Asset Summary:

Oman Block 31 (50% Indago, 50% RAK Petroleum)
Jebel Hafit: estimated at 1 billion boe. Al-Jariyal-1 presently being drilled - originally due to complete in 160 days (9 July). Drill problems and raised costs announced 11 July. 21 Sept announced that drilling had reached 3600m (target depth 5900m) and was expected to penetrate the objective reservoirs towards the end of Q4 2007. Drilling problems and delays to cost additional $2M. 2D seismic results "encouraging". 28 Dec announced that drilling progressing slower than expected and costs increased to $25M for Indago alone. Now expected to hit target depth in Feb and test by end of April 2008. 4 Feb - Announced that well had reached 5131m, then encountered high-pressure, high-temperature salt water, disabling drill string. Assessing damage.

Oman Block 47 (50% Indago, 50% RAK Petroleum)
Hawamel-1: Estimated 61 million boe. Gas shows during drilling. Currently suspended pending horizontal wellbore testing (unlikely that standard testing procedures would achieve a commercial flowrate). New 2D seismic results "encouraging". Zad - 1 on the Adam prospect will be drilled after Al-Jariya with same rig. Evaluating seismic with a view to refining the prospect inventory.

Oman Block 43a (50% Indago, 50% RAK Petroleum)
Evaluating seismic with a view to refining the prospect inventory.

Cash
$54 million at 30 June 2007

After sale of many assets to RAK Petroleum, Indago is now an exploration company.


Click to enlarge work programme


Useful Links:
Indago Portfolio Overview
Sep 06 : Investor Presentation
Sep 06 : Interview with Peter Sadler, CEO of Indago Petroleum
27 Sep 06 : Interim Results RNS
8 Nov 06 : West Bukha-2 secondary target success RNS
21 Nov 06 : West Bukha-2 primary target success RNS
5 Jan 07 : Conclusion of West Bukha testing, Hawamel-1a exploration
10 Jan 07 : Oil Barrel Article - Indago Petroleum Enjoys Further Success On Block 8 Offshore The Sultanate Of Oman In The Middle East
Feb 07 : Al-Jariyal-1 spudded and "encouraging" seismic progress
13 Feb 07 : Oil Barrel Article - Indago Petroleum Goes For A High Impact Exploration Well Onshore The Sultanate Of Oman
Mar 07 : West Bukha info from Heritage Oil
7 Mar 07 : Potential Transaction RNS
11 Mar 07 : Oil Barrel - Little Fish In A Big Pond: AIM Juniors Finding Their Feet In The Middle East
14 Mar 07 : RNS - Disposal Of Assets (special dividend, share consolidation)
15 Mar 07 : Indago Presentation On RAK Petroleum Deal
1 May 07 : RNS - Indago response to rapid share price movement, plus drilling progress update
11 July 07 : RNS - Drill problems, $8.2 million cost increase and delays to reach target depth
21 Sept 07 : RNS - Interim Results
28 Dec 07 : RNS - Slow Progress And Increased Costs At Jebel Hafit
4 Feb 08 : RNS - Jebel Hafit update - Salt water encountered, drill string stuck

... block 15 is adjacent to block 47 (Hawamel-1) and block 31 (Al Jariya-1)

Thanks ValueMax, so you think the date end of December was to optimistic??

I would reckon that first news potential (ie into the first reservoir) is potentially late January, and then TD around March, testing then taking a month or so.

For anyone trading shorter term, perhaps now is the time to purchase some June expiry positions, that should cover the full term of this well, all being well.

For anyone buying in for this and the coming 2 wells after, then any time is a good time to start buying, but perhaps now at Dec margin positions expiry is perhaps the best (margin positions expire next Tuesday and so the present weakness on many stocks as rollover day approches)

PP I think that your info on two wells following on is incorrect. I understand there is only one more planned and then refinement of info on the rest of the portfolio. Hopefully all academic since I think that if they are successful on the current drilling, a deal to sell either the asset or the company will follow quite fast.
As for timing I stick by what I posted earlier - an update to say that reaming out the lower section has commenced/completed prior to puncturing the structure over the next 2/3 weeks.

