Genesis Petroleum Corporation PLC

Formerly known as Zari Resources PLC, the company's principal activity is making investments in the mining and minerals sector.


Stock price 10 Feb 06 1.70
Recent stock performance
1 week 83.8%
4 weeks 94.3%
13 weeks 51.1%
52 weeks -56.1%

Zari Resources PLC to be re-named Genesis Petroleum Corporation plc
Monday, November 14, 2005


Zari Resources announces that its ordinary shares were admitted to AIM earlier today and that accordingly it has completed the acquisition of Genesis Petroleum Corporation Limited. Following this acquisition, the number of issued ordinary shares in the Company is 1,291,474,999; based on the share price of the Company at the close of business on 11 November 2005, the Companys market capitalisation is approximately 14.5 million.

With effect from admission, Smith & Williamson Corporate Finance Limited has become nominated adviser and joint broker to the Company.

Information on Genesis
Genesis Exploration & Production Limited (a subsidiary of Genesis) was formed in November 2003 to develop exploration and production opportunities with an initial focus on the North Sea, West Africa and Brazil. The opportunity to form the business arose from a non-exclusive licence providing access to 50,000 square kilometres of 3D seismic data (the Database).

Since its formation, Genesis has developed 13 exploration project opportunities based on the Database and has selected a number of initial projects for implementation. The first project is in the UK North Sea where Genesis was awarded a licence to Block 9/10c by the UK Governments Department of Trade and Industry (the DTI) in September 2004. Genesis anticipates drilling an exploration well in Block 9/10c during the next six months. In the 23rd Oil and Gas Licensing Round, the results of which were announced by the DTI on 7 September 2005, Genesis was conditionally awarded three additional blocks in the North Sea. The fifth project is offshore West Africa, where Genesis has applied for a licence in relation to acreage over a discovery in shallow water. The sixth project is offshore Brazil where the Company intends to seek acreage positions during the first half of 2006. Genesis is also evaluating opportunities, not associated with the Database, to farm into acreage onshore in the Middle East and former Soviet Union.

Business strategy
Genesis strategy is to capitalize on its unique seismic database advantage which allows it the opportunity at low cost, in a reduced time frame, and at significantly reduced risk, to build a balanced portfolio of projects in proven and prolific hydrocarbon basins. The portfolio is expected to be established through a combination of organic growth and acquisitions and is expected to be structured to include: high risk exploration; production combined with high to medium risk exploration upside; and low risk production.

Genesis intends to pursue three main areas of opportunity within the exploration and production (E&P) market. The first is to seek exploration acreage in its own right and develop the potential through farming-out part of its interest to third parties. Typically this would apply to small and medium sized exploration projects in mature exploration provinces. The second is to define exploration projects of significant size in frontier acreage and take advantage of the intellectual capital derived from the Database to become a partner to major and super-major oil companies. The third is to farm-in to existing production acreage where Genesis can see exploration upside or where it believes it can maximise the economics of mature and tail-end production. The aim is to be participating in production of 30,000 boepd by the end of 2008.

Block 9/10c
In 2004, Genesis submitted an application for a promote licence to the DTI under the UKs 22nd Licensing round. Genesis was awarded Block 9/10c on a 100 per cent. basis in September 2004 (now Licence P1206) and has subsequently farmed out 60 per cent. to Lundin Petroleum AB (Lundin).

Lundin is a successful E&P company with reserves of 142 million barrels of oil equivalent and production approaching 40,000 barrels of oil equivalent per day. Lundins market capitalisation is approximately US$3 billion. Lundin have a 15 per cent. working interest in the Alvheim discovery on Norwegian acreage which is adjacent to Block 9/10c. The directors of Genesis believe that its access to extensive 3D seismic data in the North Sea will enable it to partner other exploration companies in this region.

Block 9/10c borders the UK/Norwegian median line and is surrounded by numerous oil and gas condensate fields; the Bruce Field immediately to the west in UK waters and the Frigg Field, Heimdal and Alvheim Fields immediately to the north east and south east in Norwegian waters. The Genesis Directors believe that, with the benefit of 3D seismic data, considerable exploration success has been achieved in wells drilled in the vicinity of Block 9/10c. This has been on both the UK and Norwegian sides of the median line, although the most recent success has been in Norwegian waters where innovative exploration strategies coupled with new technology and methods have allowed the imaging of less obvious traps which eventually resulted in the discovery of the Alvheim Field.

