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Desire Petroleum are drilling in Falklands (DES)
markymar
- 03 Dec 2003 11:36
<>
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
markymar
- 18 Oct 2007 13:58
- 2659 of 6492
http://www.thisislondon.co.uk/news/article-23417114-details/Scramble+for+Antarctica:+Argentina+hits+back+after+Britain+makes+land+grab/article.do
Scramble for Antarctica: Argentina hits back after Britain makes land grab
Scramble for Antarctica: Argentina hits back after Britain makes land grab
markymar
- 23 Oct 2007 23:34
- 2660 of 6492
Tue 23 Oct 2007
The land the world forgot becomes a coveted prize
TANYA THOMPSON (tthompson@scotsman.com)
NOT since the Golden Age of the Empire has Britain staked its claim to such a vast area of land on the world stage. And while the British Empire may be long gone, the Antarctic has emerged as the latest battleground for rival powers competing on several fronts to secure valuable oil-rich territory.
It was once seen as a harsh and barren landscape, an inhospitable wilderness that could yield nothing for mankind and for generations it remained overlooked. But today several countries are vying for a piece of what lies beneath the forgotten continent.
Britain is planning to lay claim to huge tracts of the Antarctic, with the Foreign Office drawing up a submission to the United Nations that 386,000 sq miles of sea bed in the south Atlantic should be declared British.
And the reason for the sudden interest? The area is thought to contain lucrative reserves of oil and natural gas, although under the 1959 Antarctic Treaty the search for these reserves could not begin until 2048.
Opponents of the British move - including Argentina and Greenpeace - say that any submission would breach the spirit of the treaty, which was designed to prevent new claims.
The British first made their mark on Antarctica in 1908 and the British Antarctic Territory now stretches out 666,000 sq miles from the South Pole, although parts of it are disputed by Argentina and Chile. Four other countries, Norway, Australia, France and New Zealand, have substantial interests on the continent.
The move is the latest example of a rush to claim land through the Arctic and Antarctic by states seeking to boost their energy resources. Russia has asserted its right to land beneath the Arctic Ocean and France claimed land around New Caledonia, in the Pacific.
But it seems certain that claims submitted by the British will be challenged by other states as the areas covered are the subject of several long-standing and bitter territorial disputes.
Details of the submission to the UN will be one of five similar claims that Britain has on its radar - in the Bay of Biscay, around Ascension, off the British Antarctic Territory, around the Falkland Islands and South Georgia and in the Hatton-Rockall basin. These sites, the Foreign Office insists, meet the "geological conditions required" and Britain is merely "safeguarding for the future".
The 'land grab' is part of a UN treaty that allows coastal countries to claim a continental shelf up to 380 miles off their shores, and the right to search for oil and natural gas there. Britain is one of nine countries that have filed such claims, and more are expected.
The Foreign Office explained: "It's incredibly unlikely that the Antarctic Treaty would ever be abolished but in order to safeguard our interests for the time being, we are submitting a claim."
Environmental campaigners are furious at the proposals and have condemned them at a time when there is growing pressure on governments to reduce carbon footprints.
"In April, the British Foreign Secretary, Margaret Beckett, took climate change to the UN Security Council for the first time," said John Sauven, executive director of Greenpeace UK.
"Six months on, the same Foreign Office is claiming ownership of one of the world's last remaining pristine ecosystems to drill for more fossil fuels.
"The approach reflects the kind of incoherent thinking on climate change that this government has continually demonstrated. If global emissions are to peak and be in decline in the next 100 months - as the scientists warn is necessary - this dash to Antarctica is totally reckless."
The days of British Imperialism may be behind us, but critics fear we are trying to carve out a new empire, with serious political repercussions.
Martin Pratt, director of research at the International Boundaries Research Unit at Durham University, says there is a fundamental disagreement about who owns the land.
"The basis for the claim is that Britain can claim sovereignty under the British Antarctic Territory... but the problem is that the United Kingdom, Chile and Argentina all dispute that territory.
"Legally, Britain is perfectly entitled to [submit this] in the same way that Britain believes it has sovereignty over the Falklands."
Mr Pratt, who has advised countless governments and oil companies on boundary disputes, is convinced that the demand for fossil fuels will force a nation to break the Treaty.
"Unless alternative energy is found, it's inevitable that they'll tap into this area for oil and gas. Look what happened in the Falklands in 1992. But this is an uninhabited continent and there would be heavy diplomacy and sanctions if a war was about to be fought over Antarctica."
Britain's aspiration to expand its sovereignty could trigger disputes with Argentina and Chile, which are likely to make overlapping claims.
The move is widely seen as a direct challenge to the 50-year-old international treaty - aimed at preserving the frozen continent's fragile environment from commercial and military exploitation.
Britain is not alone in its plans. A number of other countries submitting claims to the UN Commission on the Limits of the Continental Shelf are Russia, Brazil, Australia, Ireland, New Zealand, France, Spain and Norway.
This summer saw a heightening of tensions over Arctic sovereignty and potential oil riches highlighted by record melting of the polar ice cap and a Russian flag-planting mission at the North Pole seabed.
