first attempt his words and i quote" i.ve seen lot sonny and this will be big".
so my first ? is what have i bought?

ampuriabrava ,

Welcome aboard the good ship Desire, am sure you will enjoy your ride but will have you biting your finger nails in the near future, the best advice I can give you there are some good links to some web sites at the top of the page and thats the best place for you to start to get a better understanding of what potentially what Impact it could have on the share price if oil is found.

Two bits of the jigsaw to be found yet.

1.Confirmation that we have a rig and dates confirmed for drilling to re commence in the NFB.

2.Drilling commences and then its time to play your own game plan.when to sell or hold on tight.

Enjoy your ride.

Typical example of a chart used to tell a fairytale, someone needs more education here.

driftwood1 hello KO shame you cant use your proper name another to add to my squelch list.

The chartist on here base there prediction on been very knowledgeable and good chartist who know what they are talking about.

Squelched

Snip from.
http://www.bodecott.com/

I like the 11 days for drilling one target.

In order to get a piece of the upcoming drilling action, Rockhopper have farmed in to Desire Petroleum's best prospects in licences 3 and 4, where three wells will be drilled. These wells will be targeted at potential reservoirs between 2000 and 3000 metres within the oil window. There is no guarantee of success, but any shows will stimulate more activity and increase the value of the licences. Many wells were drilled in the North Sea Central Graben before oil shows were found.

Rockhopper's remaining 100%-owned prospects will be drilled further down the line, and are located within very modest water depths between 150 and 450 metres.

The North Falkland Basin is the only Falkland area with 3D seismic. There are two existing 3D surveys on Rockhopper licences, with two further surveys planned.

Rockhopper acreage is summarised as attractive for the following reasons:

Shallow waters are economically attractive for early success.
The last 1998 well drilled to 2960m. in only 11 days.
The basin is a 250 km. long Jurassic-Cretaceous Atlantic rift basin, half of which has never been drilled.
There is a proven MEGA-rich, thick, mature, lacustrine source rock.
Live oil and gas shows were proved in the 1998 wells.
The NFB is a proven petroliferous basin with a working hydrocarbon generation system.
Rockhopper is a partner in 3 wells.
Many varied plays, prospects and leads over a very wide area.
Shallow water, low cost drilling, benign environment.
The only Falkland area to have 3D seismic - 2 existing surveys and 2 planned.
Exploration stage is North Sea, 1965.
Same water depths as Central Graben, North Sea, similar weather.
Same geology as West Africa and Argentina.


DESIRE PETROLEUM

Desire is the Operator of the upcoming wells. The best of their eight or nine prospects in licences 3 and 4 will be drilled.

3d interpretation results from continuing work confirm attractive seismic amplitudes, DHI's (Direct Hydrocarbon Indicators) and structural-stratigraphic pre-source rock prospects. These prospects are adjacent to a mature source-rock kitchen which contains one of the richest sapropelic (oil-prone) source rocks known in the world. Drilling beneath the Early Cretaceous source rock is analogous to drilling beneath the Kimmeridge Clay source rock of the North Sea insofar as some of the oil reservoirs are located beneath the source rock. The next three wells will test this untested pre-source play.

We have also assisted Desire recently in researching workstation hardware and software requirements. They are another operator who have opted for Kingdom software.


COMPETITOR ACTIVITY

Additional large acreage spreads southeast of the islands have been licensed recently by FOGL and Borders & Southern. These are all high risk frontier areas, having scant previous seismic information, no wells, deep water and a harsh climate. Any potential in this area might be ten or more years down the line from the North Falkland Basin - and with much bigger risks. 2d seismic has recently been acquired but the licensees are not yet at the 3D or drilling phase as further north.

The main objective reservoir is one that is also present in the North Falkland Basin, but the source rocks are not the rich lacustrine shales, as a marine section is expected.

Share price movements suggest that investors are actively embracing the high-risk scenario of the South Falklands deep water areas. This can only have a positive knock-on effect for the North Falkland Graben which is much lower risk and with very similar geology and structure in shallow waters.

The Desire and Rockhopper licence acreage will stand out as quality and relatively low risk for the area.

Any chance of a chart update Lynnzal (don't let the bastads grind you down)

Sorry for the delay in updates. I was out of the office at the back end of last week and with a lack of change in the sp, there didnt seem much point in commenting.

Traditional analysis highlights this mornings gap lower (after last Fridays bearish candle). This action breached the 20-day moving average at 42p and rising trendline support at 41.25p (off the 28.5p/33.75p lows). 41.25p now acts as resistance.
The market is currently underpinned by the 60-day moving average at 40.2p, but needs to close the 41.25p/42p window to prompt further bullish action towards a succession of lower highs (43.25p, 44.75p & 45.25p). Note the 200-day moving average has edged down to 45.76p. Loss of support at 40p would risk further slippage towards 38.25p (1 Aug higher low).
I'll update the Elliott analysis a bit later.
Regards
Lynnzal

Hi all

Thanks for the update Lynnzal. Support is still at 0.4025p, This may be tested again. Hope the weather isnt to bad at home.

Good Luck All

Eddie

"These indicators along with DES being above the risisng support line, suggest the market is still intending to move DES up. "

As I said, typical example of a chart used to tell a fairytale, the SP moves against the prediction but with the chart if you know how to read it.

driftwood1, I know that you are not criticising something that I have written, but that person is not around to defend his comments. Perhaps you could give us some "more education here", in the form of your opinion. It would be more usefull than you other comments.
Regards
Lynnzal

3 lots of 100k buys, that's more like it.

The pullback off the 44.75p high (15 Aug) appears to have satisfied a three legged corrective target at 38.75p (my system shows todays low at 38.5p), so we could be in for a bit of a recovery towards the 44.75p/45.25p highs.
My only concern however, is over the wave structure between the 33.75p low (6 Jun) and the 44.75p high. The best fit that I can currently see is a double zig-zag (consisting of 7 waves). This implies that the entire sequence from the 45.25p high has thus far been corrective and we are still due to complete the final leg lower (which started at 44.75p). Under this scenario the risk is that the overall correction either terminates in the 37.5p area (as a contracting triangle correction) or in the 33.25p area (as a flat correction). Either way, my previous analysis regarding the impulsive structure of the move up from the 28.5p low is still valid and I will address my topside projections as the market confirms resumption of the bull move.
Regards
Lynnzal

When is Desire going to hit oil?

When is Desire going to hit oil?

Cheers for up date Lynnzal and just looking at trades not a bad day and thought it should of gone up more than it did.

Eddie the weathers red hot back here we have a heat wave its in the 80s

Bear pressure since breaching the 20-day moving average extended through the 60-day moving average to test support at 38.25p (1 Aug higher low). This has held and prompted a recovery rally to Tuesdays 41.5p high. The resulting daily candle is a piercing pattern and suggests a potential turning point in the recent downtrend. Closure of the 41.25p/42p window is now needed to prompt further bullish action towards a succession of lower highs (43.25p, 44.75p & 45.25p). Note the 200-day moving average is now at 45.66p.
To the downside we have several supports under the 38.25p higher low, notably 38p (Fibonacci retracement of the 33.75p/44.75p up-move), 37.5p (Elliott projection) and the 36.75p higher low (19 Jul).
Regards all
Lynnzal

Thanks Lynnzal

...

Hopefully desire petroleum will exclaim to us all in the very near future.

Put an order in at 39 until end of next trading day.
F