There are 2 further wells planned, the first is the Izz prospect (Zad), and then the further work on H-1 (a sidetrack).

As was stated at the last notice, they are fully funded to complete their forward drilling programme, which is JH-1, then Zad-1, then the H-1 recompletion.

OK - just differs from what I managed to pick up - and that was from someone who I thought would be likely to know. Whatever, this looks like the closing stages of a long wait.

Not wishing to miss out on the action & IPL was very good to me when they sold off their last venture, I have bought back in. High risk but high rewards!
Sp may drift a little before news but around 50p seems to be the support level, so hopefully that will not be breached.

At last count they were backed by 37p/share in cash - gives a reasonable safety net at the current price.

Nice to see a rise, it must be Christmas ;)

No....with some news now potentially just weeks away, its not surprising to see some interest come in. Very high risk, but what do you expect with 1000p of potential upside, maybe more.....presently available to buy in at 60p. Each day that goes past now, is potentially a little bit more risk removed if that drill goes a little deeper each time.

An announcement that they the drilling has reached the structure must be imminent- it was expected just prior to xmas

L2 is all blue, 3 v 1 @ 60/63

On Line Limits are :


BUY 1K @ 63p (yes, just 1000 shares at full offer price)

SELL 15K @ 61.1p

P/P there had been a seller in the wings over previous weeks; hopefully now finished as there is also rumoured to be a buyer wishing to accumulate a stake If that is also true then they have pretty good nerves to have waited this long before making their move.

looks promising, still holding 50k perhaps the news we have been waiting for is coming, fingers and legs crossed

Good day for holders. It would seem a bit rash to buy in now following this rise. Safer to await the upcoming news, which should come by end of December, although not guaranteed.

If the news is bad, today has been a good day for the MMs, with tight shorts getting closed and new longs being opened.

I still don't think there will be any conclusive news on JH for at least a couple of months.

ValueMax - the next news is likely to be that they have commenced entry into the structure - that removes a considerable risk from the equation - there are still others. A bounce in the sp should greet that annoncement. From then on it depends upon what they hit (or don't???!!!) and how soon. There are apparently two structures to aim at in the next phase.

At present that considerable risk is still in place.

Life,s a risk, postive thinking didn,t do anyone any harm

Good news in the RNS (even if its scared away some momentum traders), I was expecting first reservoir puncture come late January, and that looks about correct (given estimated TD given in the RNS). There are two potential reservoirs.

Also good to see confirmation that they are fully funded, despite increased costs, for this drill, the next drill (Zad-1) and also the H-1 recompletion, which is their forward exploration programme as noted many months ago.

This RNS may have been taken badly at first glance but is actually stating that the sleeving work is within 50m of being finished. The diameter of the drill hole is being/has been reamed from 8.5" up to 12.5" - not an operation that is done unless you have quite a lot of confidence that the capacity will be required. Once the last 50m of sleeving is finished the drilling gets interesting as the bit goes the last 1300m through two structures either one of which may produce the goods. Just hope for wet gas or oil as these two have the most value. If yestterday's sp hike was an expectation that the next news was going to be a discovery then that was premature. That will be the next one - today's was merely a confirmation of progress and process.
Yesterday's sp move shows how readily this will now respond to a strike although I am led to believe that the chance of catching the shares in any quantity once that happens will be slim.

Going to get very exciting now, with first reservoir being hit in around 3 weeks time, and they will get "signs" from that, the second reservoir to be hit around 5 weeks time, again with signs being available as they drill through.

Therefore there is very good potential for some initial news in around 4 weeks time, eg the initial shows whilst drilling through the first reservoir section.

The drop back has allowed me to add some, and have just taken some additional June positions now, based on the fact they have casing to 4600m in place now, this greatly derisks the potential to get to TD imv :)