And news of the planned UK claim in Antarctica has raised the spectre of a battle over the southern polar region, with British experts predicting a possible end to the Antarctic Treaty and a looming threat to the southern polar environment.
Martyn Williams, from Friends of the Earth, is not convinced by the Foreign Office's attempt to downplay the prospect of a free-for-all at the South Pole.
"It really doesn't matter whose oil it is. Running around looking for more oil is not compatible with tackling climate change.
"Nor does it matter whether the oil is taken from a white, pristine environment or a dirty, ugly one. The damage to the environment will affect everyone."
Nations scramble to stake a claim to lands the size of Australia
SOME 45 countries with coastlines qualify for potential "extended underwater territory" rights under the UN Law of the Sea Convention.
It has provoked a scramble for underwater land almost as fierce as the one for Africa in the 19th century, when European countries divided up the continent.
As much as 2.7million sq miles - an area similar to the size of Australia - is believed to be at stake. It includes the Arctic, where Russia recently claimed land below the North Pole, new islands off India which emerged from the sea, and Pacific Ocean islands claimed by Australia.
But to claim the new underwater territory, countries must be able to show that it is an extension of their own topography.
All claims must be staked by 2009, which is why there is a rush to gather scientific evidence to support submissions.
Britain is preparing territorial claims on tens of thousands of square miles of the Atlantic Ocean floor around the Falklands and Rockall island in the hope of annexing potentially lucrative oil and gas fields.
The Falklands claim has the most potential for political fall-out, given that Britain and Argentina fought over the islands 25 years ago, and the value of the oil under the sea in the region is understood to be immense. Seismic tests suggest there could be about 60 billion barrels of oil under the ocean floor.
Talks have already begun between Ireland, Iceland and Denmark for the division of rights far out into the north Atlantic. It includes the island of Rockall and the sub-sea Hatton ridge. The claims are not close to final resolution, although Ireland and the UK have agreed a common boundary.
Other countries which have submitted claims to the ocean floors around remote overseas dependencies have run into fierce opposition from neighbouring nations.
France, which registered its claim to thousands of square miles around New Caledonia, in the Pacific, has received protests from Vanuatu warning the claim has "serious implications on Vanuatu's legal and traditional sovereignty". Russia was heavily criticised for making claims beneath the Arctic Ocean.
The land the world forgot becomes a coveted prize
TANYA THOMPSON (tthompson@scotsman.com)
NOT since the Golden Age of the Empire has Britain staked its claim to such a vast area of land on the world stage. And while the British Empire may be long gone, the Antarctic has emerged as the latest battleground for rival powers competing on several fronts to secure valuable oil-rich territory.
It was once seen as a harsh and barren landscape, an inhospitable wilderness that could yield nothing for mankind and for generations it remained overlooked. But today several countries are vying for a piece of what lies beneath the forgotten continent.
Britain is planning to lay claim to huge tracts of the Antarctic, with the Foreign Office drawing up a submission to the United Nations that 386,000 sq miles of sea bed in the south Atlantic should be declared British.
And the reason for the sudden interest? The area is thought to contain lucrative reserves of oil and natural gas, although under the 1959 Antarctic Treaty the search for these reserves could not begin until 2048.
Opponents of the British move - including Argentina and Greenpeace - say that any submission would breach the spirit of the treaty, which was designed to prevent new claims.
The British first made their mark on Antarctica in 1908 and the British Antarctic Territory now stretches out 666,000 sq miles from the South Pole, although parts of it are disputed by Argentina and Chile. Four other countries, Norway, Australia, France and New Zealand, have substantial interests on the continent.
The move is the latest example of a rush to claim land through the Arctic and Antarctic by states seeking to boost their energy resources. Russia has asserted its right to land beneath the Arctic Ocean and France claimed land around New Caledonia, in the Pacific.
But it seems certain that claims submitted by the British will be challenged by other states as the areas covered are the subject of several long-standing and bitter territorial disputes.
Details of the submission to the UN will be one of five similar claims that Britain has on its radar - in the Bay of Biscay, around Ascension, off the British Antarctic Territory, around the Falkland Islands and South Georgia and in the Hatton-Rockall basin. These sites, the Foreign Office insists, meet the "geological conditions required" and Britain is merely "safeguarding for the future".
The 'land grab' is part of a UN treaty that allows coastal countries to claim a continental shelf up to 380 miles off their shores, and the right to search for oil and natural gas there. Britain is one of nine countries that have filed such claims, and more are expected.
The Foreign Office explained: "It's incredibly unlikely that the Antarctic Treaty would ever be abolished but in order to safeguard our interests for the time being, we are submitting a claim."
Environmental campaigners are furious at the proposals and have condemned them at a time when there is growing pressure on governments to reduce carbon footprints.
"In April, the British Foreign Secretary, Margaret Beckett, took climate change to the UN Security Council for the first time," said John Sauven, executive director of Greenpeace UK.
