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

One day all the action will be in the South Atlantic, but unless they hurry up and get some rigs out there, fuel cells will come into play as well.

http://www.sartma.com/art_4910.html

Desire Board Appoints Robert Lyons Non-executive Director
http://news.independent.co.uk/business/news/article621843.ece

Ho Ho Ho,

What's that Pugwash up to in the UK stock challenge Markymar.

Ho Ho HO Pugwash am snowed in again and thank u for telling me,speak soon,Tally Ho.


http://www.malverngazette.co.uk/news/malvnewsroundup/display.var.2012157.0.mathon_firm_targets_rich_oil_reserves.php

Mathon firm targets rich oil reserves
By Jack Davidson
Comment

Dr Colin Phipps with a piece of oil reservoir rock.
POTENTIALLY vast oil reserves under the Falkland Islands are being targeted by a Mathon company hoping to make hundred of millions of pounds.

Desire Petroleum, headed by geologist Dr Colin Phipps, will compete with five other companies to drill deep into the sea bed of the British overseas territory.

Dr Phipps said: "There are potentially several billion barrels down there. It could be getting on for the UK part of the North Sea if it was accessible. Until you drill you do not know."

The limited company is currently worth between 60-70 million dependent on share price, but this value would rocket if they were successful.

"Dependent on how much oil we discover, the company could be worth anywhere between hundreds of millions and billions of pounds."

The project represents the biggest venture yet of Desire Petroleum, who are named after the ship to first discover the Islands in 1592.

The company would employ contractors to complete the work, with the cost of drilling each well estimated at between 5-10 million.

The current interest in the South Atlantic islands follows a drilling programme carried out in 1998, when six test wells were drilled in the North Falklands Basin.

This programme, led by Shell who are no longer involved in the area, found traces of oil but no proof that they were commercially viable.

"A lot of work has been done since then which indicated there are strong possibilities for oil," explained Dr Phipps who has lived in the Malvern area since 1955.

This recent geological work and the current record high price of oil has led to the current interest in the area.

Competing for the lucrative resource will also be Rockhopper Explorations, Falklands Oil and Gas Limited, Borders and Southern Petroleum, Argos Explorations and, mining giant, BHP Billiton.

The six companies would drill separately from the same oil rig with desire operating four wells and Dr Phipps explained they all had an equal chance of success.

"All oil exploration contains a certain gamble," he said.

The Falkland Islands, only home to around 3000 people, would become hugely rich if the reserves were found to be commercially viable.

Under licensing laws, issued by the Falkland Islands Government, they would be due nine per cent royalties on any oil drilled and a corporate tax rate of 25 per cent.

Dr Phipps hopes to begin drilling sometime later this year

C. Kirchner invited to London; Falklands unofficial talks?
http://www.mercopress.com/vernoticia.do?id=12585&formato=HTML

http://www.mercopress.com/vernoticia.do?id=12634&formato=HTML

Cristina K travels to London and will press Malvinas issue

Another step forward on the political side.

Penquin News 15/02/08


OIL and gas exploration company
Desire Petroleum plc is embarking
on the final stages of work required
before exploratory drilling begins.
Falklands spokesperson for Desire,
Lewis Clifton, said the company
had joined with Rockhopper
Exploration to explore opportunities
to undertake a seabed sampling
survey - the last environmental
piece of work required before drilling
can commence.
He commented: Once the appropriate
assets - ie a ship - are secured,
it will be a short time before
the work is carried out. It should
only take about ten days of work at
sea then a little more time for the
results to be analysed.

I was expecting some meat on the bones thrown from RKH

NORTH FALKLAND BASIN ITS TIME TO LOOK FOR THAT DRILL RIG OR SHIP By J. Brock (FINN) It looks as if Dr Colin Phipps prediction that a drill ship or rig could be moved to the North Falkland Basin by the end of this year could be accurate. For the past few years Dr Phipps has said that the work already done on the environmental assessment has put his company well ahead of the others. A Company statement through Lewis Clifton to Penguin News on Friday supports Dr. Phipps assessment.

It will take keen financial prudence to get the right rig at an appropriate day rate, but that wont be cheap. Drill ships can be from $500,000.00 to $750,000 per day depending on how tight the market is when one comes available.

Semi submersible rigs are slightly cheaper, from $450,000.00 to $$600,000.00 depending on how tight the market is when one is available.

Due to high crude prices the rig market is very tight and rigs are being kept by companies for exploitative drilling. Lower crude prices would help ease the situation and hopefully new partnerships can help with rig and/or drill ship acquisition.

We await news from people who are involved in the search. Hopefully it will be good news

http://oilport.net/news/article.asp?Id=9797

Rockhopper feathers Falklands nest


South Atlantic explorer Rockhopper Exploration has signalled that its prospect inventory could now contain as much as 4.4 Bn bbl of oil based on the results of new seismic data from two of its licence areas to the north of the Falkland Islands.

