Hi everyone. I started this thread as FDC - but the copmpany recently changed its name to First Africa Oil (FAO). For completeness (nay, posterity) I've copied the original thread here - only three posts, two by me. So, as you can see I haven't given up trying to let you know about this very interesting prospect in W. Africa on and off shore.

Recently there has been a good deal of very heavy buying and selling since the reverse takeover on 7th Feb by Canadian Minerals comapny Energem's oil interests of FAO, in particular the following RNS on 15th Feb:-

The Company was notified on 14 February 2005 by RAB Capital ("RAB") that, following an
acquisition of 144,930,638 ordinary shares of 0.1p each ("Ordinary Shares") on 8
February 2005, RAB currently holds a total of 144,930,638 Ordinary Shares
representing 9.76 per cent. of the Company's issued Ordinary Share capital.

Now RAB has significant positions in FOGL and FGML and I believe many other similar oils/minerals co's and is no fool when it comes to taking large chunks of highly speculative early ventures.

I've cut out a lot of this as now out of date, leaving just the first post and now, by special request from SWW, here is a weblink and a chart.

Good luck.

Stock Dog

http://www.firstafricaoil.com/index.asp



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won't have to wait long looks like!

what's causing this sell off?

only following intermittently since getting out at 3.85 in January.

sd

Capetown

I may do the same, still have not got too much in FAO at the moment : )

Soul traders no problem, I am hoping !!!!! for 5/6p by Xmas : 0

speculating over the road fundraising at 1p !!!!!!!!!!!

Goodpoint MADDOCTOR,i am soooh tempted to top up but waiting,sure i will miss the bottom price!

Stockdog, my post #193 and following offers a suggestion that may answer your question.


Smiler, you have to be pulling my leg. I can see how this stock might be worth 5 or 6p if they hit their production targets and manage to contain dilution of the share base and nothing major goes awry, etc., etc., but there is no way it will do that by Xmas.

Currently the company is producing diddly-squat and what production they do anticipate has been pushed back by six months. And you know how these things can continually slip.

Capetown's suggestion of 1p is far more likely, IMO.

capetown , if your holding you might get your 1p :-))

SOUL why do you think the sp held so well after the rns? it did go up actually

Capetown, this won't rocket away the way you think it will, IMO. I know it was a tenbagger or thereabouts from early 2003, but times have changed and the market is not nearly as gung-ho as it was then. The fundraising could be a drag on the SP as well.

Peter Lynch says that it is often better to miss the first move in a stock so you can be sure of where it is going. I'd definitely want that certainty in this case, unless I was investing money I could really afford to lose.

ST

I was not referring to FOA : )

can't remember why i did not waste some money on FAO; i usually pursue duds like a ravenous wolf! ..... Perhaps i thought this was the company in which Phil Tuffnell + Mugabe were involved; if it isn't, which am i thinking of?

Capetown, I think the reason the SP went up on the day of the RNS is because so many hopeful speculators piled in on the stock at once. Then reality set in and down it went.

FWIW the SP actually closed down 1% on the day of the RNS and regained that loss the following day, which hardly makes a convincing case for the RNS producing a major change of direction in the SP.

When something has been going down as hard and fast as FAO, the odd pause for breath is inevitable.

Sorry, but I think this stock needs something more concrete in terms of news (i.e. production actually taking place or even financial results containing decent revenue figures) to halt the slide.

Smiler, I know that - it was QES. Quite the worst idea for a cash shell I have ever heard of. Hopefully the medical diagnostics thing will prove to be more successful.

As a general rule it's best to take a hit and move on. Inevitably several years later the price comes back, but learn the lesson and quite possibly you'll make more in the intervening years.

Of course, they could go bust too in which case you never get the chance to recover your losses.

Never an easy choice, but topping up should never be your first choice IMO until you know what the hell is going no - something sure is here!

LOOKS like i will not get my 1p for now

Cynic, aren't you referring to White Nile (WNL)? Although Tufnell has some fingers in a few pies.

Well one other snippet is that Evil has been short since 6p , so could be a rapid turn around as he closes

st

the way things are going >>>>>>>>>> God knows !

Interesting point MD - but just because EK closes doesn't necessarily mean it's buying time.

NOW whats going on with ZERO spread for nearly 5mins?

soul* ...... quite probably; thanks