"Six months on, the same Foreign Office is claiming ownership of one of the world's last remaining pristine ecosystems to drill for more fossil fuels.
"The approach reflects the kind of incoherent thinking on climate change that this government has continually demonstrated. If global emissions are to peak and be in decline in the next 100 months - as the scientists warn is necessary - this dash to Antarctica is totally reckless."
The days of British Imperialism may be behind us, but critics fear we are trying to carve out a new empire, with serious political repercussions.
Martin Pratt, director of research at the International Boundaries Research Unit at Durham University, says there is a fundamental disagreement about who owns the land.
"The basis for the claim is that Britain can claim sovereignty under the British Antarctic Territory... but the problem is that the United Kingdom, Chile and Argentina all dispute that territory.
"Legally, Britain is perfectly entitled to [submit this] in the same way that Britain believes it has sovereignty over the Falklands."
Mr Pratt, who has advised countless governments and oil companies on boundary disputes, is convinced that the demand for fossil fuels will force a nation to break the Treaty.
"Unless alternative energy is found, it's inevitable that they'll tap into this area for oil and gas. Look what happened in the Falklands in 1992. But this is an uninhabited continent and there would be heavy diplomacy and sanctions if a war was about to be fought over Antarctica."
Britain's aspiration to expand its sovereignty could trigger disputes with Argentina and Chile, which are likely to make overlapping claims.
The move is widely seen as a direct challenge to the 50-year-old international treaty - aimed at preserving the frozen continent's fragile environment from commercial and military exploitation.
Britain is not alone in its plans. A number of other countries submitting claims to the UN Commission on the Limits of the Continental Shelf are Russia, Brazil, Australia, Ireland, New Zealand, France, Spain and Norway.
This summer saw a heightening of tensions over Arctic sovereignty and potential oil riches highlighted by record melting of the polar ice cap and a Russian flag-planting mission at the North Pole seabed.
And news of the planned UK claim in Antarctica has raised the spectre of a battle over the southern polar region, with British experts predicting a possible end to the Antarctic Treaty and a looming threat to the southern polar environment.
Martyn Williams, from Friends of the Earth, is not convinced by the Foreign Office's attempt to downplay the prospect of a free-for-all at the South Pole.
"It really doesn't matter whose oil it is. Running around looking for more oil is not compatible with tackling climate change.
"Nor does it matter whether the oil is taken from a white, pristine environment or a dirty, ugly one. The damage to the environment will affect everyone."
Nations scramble to stake a claim to lands the size of Australia
SOME 45 countries with coastlines qualify for potential "extended underwater territory" rights under the UN Law of the Sea Convention.
It has provoked a scramble for underwater land almost as fierce as the one for Africa in the 19th century, when European countries divided up the continent.
As much as 2.7million sq miles - an area similar to the size of Australia - is believed to be at stake. It includes the Arctic, where Russia recently claimed land below the North Pole, new islands off India which emerged from the sea, and Pacific Ocean islands claimed by Australia.
But to claim the new underwater territory, countries must be able to show that it is an extension of their own topography.
All claims must be staked by 2009, which is why there is a rush to gather scientific evidence to support submissions.
Britain is preparing territorial claims on tens of thousands of square miles of the Atlantic Ocean floor around the Falklands and Rockall island in the hope of annexing potentially lucrative oil and gas fields.
The Falklands claim has the most potential for political fall-out, given that Britain and Argentina fought over the islands 25 years ago, and the value of the oil under the sea in the region is understood to be immense. Seismic tests suggest there could be about 60 billion barrels of oil under the ocean floor.
Talks have already begun between Ireland, Iceland and Denmark for the division of rights far out into the north Atlantic. It includes the island of Rockall and the sub-sea Hatton ridge. The claims are not close to final resolution, although Ireland and the UK have agreed a common boundary.
Other countries which have submitted claims to the ocean floors around remote overseas dependencies have run into fierce opposition from neighbouring nations.
France, which registered its claim to thousands of square miles around New Caledonia, in the Pacific, has received protests from Vanuatu warning the claim has "serious implications on Vanuatu's legal and traditional sovereignty". Russia was heavily criticised for making claims beneath the Arctic Ocean.
markymar
- 29 Oct 2007 15:53
- 2661 of 6492
http://www.desireplc.co.uk/pdfs/Shareholders_FI_1007.ppt
The Falklands Presentation to its shareholders
The Falklands Presentation to its shareholders
watcher - 31 Oct 2007 09:16 - 2662 of 6492
serious amount of buying this morning....spring around the corner for the island of penguins and oil
watcher
watcher
markymar
- 31 Oct 2007 16:45
- 2663 of 6492
markymar
- 01 Nov 2007 09:46
- 2664 of 6492
coeliac1 - 02 Nov 2007 17:32 - 2665 of 6492
a chartist would have a party looking at the chart!
markymar
- 23 Nov 2007 13:07
- 2666 of 6492
LONDON (Thomson Financial) - Shares in Desire Petroleum pushed higher in
late morning deals, as Seymour Pierce upgraded its rating on the company to
'buy', according to traders.
