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

DESIRE PETROLEUM PLC
SEISMIC SURVEY INFORMATION NOTICE
Desire Petroleum plc will acquire 2D seismic data in North Falklands Basin
commencing on 03 June 2007. The survey will be undertaken by the seismic
survey vessel Bergen Surveyor, radio call sign LACS5 (LIMA ALPHA CHARLIE
SIERRA FIVE). Depending on prevailing weather conditions the entire data
acquisition is expected to take around 15 days to complete.
The seismic data will be acquired at four site specific locations. The acquisition
priority listing and site specific coordinates are as set out below:
From time-to-time and for operational reasons the survey vessel may manoeuvre
outside the above limits.
Bergen Surveyor will be towing a single 1500 metre streamer submerged to a
depth of around 3 metres. The end of the streamer will be marked by a floating
buoy fitted with a flashing white light. The vessel has a red painted hull and a
beige painted superstructure.
The Bergen Surveyor is to be given a wide berth by all other vessels.
Vessels shall not pass within 2000 metres astern or 500 metres abeam or
forward of the Bergen Surveyor. Securite messages will be broadcast twice
daily by the Bergen Surveyor at 09:30 hours local time and 21:30 hours local
time on HF radio 4066.1kHz. Fishing vessels working in the vicinity of the
survey area should maintain a good listening watch on VHF radio Channel 16
at all times.
Lewis Clifton, Fisheries Liaison Officer
1. Ann Prospect Site Survey
Point Easting Northing Latitude Longitude
NW 543318.10 4530128.00 49 22 48.025 S 059 24 11.529 W
NE 547318.10 4530128.00 49 22 46.954 S 059 20 53.152 W
SE 547318.10 4526128.00 49 24 56.473 S 059 20 51.437 W
SW 543318.10 4526128.00 49 24 57.546 S 059 24 09.959 W
2. Tie-line Site Survey
Point Easting Northing Latitude Longitude
SOL 545729.90 4511369.48 49 32 54.785 S 059 22 04.116 W
Ann A 545318.00 4528128.00 49 23 52.260 S 059 22 31.520 W
Ann B 545270.00 4520900.00 49 27 46.316 S 059 22 30.935 W
EOL 544668.74 4537362.84 49 18 53.407 S 059 23 07.465 W
3. Dawn Prospect Site Survey
Point Easting Northing Latitude Longitude
NW 559447.50 4456914.10 50 02 13.565 S 059 10 11.498 W
NE 562447.50 4456914.10 50 02 12.459 S 059 07 40.703 W
SE 562447.50 4453914.10 50 03 49.582 S 059 07 38.942 W
SW 559447.50 4453914.10 50 03 50.689 S 059 10 09.822 W
4. Ruth Prospect Site Survey
Point Easting Northing Latitude Longitude
NW 571210.30 4411644.00 50 26 34.416 S 058 59 49.635 W
NE 574210.30 4411644.00 50 26 33.077 S 058 57 17.561 W
SE 574210.30 4408644.00 50 28 10.189 S 058 57 15.421 W
SW 571210.30 4408644.00 50 28 11.529 S 058 59 47.581 W

LOL Chav, old yokahama fenders needs to get her act together or pick up a penguin.

"Bergen Surveyor will be towing a single 1500 metre streamer submerged to a
depth of around 3 metres.

Phipps said substantive but this looks like high resolution to me.

Thanks Chav thats very good news to hear and would explain why rise in share price maybe i wont start jumping up and down yet but very good news.

LEGISLATIVE COUNCIL MOTION OF THANKS SPEECHES
http://www.sartma.com/artc_4219_ALL_3.html

Of course Desire Petroleum are still looking at securing a rig. And, I appreciate this must be entirely frustrating for them but we, at least are sitting, watching and waiting with them. They have ticked all the necessary boxes, including providing an excellent environmental impact assessment. So, we look forward with them to their progress.

so no rig then. Faintly amusing comment about the excellent environmental impact assessment. Certainly thus far there has been zero impact apart from the occasional flight out there!