Rockhopper said today that the results of the 850 km of 3D seismic over its PL032 and PL033 licences in the North Falklands Basin which included acreage where two wells were drilled in 1998 - suggest prospects which could contain up to 1.9 Bn bbl of unrisked recoverable reserves of oil and 1.2. Bn bbl on a P50 unrisked recoverable reserves basis.

This is in addition to the 2.5 Bn bbl of oil Rockhopper has previously suggested for its two other licences, PL023 and PL25, also in the North Falklands Basin, taking the overall total to a possible 4.4 Bn.

Rockhopper declared: The new mapping has identified five hydrocarbon plays in the acreage and confirmed the presence of multiple drilling targets. In addition, the 3D seismic has revealed that one of the exploration wells drilled by Shell in 1998 which
(amongst other oil shows) encountered a thin sand with good hydrocarbon shows,is actually located at the very edge of a fan prospect which appears to thicken towards its centre.

Looks like BHP/FOGL have missed 2 boats as well as the plane Markymar.

LOCAL DEVELOPMENTS:

DIRECTOR OF MINERAL RESOURCES REPORT FOR 21 FEBRUARY 2008

By Phyl Rendell

Borders & Southern Petroleum 3D Seismic Survey

Borders & Southern Petroleums 3D seismic survey was completed on 13 February 2008. PGSs survey vessel Ocean Explorer came to Stanley for a final crew change on the weekend of 16 February and will shortly leave the area along with their chase boat Amber G. The survey took a total of 108 days to complete and the data obtained covers an area of 1492km. A Marine Mammal Observer on board the vessel reported 102 separate marine mammal sightings including one of 2 Blue Whales on the 19 January. Seismic Data interpretation ongoing.

Desire Petroleum and Rockhopper Exploration have been working on seismic data interpretation. Rockhopper Exploration now has a large 3D data set covering their northern blocks and report that following processing, interpretation work is revealing potentially encouraging hydrocarbon indicators.

Desire Petroleum has well site survey data having utilised the Wavefield vessel Bergen Surveyor, to acquire the data in December. Desire Petroleum is now a step closer to being ready for drilling when rig availability improves. BHP Billiton took over operatorship of Falkland Oil & Gas Ltds licences in the South Falkland Basin on 1 January. BHP now report on exploration progress to the Falkland Islands Government. A visit to the Islands by a team of BHP representatives is proving difficult to organise due to flight availability and all the key players being free to travel on a given date. Unlike our other licensees, BHP has a multiple exploration programme world wide and their staff need to be available to work on a number of projects. BHP will however be represented at a Joint Operators Meeting to be held on 7 March at BGS in Edinburgh and FIG will have a separate meeting with them on 6 March.

Environment Impact Assessment Activities

Rockhopper Exploration, Desire Petroleum and BHP Billiton are actively preparing EIAs for their licensed areas in preparation for drilling.

Oil Meeting and Marketing Events

A Joint Operators Meeting (JOM) has been arranged at the British Geological Survey offices in Edinburgh on 7 March. The Director will attend and will also meet with individual companies to get an update on their programmes of work.

The American Association of Petroleum Geologists (AAPG) convention is to be held in San Antonio, Texas from 20 to 23 April. FIG will have a stand in the exhibition hall in order to promote the Falklands as an oil exploration area. It will also be an opportunity to meet other oil companies and follow up on any business with BHP Billiton who operate the Falkland licences from their Houston office. Falkland Gold & Minerals Ltd cease exploration activity FGML are in the process of closing down their operations at Goose Green. The company has met all its obligations and has supplied FIG with an excellent geological data set. FIG will continue to have a dialogue with FGML until the expiry of their licence in 2009.

Its such crazy nonsense, have been holding these for about 10yrs and when the price was 10$ a barrel it wasn't commercial to drill and they'd wait until the price improved to about 20$. Now we're at 100$ and they have this terrible excuse of not affording a rig! At this price they could have one specially built surely. Is anything ever going to happen out there or is it a case of directors stalling as long as they can milk an idea. Wait too long and there will be another price crash/oil won't be needed

And Markymar, are you employed by Desire? because for almost as long as i've been a holder - prob 10yrs you have so diligently and without losing faith posted almost daily here. Such a waste of your life if you're not mate. I really hope it comes off for your sake as well as mine and hope you are a very big shareholder :)

Directors are interested to earn on interest not manage a rig. I dont see they are gona manage in even next 3 years. They just give rubbish news and nothing practical. I think I have to off load now.