At 11.44 am, Desire Petroleum shares climbed 0-3/4 pence to 20-3/4.
In a note to clients, Seymour Pierce said that following market weakness and
the recent fall in Desire Petroleum's share price, it now believes the company
is undervalued.
late morning deals, as Seymour Pierce upgraded its rating on the company to
'buy', according to traders.
At 11.44 am, Desire Petroleum shares climbed 0-3/4 pence to 20-3/4.
In a note to clients, Seymour Pierce said that following market weakness and
the recent fall in Desire Petroleum's share price, it now believes the company
is undervalued.
markymar
- 23 Nov 2007 13:34
- 2667 of 6492
Desire Petroleum plc will commence acquiring 2D seismic data in the NFB during the week beginning 26th Nov 07.
Data acquisition is expected to take 10 days weather permitting.
Six specific locations to have seismic data acquired.
1. Ann Prospect 4Km x 4 Km area centered on Lat 49 degree 23' 52.26"S and Long 059 degree 22' 31.51"W
2. Tie Line Site Survey - single line incorporating following way points
Well14/09-1 49 19 09.548 S 059 23 05.527 W
Ann A 49 23 52.260 S 059 22 31.520 W
Ann B 49 27 46.316 S 059 22 30.935 W
Orca South 49 32 38.620 S 059 22 05.523 W
3. Alpha Prospect -
3Km x 3Km centered on Lat 50 15 29.10 S Long 059 09 53.09 W
4. Dawn Prospect -
3Km x 3Km centered on Lat 50 02 50.16 S Long 059 08 47.67 W
5. Barbara Prospect
3Km x 3Km centered on Lat 50 40 51.36 S Long 059 06 49.29 W
6. Ruth Prospect
3Km x 3Km centered on Lat 50 28 10.87 S Long 058 57 47.74 W
Data acquisition is expected to take 10 days weather permitting.
Six specific locations to have seismic data acquired.
1. Ann Prospect 4Km x 4 Km area centered on Lat 49 degree 23' 52.26"S and Long 059 degree 22' 31.51"W
2. Tie Line Site Survey - single line incorporating following way points
Well14/09-1 49 19 09.548 S 059 23 05.527 W
Ann A 49 23 52.260 S 059 22 31.520 W
Ann B 49 27 46.316 S 059 22 30.935 W
Orca South 49 32 38.620 S 059 22 05.523 W
3. Alpha Prospect -
3Km x 3Km centered on Lat 50 15 29.10 S Long 059 09 53.09 W
4. Dawn Prospect -
3Km x 3Km centered on Lat 50 02 50.16 S Long 059 08 47.67 W
5. Barbara Prospect
3Km x 3Km centered on Lat 50 40 51.36 S Long 059 06 49.29 W
6. Ruth Prospect
3Km x 3Km centered on Lat 50 28 10.87 S Long 058 57 47.74 W
markymar
- 28 Nov 2007 17:38
- 2668 of 6492
Earnest survey contract
Wednesday, November 28, 2007
http://oilport.net/news/article.asp?Id=9234
Billiton builds Falklands farm-in
Wednesday, November 28, 2007
http://oilport.net/news/article.asp?Id=9236
Wednesday, November 28, 2007
http://oilport.net/news/article.asp?Id=9234
Billiton builds Falklands farm-in
Wednesday, November 28, 2007
http://oilport.net/news/article.asp?Id=9236
robstuff - 29 Nov 2007 13:46 - 2669 of 6492
Barclays buys 5% of company
markymar
- 29 Nov 2007 18:05
- 2670 of 6492
Robstuff
I do like conspiracies theories
Barclays have also taken a stake in BHP Billiton. Who are partners of FOGL at a 51% stake now on the same date and same time Barclays also released an RNS saying they had taken a 5% stake in Desire Petroleumnow thats what I call Spooky
I do like conspiracies theories
Barclays have also taken a stake in BHP Billiton. Who are partners of FOGL at a 51% stake now on the same date and same time Barclays also released an RNS saying they had taken a 5% stake in Desire Petroleumnow thats what I call Spooky
markymar
- 02 Dec 2007 18:04
- 2671 of 6492
Offshore rig count improves in US Gulf
By Tom Liskey
Rig utilisation in the US Gulf improved to 72.9% this week as two more units found work in the region. According to ODS-Petrodata, 94 of the 129 mobile offshore rigs in the area are under contract.
The total worldwide offshore drilling fleet grew by one this week with the addition of the Blake 208, a mobile offshore production unit that is being converted into a jack-up drilling rig.
The number of rigs under contract worldwide also grew by one.
With 599 of the worlds 676 offshore rigs under contract, worldwide offshore drilling fleet utilisation is 88.6%.
The major offshore rig markets remain unchanged. For the 28th consecutive week, the European offshore rig fleet remains 100% utilised with all 102 units in the area under contract.
The South America marine rig count is unchanged with 63 of the 88 units working.
In West Africa, fleet utilisation remains 98.1%, with 53 of the 54 offshore rigs in the region under contract.