No wells have been drilled on Block 9/10c with the benefit of 3D seismic data. Genesis has defined three prospects all at Palaeocene level with estimated combined unrisked recoverable resources of 73 million barrels of oil (with risked recoverable resources of 18 million barrels of oil). The average depth to the prospects is 2,350 metres below mean sea level with water depth of 130 metres. Genesis expects to drill the first well during the next six months.

23rd Oil and Gas Licensing Round
Genesis applied for licences for three blocks in the UK North Sea in the DTIs 23rd Oil and Gas Licensing Round. In September 2005, the DTI made offers of licence awards to Genesis in respect of Block 9/14c and 15c (in which Genesis has a 17.5 per cent. interest together with ConocoPhillips (UK) Limited and Lundin Heather Limited), Block 211/28b (in which Genesis has a 40 per cent. interest together with Lundin Heather Limited) and Block 9/5b in the UK North Sea (in which Genesis has a 100 per cent. interest).

Genesis (together with its partners, where appropriate) is now required to confirm its acceptance of these offers and reiterate its plans to explore these blocks as anticipated in the original applications. A technical evaluation to determine the potential of each of these blocks will be conducted in due course.

Information on Zari
Zari was established in 2004 and its shares were admitted to trading on AIM at the end of July 2004 after an initial placing to raise 650,000 (before expenses). Zaris purpose at the time of admission was stated to be the making of investments in the mining and minerals sector. Having pursued a number of ventures, Zaris principal assets currently comprise cash of approximately 2.8 million and an amount due from Zari Exploration Limited of US$550,000 (the amount due from Zari Exploration Limited has been fully provided against in the Companys accounts). Following the completion of the acquisition of Genesis, the Companys primary strategic focus will be on oil and gas exploration and production activities.

New Board
With effect from Admission, Messrs Moritz, Burgess, Malins and Taylor (i.e. the former directors of the Company excluding John Woolgar) have resigned as directors of the Company and the new board comprises:

Gerry Harrison, Chairman and Chief Executive, aged 51
Gerry Harrison has 30 years experience in the exploration and oil services industries and is currently also a director of TechMarine International plc, which provides ship management services to the offshore oil and gas industry. His previous experience includes terms at Compagnie Generale de Geophysique in Paris, where he was the Director responsible for offshore activity, borehole services and a navigation and positioning business. Prior to this appointment, he was Executive Vice President at Aker Maritime ASA in Oslo with responsibility for one of Akers four operating divisions. Previously, he had extensive experience in the UK and United States managing geophysical contractors and, in 1993, he led a management buy-out of such a business. He co-founded Genesis in 2003 with Michael Haagaard.

Michael Haagaard, Chief Operating Officer, aged 43
Michael Haagaard holds an MSc in Geology from the University of Copenhagen. He has 17 years of experience in the Norwegian and international upstream oil industry with several international postings in various technical and managerial positions including: Exploration Manager for Saga Petroleum in London; Vice President for Aker Geo Seismic in Oslo; and Vice President for Compagnie Generale de Geophysiques multi-client business in London and Houston. He co-founded Genesis in 2003 with Gerry Harrison.

John Woolgar, Non-executive Director, aged 65
A former stockbroker, John Woolgar has over 35 years substantial and diverse City experience, principally involving private investors in smaller companies. As a former corporate adviser, he sought and raised funds for over 30 companies by way of Official List and Unlisted Securities Market flotations, Business Expansion Scheme and Enterprise Investment Scheme private placings. More recently, he conceived the idea of Web Shareshop (Holdings) Plc as a cost effective method of attracting large numbers of private investors into new issues and as a delivery system for private funds into placings. He subsequently introduced new management into Web Shareshop (Holdings) Plc, as a result of which it is now an investment company mainly focused on the mining sector. In March 2004, he co-founded Zari.

Colin Gray, Non-executive Director, aged 52
Colin Gray holds an MA from Cambridge University in Natural Sciences and an MSc in Geophysics from Imperial College, London. He has 29 years experience in the oil industry including 18 years with LASMO and 7 years at Total. At LASMO he held a number of positions including Group General Manager, Exploration where he was responsible for resourcing and performance within global exploration and Exploration Manager where he was responsible for all oil and gas exploration activity in Italy and subsequently the UK. He currently provides technical and management consulting services to a range of clients in the upstream oil and gas industry and is a former President of the Petroleum Exploration Society of Great Britain.