Hi Robstuff,

Its been a long road the last 10 years but also a learning process on the way, I was told from a good source at the time that shell hit free flowing oil and the well was capped hence I bought shares what I missed out was oil was 10 a barrel and the oil they found was not viable to extract hence shell left and RKH have taken there licence over.

RKH have now said they had free flowing oil to the surface it just wasnt viable at the time..$10 we are now at $100 a barrel and a lot of seismic work has been done in that time.


Its not a matter of if oil is found but a matter of when we drill, the geology is right and I trust my source and my contacts, last time they went drilling the share price went to 5 a share and the only held a small amount in the licences.


Rob its down there we just need a rig and squirrel 2 years you get 10% tax on profits, Billiton are saying they will drill 2 holes before 2010 in there contract so even if RKH and DES dont get a rig before then they will share Billtons 2 more years tops.


They talk of billions of barrels down there all five companies done seismic ect ect .. You need just one field to be drilled and commercial oil to be found and every thing else gets a price tag on it.


I have my lottery ticket and held it for the last 10 years and keep buying more in RKH and DES I have now 2 years to be proven right or wrong but before the drill bit goes down i will make my million either way.


ROB if i get it wrong i hope yr going to help a old soilder out and his other half...LONG LIVE KING KEV now thats dreaming.

DIRECTOR OF MINERAL RESOURCES REPORT FOR 21 FEBRUARY 2008

By Phyl Rendell

Borders & Southern Petroleum 3D Seismic Survey

Borders & Southern Petroleums 3D seismic survey was completed on 13 February 2008. PGSs survey vessel Ocean Explorer came to Stanley for a final crew change on the weekend of 16 February and will shortly leave the area along with their chase boat Amber G. The survey took a total of 108 days to complete and the data obtained covers an area of 1492km. A Marine Mammal Observer on board the vessel reported 102 separate marine mammal sightings including one of 2 Blue Whales on the 19 January. Seismic Data interpretation ongoing.

Desire Petroleum and Rockhopper Exploration have been working on seismic data interpretation. Rockhopper Exploration now has a large 3D data set covering their northern blocks and report that following processing, interpretation work is revealing potentially encouraging hydrocarbon indicators.

Desire Petroleum has well site survey data having utilised the Wavefield vessel Bergen Surveyor, to acquire the data in December. Desire Petroleum is now a step closer to being ready for drilling when rig availability improves. BHP Billiton took over operatorship of Falkland Oil & Gas Ltds licences in the South Falkland Basin on 1 January. BHP now report on exploration progress to the Falkland Islands Government. A visit to the Islands by a team of BHP representatives is proving difficult to organise due to flight availability and all the key players being free to travel on a given date. Unlike our other licensees, BHP has a multiple exploration programme world wide and their staff need to be available to work on a number of projects. BHP will however be represented at a Joint Operators Meeting to be held on 7 March at BGS in Edinburgh and FIG will have a separate meeting with them on 6 March.

Environment Impact Assessment Activities

Rockhopper Exploration, Desire Petroleum and BHP Billiton are actively preparing EIAs for their licensed areas in preparation for drilling.

Oil Meeting and Marketing Events

A Joint Operators Meeting (JOM) has been arranged at the British Geological Survey offices in Edinburgh on 7 March. The Director will attend and will also meet with individual companies to get an update on their programmes of work.

The American Association of Petroleum Geologists (AAPG) convention is to be held in San Antonio, Texas from 20 to 23 April. FIG will have a stand in the exhibition hall in order to promote the Falklands as an oil exploration area. It will also be an opportunity to meet other oil companies and follow up on any business with BHP Billiton who operate the Falkland licences from their Houston office. Falkland Gold & Minerals Ltd cease exploration activity FGML are in the process of closing down their operations at Goose Green. The company has met all its obligations and has supplied FIG with an excellent geological data set. FIG will continue to have a dialogue with FGML until the expiry of their licence in 2009.

The core from drilling activities will be retained by FGML at Goose Green until the end of the year. It has considerable scientific interest and it is proposed that some of the geologically significant material will be preserved long term for research purposes. Dr. Phil Stone from BGS visited the Islands at the end of January to advise FIG on FGMLs data reporting and the future of the core that would have specific interest to future research.

Desire Petroleum plc
('Desire' or 'the Company')

Temporary suspension

The Board of Desire Petroleum plc has today requested a temporary suspension of
trading in the Company's shares on AIM. This suspension has been requested
pending an announcement, expected to be made later today, at which time trading
in the shares is expected to recommence.

For further information please contact:

Seymour Pierce
Jonathan Wright 020 7107 8000

just hope it's a rig

could they have secured a rig?? Markymar - your million might not be far off! or could there be a problem with the co? uhh oh - anyway guess we'll know later today

markymar - like the desire football team

Rob i expect good news later today!

CO is ok