In the Asia/Australia region, 98 out of 100 available rigs under contract.
By Tom Liskey
Rig utilisation in the US Gulf improved to 72.9% this week as two more units found work in the region. According to ODS-Petrodata, 94 of the 129 mobile offshore rigs in the area are under contract.
The total worldwide offshore drilling fleet grew by one this week with the addition of the Blake 208, a mobile offshore production unit that is being converted into a jack-up drilling rig.
The number of rigs under contract worldwide also grew by one.
With 599 of the worlds 676 offshore rigs under contract, worldwide offshore drilling fleet utilisation is 88.6%.
The major offshore rig markets remain unchanged. For the 28th consecutive week, the European offshore rig fleet remains 100% utilised with all 102 units in the area under contract.
The South America marine rig count is unchanged with 63 of the 88 units working.
In West Africa, fleet utilisation remains 98.1%, with 53 of the 54 offshore rigs in the region under contract.
In the Asia/Australia region, 98 out of 100 available rigs under contract.
markymar
- 06 Dec 2007 08:05
- 2672 of 6492
RNS Number:2901J
Desire Petroleum PLC
06 December 2007
For immediate release 6 December 2007
Desire Petroleum plc
("Desire" or "the Company"
Acquisition of Site Survey Data
Desire Petroleum plc (AIM:DES) is pleased to announce that Wavefield InSeis ASA
has completed the full site survey programme on Tranches C, I and L as planned.
The entire survey was successfully acquired in 6 days with no weather downtime.
The outstanding lines in Tranche C were acquired in addition to new site surveys
over 4 prospects in Tranches I and L. With the Environmental Impact Assessment
over Tranches I and L due to be completed in 2008, Desire will be in a position
to drill in Tranches C, D, I and L as soon as a rig becomes available.
Following BHP's commitment to drill at least 2 wells in the area to the south of
the Falklands, it is expected that Desire, as well as other parties, will take
part in an extended drilling campaign and that the mobilisation and
demobilisation costs of bringing a rig to the area will be shared. As a
consequence, Desire expects, at current prices, to be able to drill at least
two, or possibly three wells from its own resources.
Desire is continuing discussions with a number of companies interested in
farming-in to the Desire licences due to the very considerable reserve potential
identified in the North Falklands Basin. However, the Board remains mindful of
its commitment not to enter into any agreement which may unduly dilute
shareholders' exposure to this exploration potential.
For further information please contact:
Desire Petroleum plc 020 7436 0423
Colin Phipps, Chairman
Dr Ian Duncan, Chief Executive Officer
Buchanan Communications 020 7466 5000
Ben Willey
Ben Romney
markymar
- 06 Dec 2007 11:10
- 2673 of 6492
smiler o
- 06 Dec 2007 11:11
- 2674 of 6492
Good news !
markymar
- 07 Dec 2007 10:07
- 2675 of 6492
Desire get a mention and i can see why Phipps want to keep control and be in charge.
"Ian Duncan, the Chief Executive Officer of Desire, later told oilbarrel.com that he was wary of criticising anyone but said: You have to remember this was a time when the oil price had fallen to US$10 a barrel. The majors had to compete internally within the company for scarce rigs. Someone in London or Houston only had to say why are we wasting our time in a marginal area in Falkland when we could be on to a surer bet in the Gulf of Mexico.
http://www.oilbarrel.com/home.html
07.12.2007
Falkland Oil & Gas Gets The Farm Out Increment It Wanted To Bring It Within Striking Distance Of Drilling
It seems to have taken an unconscionably long time but AIM listed junior Falkland Oil & Gas, together with its partners, looks as if they are now within striking distance of drilling some exploration wells around the Falkland Islands. These still British possessions have long been a dream area for some oilmen and investors. The thought is that there are signs this is a last great frontier and there could be huge amounts of hydrocarbons around the remote islands in the southern Atlantic.
There has been some drilling around the Falklands. In 1998 London junior Desire Petroleum participated in a six well drilling campaign alongside Amerada Hess and Shell. Desire had interests in two wells around North Falkland. Five of the six wells had hydrocarbon shows. Well 14.10-1, drilled by Shell, had live oil at surface of 27 degree API. Another well 14/5, also drilled by Shell, had 32 per cent gas at surface. The drilling was not a great success but it was not a complete failure either.
The wells were drilled back to back and there was no time to evaluate each well. For reasons, which, in retrospect, seem a little curious, the initial drilling was not followed up.
Ian Duncan, the Chief Executive Officer of Desire, later told oilbarrel.com that he was wary of criticising anyone but said: You have to remember this was a time when the oil price had fallen to US$10 a barrel. The majors had to compete internally within the company for scarce rigs. Someone in London or Houston only had to say why are we wasting our time in a marginal area in Falkland when we could be on to a surer bet in the Gulf of Mexico.
For whatever reasons the majors pulled out. But Desire, whose shares had enjoyed a roller coaster ride, rising steeply and then falling back sharply, has kept the faith and still believes in Falkland.