I admire your persistence marky.

Quite amusing the excitment on ADVFN over this sort of non news and scrabbling for shares,easy to see why they spike every now and again on nothing.

http://www.oilvoice.com/Desire_and_Rockhopper_Commission_Environmental_Assessment_Ov/9766.htm

Desire and Rockhopper Commission Environmental Assessment Over the Southern Part of the North Falkland Basin

http://www.newratings.com/analyst_news/article_1543833.html

Desire Petroleum "hold"

Monday, June 04, 2007 7:43:44 AM ET
Seymour Pierce

LONDON, June 4 (newratings.com) - Analyst Jon Dunningham of Seymour Pierce Research maintains his "hold" rating on Desire Petroleum (ticker: EYX).

In a research note published this morning, the analyst mentions that RPS Energy has been appointed by the company to carry out an environmental impact assessment for its North Falkland Basin-based operations. The successful approval of the assessment is required for carrying out drilling operations offshore of the Falkland Islands, the analyst says.

By the way,Lewis Clifton is one of the directors of DES.

Whoops,No rig in sight lets dive dive again!!

Chav last time they had a site survey they were drilling within 6 months of it been done.

I hope you are right since I got back in last week,but I have my doubt's.

http://www.earthtimes.org/articles/show/72626.html

Prospect of oil wealth could transform Falkland economy
Posted on : 2007-06-14 | Author : DPA
News Category : UK


London - The days when wool from its considerable sheep population was the mainstay of the economy of the Falkland Islands could soon be over as oil richess beckons for the remote islands' population, according to experts in London.

As Britain, and the Falkland Islands, commemorate the 25th anniversary of the "liberation" of the islands, oil exploration firms believe they could be on the verge of striking lucky.

Britain, which stopped economic aid to the Falklands in 1992, says the islands are now self-sufficient in all areas except defence.

Maintaining a British military presence on the Falkland Islands has cost British taxpayers more than 600 million pounds (1.19 billion dollars) since 2001, according to official figures.

With a population of only 4,000, the potential royalties could propel the Falkland Islanders to the top of the world's rich list in terms of per capita income.

Experimental drilling in 1998 tested six wells across an area half the size of Texas to the north of the islands, and brought positive results from five.

Overall both oil and gas were brought to the surface but not in commercial quantities.

Later this year, the oilmen hope to begin drilling in the South Atlantic Ocean bed surrounding the Falklands to prove once and for all that the region is rich in oil reserves.

Striking oil would no doubt transform the small and remote British territory, which currently relies on fishing and sheep rearing for most of its income.

"It could make the Falkland Islanders the richest people in the world per head of capita, much more so than in places like Dubai," says Colin Phipps, chairman of oil exploration firm Desire Petroleum.

The area where today's prospectors believe oil lies is vast - roughly equivalent to the central North Sea oil fields.

"We could be looking at 5 to 6 billion barrels of reachable oil, with a potential value of 25 billion pounds, Phipps told the BBC.

That would have the "most incredible" effect on the Falklands economy, as well as on Britain, where North Sea oil production is in decline, he said.

But Phipps stressed that the islands' potential oil wealth has yet to be fully proven.

Among Falkland Islanders, excitement is mixed with circumspection.

"I'm cautiously optimistic, in 10 years time we could well see production," Phyl Rendell, the Falkland government's director of minerals and agriculture, said recently.

"It would guarantee us economic security. Genuine Falklanders who have got kids here want a sustainable economy."

The Falkland Islands economy has been growing strongly since the conflict with Argentina in 1982, with the annual gross domestic product expanding from five million pounds before the war to more than 75 million pounds today.

The island's government has been careful not to begin planning how the money would be spent should the oil dollars flow.

"It's difficult to predict the wealth that would come from oil," said Rendell.