Oh well - in for a penny ... ;)
DYOR

You spent that much!

It's inevitable amberj ;)

Yes, well I spent 2 pennies :>)

Bit of a rise today :)


GENESIS PETROLEUM CORPORATION PLC

Agreement to access seismic data

Genesis Petroleum Corporation Plc ('Genesis' or 'the Company') entered into
an agreement, on 16 February 2006, with one of the world's leading offshore
seismic data providers, to access modern offshore 3D seismic data from a data
library of approximately 150,000 square kilometres covering proven
hydrocarbon basins offshore Norway, Denmark, Netherlands, Germany and the UK.

Seismic data is the primary tool used by oil and gas companies in the search for
hydrocarbons. 3D seismic data can be interpreted to generate a three-dimensional
model of the earth's sub-surface which is then used to determine the likelihood
of oil and gas deposits and the optimum drilling location for their
exploitation.

The Company believes that access to the data on the terms agreed and review by
Genesis technical staff will give it a significant advantage exploring for oil
and gas in the region. Genesis believes that its technical review of data over
specific areas, at minimal initial cost, will enable it to be technically more
objective and focused in its selection of, and application for, offshore acreage
in the region. The Company also believes the agreement will allow it to have
better informed discussions with other oil companies about potential joint
ventures and farm-in arrangements, without the usual expense of acquiring
seismic data.

Speaking for Genesis, Gerry Harrison (CEO) said:

'This Agreement complements our existing agreement with another seismic data
provider which covers 50,000 square kilometres of mainly internationally located
seismic data and provides Genesis with access to a total data base of 200,000
square kilometres of 3D seismic. The data provides the Company with a fantastic
regional perspective which allows us to be very selective about taking acreage
positions and developing farm-in opportunities. We intend to apply for offshore
acreage only where we already have an informed view of its prospectivity based
on the latest 3D technology. This reduces the exploration risk.

In addition, this agreement gives us the dual advantage of both reduced cost as
we only incur significant fees when we win acreage as well as a reduced time to
drilling since a significant amount of the technical work will have already been
done. We have already demonstrated the benefits of this type of agreement by
winning five Blocks in the North Sea and forming partnerships with Lundin
Petroleum and ConocoPhillips. This latest agreement allows us further
opportunity to selectively win good acreage and form strong partnerships.'

20 February 2006

For further information, please contact:

Genesis Petroleum Corporation Plc:
Gerry Harrison, CEO
gharrison@genesis-petroleum.com
+44(0)1959 567456

www.genesis-petroleum.com

Chocolat

Thanks for bringing this one to our attention! I'm in with a penny!. I particularly like the 'evaluating opportunities......to farm into acreage onshore in the Middle East and former Soviet Union; the latter has a lot to give I think.
Kim

Found a few more pennies.............

So did I amberj - they didn't half make a racket in the washing machine this morning. Mind you, it makes a change from the cat.

Tumble dried the cat once, wasn't a happy moggy. It was the thump, thump, thump that gave it away, bit like a hamster on a wheel, except she kept falling off at the top, hence the thumps!

Big drop so far 2day. Any reason for this?

Times online

Rumour of the day


Genesis Petroleum, the oil and gas explorer created from last years reverse takeover of Zari Resources, rose p to 338p on AIM as last weeks hiring of Jefferies as adviser and stockbroker fuelled talk of imminent activity. Genesis, which has offshore assets in West Africa and Brazil, is expected to seek deals to accelerate the development of its North Sea portfolio.

blimey!!! 338p???? someone's buying the drinks then ;)

Someone's already had far too many!!

Up about 30% this morning - any more news??

Couldnt decide last week whether to pop out or stay in so just popped out for bit :>) Found a few pounds for this next trip.

Now wonder if rabbits will work as well as your cats only I should be able to get a lot more of them in. Next time I leave them out in the rain I'll maybe try it!

Huge 15% jump in SP today and as usual can't find reason - any thoughts?

another shafting for shareholders!!!

what sort of crappy broker does this company have ,

whats is it , 50% discount to current price in the placing?

on the way this morning.

on the move up today