Meanwhile Falkland Oil & Gas floated on AIM and together with Aussie partners Hardman Resources and Global Petroleum assembled a huge portfolio, amounting to 83,700 sq km, more than the southern basin in the UK North Sea. It was partnered in 33,700 sq km of the acreage by Perth-based Hardman.
There was a 2D seismic shoot in 2004 over 9,450 sq km. There was great excitement over the findings. There was more seismic and more excitement. A large number of leads were established over various play types. There was talk of maybe 200 million barrels of oil even a possibility of 1 billion barrels of oil in these waters. But of course you have to drill wells before you know.
Could FOGL get a rig? Could it ever? 2006 came and went and there was no rig. The Falkland Islands are a long way from anywhere. Rig prices kept going up and getting more scarce. 2007 looked as if it would also come and go and there would still be no rig. There were endless rumours that a major resource company was about to step into the breach. Mobilising a rig to the Falkland Islands would be a big financial undertaking; numbers of US$40 million at least have been bandied about. There was little prospect of AIM-quoted FOGL, which was dumped by its partner Tullow Oil that inherited a share of the assets following the takeover of Hardman Resources, raising the money on its own. It was vital to find a farm-in partner with deep pockets if it was going to meet its drilling commitments.
Finally, in October, Australian mining, metals and petroleum company BHP Billiton was named as FOGLs new partner.
Under the farm-in agreement BHPB was to earn a 40 per cent interest and operatorship of the licences by drilling two wells over the next three years. It was to pay some of FOGLs drilling costs - BHPB was to pay 53.3 per cent of the well costs to earn its 40 per cent share - and pay FOGL US$10 million to cover some of its historical costs on the licences. These did not seem the most generous farm-in terms but they would have started to look sweeter should BHPB have exercised an option to increase its stake to 65 per cent, at which point it would have to pay another US$6.5 million in historical cost and cover 87 per cent of the drilling costs. This would have left FOGL with just 13 per cent of the drilling costs (although on a US$100 million drilling programme that is still a hefty bill), some of which would have been offset by the US$16.5 million cash payment.
BHPB had until November 27 to improve its offer. Well, it has not come up with the full whack but its new offer will almost certainly do. BHPB has elected to increase its interest in the South exploration licences operated by FOGL from 40 per cent to 51 per cent and to assume operatorship of the licences. Under this extended agreement, BHPB will pay FOGL an additional US$2.75 million in respect of past costs and will contribute 1.33 times its working interest share of the exploration costs up to and including two exploration wells. Consequently FOGL will have received cash of US$12.75 million and will pay approximately 32 per cent of forward costs while retaining a 49 per cent working interest in the licences.
The point is with the new cash and a proportion of its share of ongoing costs covered, FOGL will not need to enter into further farm-out deals to continue with the short-term work programme. On the other hand, it still has sufficient equity to secure further farm outs in due course should that be deemed necessary. FOGLs shares have risen sharply since BHPBs involvement became known.
"Ian Duncan, the Chief Executive Officer of Desire, later told oilbarrel.com that he was wary of criticising anyone but said: You have to remember this was a time when the oil price had fallen to US$10 a barrel. The majors had to compete internally within the company for scarce rigs. Someone in London or Houston only had to say why are we wasting our time in a marginal area in Falkland when we could be on to a surer bet in the Gulf of Mexico.
http://www.oilbarrel.com/home.html
07.12.2007
Falkland Oil & Gas Gets The Farm Out Increment It Wanted To Bring It Within Striking Distance Of Drilling
It seems to have taken an unconscionably long time but AIM listed junior Falkland Oil & Gas, together with its partners, looks as if they are now within striking distance of drilling some exploration wells around the Falkland Islands. These still British possessions have long been a dream area for some oilmen and investors. The thought is that there are signs this is a last great frontier and there could be huge amounts of hydrocarbons around the remote islands in the southern Atlantic.
There has been some drilling around the Falklands. In 1998 London junior Desire Petroleum participated in a six well drilling campaign alongside Amerada Hess and Shell. Desire had interests in two wells around North Falkland. Five of the six wells had hydrocarbon shows. Well 14.10-1, drilled by Shell, had live oil at surface of 27 degree API. Another well 14/5, also drilled by Shell, had 32 per cent gas at surface. The drilling was not a great success but it was not a complete failure either.
The wells were drilled back to back and there was no time to evaluate each well. For reasons, which, in retrospect, seem a little curious, the initial drilling was not followed up.
Ian Duncan, the Chief Executive Officer of Desire, later told oilbarrel.com that he was wary of criticising anyone but said: You have to remember this was a time when the oil price had fallen to US$10 a barrel. The majors had to compete internally within the company for scarce rigs. Someone in London or Houston only had to say why are we wasting our time in a marginal area in Falkland when we could be on to a surer bet in the Gulf of Mexico.
For whatever reasons the majors pulled out. But Desire, whose shares had enjoyed a roller coaster ride, rising steeply and then falling back sharply, has kept the faith and still believes in Falkland.