Oil wealth would enable the Falkland Islands to achieve one long-term goal - to cover the costs for Britain's military presence on the islands.

But getting at the Falklands' hidden crude oil remains a major challenge, the experts admit, with "interference" from Argentina a certain prospect.

Since when has Des been an oil exploration company?

Falkland Island Operations and Licences
Operations

Tullow holds a 22.5% interest in seven offshore production licences covering approximately 14,500 sq km to the south and east of the Falkland Islands in a joint venture with Falklands Oil and Gas Limited (FOGL).

2D seismic data acquired over the licences during 2005 has indicated a large and diverse prospect inventory and identified numerous leads. During the first half of 2007, an additional 5,000km of 2D seismic and a sea-bed logging survey (CSEM) are being acquired to high-grade prospects within the portfolio.

The joint venture parties successfully negotiated a two year extension to the licences as a result of which Phase I of the licence now runs until December 2007 and Phase II will run (subject to a drilling commitment) from December 2007 until December 2010.

Licences
Licence Area
Sq Km Tullow
Interest Operator Other Partners
PL 10 (A & B) 2,500 22.50% Falkland O & G
PL 11 4,860 22.50% Falkland O & G
PL 12 2,021 22.50% Falkland O & G
PL 13 (A & B) 198 22.50% Falkland O & G
PL 14 (A & B) 1,993 22.50% Falkland O & G
PL 15 (A & B) 1,402 22.50% Falkland O & G
PL 16 1,537 22.50% Falkland O & G


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Now if only DES could attract someone like Tullow.

Desire Petroleum "hold"

Tuesday, June 19, 2007 7:13:11 AM ET
Seymour Pierce

LONDON, June 19 (newratings.com) - Analysts at Seymour Pierce maintain their "hold" rating on Desire Petroleum (ticker: EYX).

In a research note published this morning, the analysts mention that the company has announced that the majority of seismic site survey data across its Ann prospect in the North Falkland Basin has been taken over by Wavefield InSeis ASA. Desire Petroleum expects the Ann prospect to have recoverable reserves of 259mmbbls based on a 30% recovery factor

Presumably the half year results will show a reduction in cash as a result of the spending on environment assessments and the 2D seismic survey, and a reduction in interest income as a result. Then there is the further slide in the US$ offset only by a rise in interest rates. It will be interesting to see if interest income will continue to cover normal costs.

The numbers will not look fantastic.

I see the SP (up 16%) is reacting to FOGL's potential farm-in announcement.

Falklands Oil in deal talks
Companies: FOGL
23/07/2007
Resource prospector Falklands Oil & Gas (FOGL) is in 'advanced discussions' about bringing a 'major resources company' into its projects.

AIM-quoted FOGL, where RAB Capital has a hefty stake, has been prompted by a 52 per cent share price surge to disclose to today's well-regulated market that it is in talks which 'may or may not' lead to one of the big sector players farming in to 'certain of its assets'. Tim Bushell, chief executive, recently reported encouraging seismic survey results from the company's prospects in the South and East Falkland Basins and these seem to have kindled interest in potentially useful quarters.

Shares in FOGL, commended as a possibly advantageous 'gamble' by Growth Company Investor at 99p two years ago and at 113.5p last year, have jumped 42.5p today to 123p, valuing the company at nearly 113 million. That is more than the 99.5p and 113.5p at which Growth Company Investor highlighted their speculative possibilities in 2005 and 2006 respectively, but below their 178p peak in February last year.

Meanwhile, Falkand Island Holdings, with 16.3 per cent of FOGL, has gained 80p to 385p, still around 1 off last year's high. Global Petroleum, with a 14 per cent FOGL stake, is 1.75p up at 9.25p.

FOGL and its backers have distinct speculative appeal as long as the current talks hook a big fish.

http://www.britishbulls.com/StockPage.asp?CompanyTicker=DES&MarketTicker=RESOURCES&Typ=S


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