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

I disagree with your statement that real shares are better than spreads on this company. A long position with a guaranteed stoploss in place will restrict any downside from a non-commercial AJ-1. If an investor is interested in the potential of Zad, new long positions can be taken at a later date once the share price hits a lower value.

Additionally, spreads are better tax-wise than real shares, and this could significantly improve an individuals finances once their interest in IPL is complete.

ValueMax, a lot will depend on any wild swings before news, if the MM's attempt to take out long and short stop loss positions by swinging wildly before any news, then they can quite easily, if you're on margin you might be forced to make calls or close, before the news comes out..........a lot will depend on how the MM's play this now.

The way I see it, real shares are just that, no pressure to sell, no margin to pay, sit and wait patiently, if AJ-1 fails, then just wait for Zad-1.

However, each to their own, variety is the spice of life.

In it's former guise as Novus Petroleum, Indago entered into a deal with Darcy Exploration whereby Darcy would introduce potential assets to Novus/Indago in return for the option to take a 25% stake in any asset which Novus/Indago purchased over the next two years (2003 - 2005). Darcy took up their 25% option in several assets. Today, those assets belong in part to Leed Petroleum, an AIM company. This morning they announced that their present drill has produced "compelling evidence that the primary target sand will be commercially productive and should exceed pre-drill expectations."

Sadly, Indago did not retain any interest in those assets following the hostile takeover of Novus in 2005, so I've created a new thread specifically for Leed Petroleum if anyone is interested.

Tricky to pick a %age stop loss which is going to be effective.
Down 5% today which may have been enough to trigger a tight stop.
If bad news comes then I can't see a non-guaranteed stop being good enough.

hmmmm obviously ValueMax coment is not the reason of this 5% drop today, HARRYCAT I am far from selling yet, even if there is some bad news, it might be some delay, they still didn't reach deep enough to say ifs something there or not...

Not long to go now until the first reservoir gets penetrated, lets see if they can keep a lid on the rumour mill......or not.

One Broker seems to think that the first target is going to be reached today. Might make monday/tuesday interesting.

If they do hit oil, is their strategy to then sell the field & move on? I seem to remember them saying that they preferred to stiick to what they were best at, which was exploration, not producing. If they sell, we should be in to the same scenario as last time with a special divi being paid, followed by a proportionate reduction in the share price.

If they don't?

See post #265 to the answer to that one, blackdown.

Interesting to see people talking about 'upsides' with specific sps prior to the issue of drilling results. How can they possibly know. Outcome might be no oil, some oil, or a lot of oil.

of course you are right, but you can assess the potential depending on 'none', 'some' or 'lots'. But as you say, no one knows for sure.

Is this a case of bad news travels fast - ie shareholders would have to be told if this was a duster; therefore the lack of news means there is something to test but this time they are managing to prevent any news leaking out?

that is weird to me as well , good or bad but is always some leak :) maybe they're just slower than they expected again...

Sharesure and last time I just gave them a call, to be honest i got nice update, of course nothing illegal :):)

Fernandesb, Think that from what I can find out, w/c 28/1 should be the most likely timing of getting into the structure provided there are no setbacks on the drilling equipment.

but isn't that normal that you get some news before? some forecasts, leaks about gas in the structure etc?

I don't think that there has been any secret about gas kicks on the way down hence the inclusion of a blow out preventer late last year. It would be unlikely that if next week the return mud starts showing oil or gas condensate that that could or would be kept quiet. The drilling team are bound to give that away.

I'd concur there, it seems like its sometime next week for getting into the structure.

Lively this morning.......