Meanwhile Falkland Oil & Gas floated on AIM and together with Aussie partners Hardman Resources and Global Petroleum assembled a huge portfolio, amounting to 83,700 sq km, more than the southern basin in the UK North Sea. It was partnered in 33,700 sq km of the acreage by Perth-based Hardman.
There was a 2D seismic shoot in 2004 over 9,450 sq km. There was great excitement over the findings. There was more seismic and more excitement. A large number of leads were established over various play types. There was talk of maybe 200 million barrels of oil even a possibility of 1 billion barrels of oil in these waters. But of course you have to drill wells before you know.
Could FOGL get a rig? Could it ever? 2006 came and went and there was no rig. The Falkland Islands are a long way from anywhere. Rig prices kept going up and getting more scarce. 2007 looked as if it would also come and go and there would still be no rig. There were endless rumours that a major resource company was about to step into the breach. Mobilising a rig to the Falkland Islands would be a big financial undertaking; numbers of US$40 million at least have been bandied about. There was little prospect of AIM-quoted FOGL, which was dumped by its partner Tullow Oil that inherited a share of the assets following the takeover of Hardman Resources, raising the money on its own. It was vital to find a farm-in partner with deep pockets if it was going to meet its drilling commitments.
Finally, in October, Australian mining, metals and petroleum company BHP Billiton was named as FOGLs new partner.
Under the farm-in agreement BHPB was to earn a 40 per cent interest and operatorship of the licences by drilling two wells over the next three years. It was to pay some of FOGLs drilling costs - BHPB was to pay 53.3 per cent of the well costs to earn its 40 per cent share - and pay FOGL US$10 million to cover some of its historical costs on the licences. These did not seem the most generous farm-in terms but they would have started to look sweeter should BHPB have exercised an option to increase its stake to 65 per cent, at which point it would have to pay another US$6.5 million in historical cost and cover 87 per cent of the drilling costs. This would have left FOGL with just 13 per cent of the drilling costs (although on a US$100 million drilling programme that is still a hefty bill), some of which would have been offset by the US$16.5 million cash payment.
BHPB had until November 27 to improve its offer. Well, it has not come up with the full whack but its new offer will almost certainly do. BHPB has elected to increase its interest in the South exploration licences operated by FOGL from 40 per cent to 51 per cent and to assume operatorship of the licences. Under this extended agreement, BHPB will pay FOGL an additional US$2.75 million in respect of past costs and will contribute 1.33 times its working interest share of the exploration costs up to and including two exploration wells. Consequently FOGL will have received cash of US$12.75 million and will pay approximately 32 per cent of forward costs while retaining a 49 per cent working interest in the licences.
The point is with the new cash and a proportion of its share of ongoing costs covered, FOGL will not need to enter into further farm-out deals to continue with the short-term work programme. On the other hand, it still has sufficient equity to secure further farm outs in due course should that be deemed necessary. FOGLs shares have risen sharply since BHPBs involvement became known.
markymar
- 08 Dec 2007 20:06
- 2676 of 6492
markymar
- 20 Dec 2007 16:38
- 2677 of 6492
http://http://www.sartma.com/artc_4851_FI_3.html
Falklands : Department of Mineral Resources Activity Report
Submitted by Falkland Islands News Network (Juanita Brock) 20.12.2007 (Current Article)
Phyl Rendell updates us on the latest Department activity.
DEPARTMENT OF MINERAL RESOURCES ACTIVITY REPORT
By Phyl Rendell
Falkland Oil & Gas Ltd / BHP Billiton
A press release on 28 November confirmed that BHP Billiton will take a 51% share in Falkland Oil & Gas Ltd’s licences. The Department has been processing the required paperwork to facilitate the farm-in by BHP in preparation for them to take over operatorship of the licences in January 2008.
BHP Billiton representatives together with Falkland Oil & Gas Ltd Chief Executive Tim Bushell, will visit the Islands during the week of 21 January to establish contact with the Falkland Islands Government and businesses that will assist with exploration drilling. It is anticipated that the team will be available to host a public meeting.
Desire Petroleum
A site survey programme for Desire Petroleum that was terminated by Wavefield Inseis in the winter due technical failure has now been completed. These site surveys are necessary if a company wishes to drill prospects and the data assists with health and safety assessment of the drilling conditions. Desire Petroleum now has environmental and health and safety data for their northern licences (Tranches C & D) as well as site survey data over their southern licences, in the North Falkland Basin (Tranches I & L). An environmental impact assessment (EIA) is being compiled for the southern prospects in readiness for seeking approval to drill.
Rockhopper Exploration
Rockhopper Exploration has been able to utilise the Wavefield vessel, Bergen Surveyor, to carry out a site survey over a prospect named Ernest. Rockhopper Exploration is working in conjunction with Desire Petroleum to produce an EIA for their licensed acreage adjacent to Desire Petroleum’s blocks. Meanwhile, the company is on track with interpretation of the 3D seismic data acquired in their northern licence, PL033 where Shell drilled two wells in 1998.
Borders & Southern Petroleum
A 3D seismic survey being acquired by PGS is progressing quite well. The Ocean Explorer has made two port calls for crew changes to date and the support vessel, Amber G, has been playing a very useful role in ferrying equipment and personnel to the Ocean Explorer at the survey site in the South Falkland Basin.
Of general interest the Marine Mammal Observer (MMO) onboard has reported a considerable number of whale sightings including a Blue Whale on one occasion.
Falkland Gold & Minerals Limited
The Chairman of Falkland Gold & Minerals Ltd, Richard Linnell, and Derek Reeves the Project Manager were in the Islands for meetings with the Falkland Islands Government at the end of October. It is expected that the company will end activities by Christmas and start decommissioning equipment for shipment elsewhere. Although commercial quantities of gold have not been found during the onshore drilling programme, a huge amount of core is retained at Goose Green and it has an interesting story to tell about the geology of the Islands. Dr. Phil Stone from the British Geological Survey will visit the Department in late January to discuss plans for the future of the rock core with Derek Reeves. It is hoped that some research work can be carried out on this valuable resource to add to the geological understanding of the Islands.
Department Matters
The popular “Reading the Rocks” geological brochure is in a second print edition thanks to Phil Stone and will be available for retail as stocks of the first edition are exhausted.
Pippie Christie joined the Mineral Resources Department in mid November as Oil Administrative Officer and is already making a valuable contribution to the department in addition to Katrina Stephenson who ably handles front of house matters.
Falklands : Department of Mineral Resources Activity Report
Submitted by Falkland Islands News Network (Juanita Brock) 20.12.2007 (Current Article)
Phyl Rendell updates us on the latest Department activity.
DEPARTMENT OF MINERAL RESOURCES ACTIVITY REPORT
By Phyl Rendell
Falkland Oil & Gas Ltd / BHP Billiton
A press release on 28 November confirmed that BHP Billiton will take a 51% share in Falkland Oil & Gas Ltd’s licences. The Department has been processing the required paperwork to facilitate the farm-in by BHP in preparation for them to take over operatorship of the licences in January 2008.
BHP Billiton representatives together with Falkland Oil & Gas Ltd Chief Executive Tim Bushell, will visit the Islands during the week of 21 January to establish contact with the Falkland Islands Government and businesses that will assist with exploration drilling. It is anticipated that the team will be available to host a public meeting.
Desire Petroleum
A site survey programme for Desire Petroleum that was terminated by Wavefield Inseis in the winter due technical failure has now been completed. These site surveys are necessary if a company wishes to drill prospects and the data assists with health and safety assessment of the drilling conditions. Desire Petroleum now has environmental and health and safety data for their northern licences (Tranches C & D) as well as site survey data over their southern licences, in the North Falkland Basin (Tranches I & L). An environmental impact assessment (EIA) is being compiled for the southern prospects in readiness for seeking approval to drill.
Rockhopper Exploration
Rockhopper Exploration has been able to utilise the Wavefield vessel, Bergen Surveyor, to carry out a site survey over a prospect named Ernest. Rockhopper Exploration is working in conjunction with Desire Petroleum to produce an EIA for their licensed acreage adjacent to Desire Petroleum’s blocks. Meanwhile, the company is on track with interpretation of the 3D seismic data acquired in their northern licence, PL033 where Shell drilled two wells in 1998.
Borders & Southern Petroleum
A 3D seismic survey being acquired by PGS is progressing quite well. The Ocean Explorer has made two port calls for crew changes to date and the support vessel, Amber G, has been playing a very useful role in ferrying equipment and personnel to the Ocean Explorer at the survey site in the South Falkland Basin.
Of general interest the Marine Mammal Observer (MMO) onboard has reported a considerable number of whale sightings including a Blue Whale on one occasion.
Falkland Gold & Minerals Limited
The Chairman of Falkland Gold & Minerals Ltd, Richard Linnell, and Derek Reeves the Project Manager were in the Islands for meetings with the Falkland Islands Government at the end of October. It is expected that the company will end activities by Christmas and start decommissioning equipment for shipment elsewhere. Although commercial quantities of gold have not been found during the onshore drilling programme, a huge amount of core is retained at Goose Green and it has an interesting story to tell about the geology of the Islands. Dr. Phil Stone from the British Geological Survey will visit the Department in late January to discuss plans for the future of the rock core with Derek Reeves. It is hoped that some research work can be carried out on this valuable resource to add to the geological understanding of the Islands.
Department Matters
The popular “Reading the Rocks” geological brochure is in a second print edition thanks to Phil Stone and will be available for retail as stocks of the first edition are exhausted.
Pippie Christie joined the Mineral Resources Department in mid November as Oil Administrative Officer and is already making a valuable contribution to the department in addition to Katrina Stephenson who ably handles front of house matters.
markymar
- 24 Dec 2007 16:30
- 2678 of 6492
http://www.mercopress.com/vernoticia.do?id=12239&formato=HTML
Oil companies prepare for exploratory drilling in Falklands
Oil companies prepare for exploratory drilling in Falklands
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