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

robertalexander

I wish I could give you an answer to when we will drill, the only definite thing which stands out is FOGL who has sighed an agreement with BHP to drill the minimum of 2 holes within 3 years and worst case is we have to wait 3 years to share the rig with FOGL.
FOGL might be ready to drill at the end of this year. Who knows?


Another thing worth pointing out here is the meeting which is to be held in Edinburgh, as long as am aware all Falkland oil companies will be there and BHP and maybe some other companies and I suspect we will get and update within the next 10 days, So I fear you may miss the boat

http://www.sartma.com/art_5023.html

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 share price hit 4.45p at its height here is a story from back in 1998 and the share price was said it could hit 42 ,am not a greedy man so if anyone wishes you can have my shares for 40

http://www.thisismoney.co.uk/news/article.html?in_article_id=393501&in_page_id=2&in_a_source=

Another story I like was last years which is a good read; its the 25 billion it could be worth

http://news.bbc.co.uk/1/hi/business/6571431.stm


Rob lets see your calculation on the share price

A good sign of some 1 in the know.



RNS Number:9062O
Desire Petroleum PLC
28 February 2008



Desire Petroleum plc
(the "Company")

Director Shareholding

The Company was notified on 27 February 2008 that Byron Holdings Limited, a
company of which Lewis Clifton, a non-executive director of the Company, is a
director and shareholder, acquired 200,000 ordinary shares in the Company at a
price of 53.125p per share on that date. Following this acquisition, Mr Clifton
is beneficially interested in 1,612,500 ordinary shares in the Company,
representing 0.7 per cent. of the issued share capital of the Company.

http://www.upstreamonline.com/live/article149554.ece

Seadrill taps profits gusher

By Upstream staff


Norwegian outfit Seadrill reported a bigger-than-expected jump in fourth-quarter operating profit and painted an upbeat picture for 2008 with high oil prices stoking demand for its drilling rigs.

Operating profit rose to $110 million in October-December from $79 million in the same quarter in 2006, beating an average forecast of $105 million in a Reuters poll of 13 analysts.

On the back of a favourable tax ruling and developments at its Seawell unit, Seadrill's EPS surged to $0.56 from $0.14 a year earlier, smashing an average forecast of $0.16.

Seadrill, worth $10 billion, said its main challenge in 2008 will be to take delivery and commence operations of the eight newly built rigs scheduled for delivery this year.

Several years of all-out growth, fuelled by surging oil prices, has resulted in delays in new rig deliveries by the offshore services sector, but Seadrill said its programme was "progressing according to plan with only minor delays".

It said that it has received several contracting proposals for its available rigs but has been hesitant to conclude talks.

"The board is...reluctant to conclude (deals) since it is likely that the increased new building costs, high demand and limited rig availability combined with increased oil prices will push up day-rates further," Seadrill said in a statement.

Bermuda-based Seadrill repeated that its first quarter results would be hit by down-time at a drillship but reiterated that it expected a "significant increase" in revenues as its fleet expands later in 2008 and in 2009 and as dayrates rise.

The company has a fleet of 37 drilling units, including 13 still under construction. It did not envisage any difficulties in gaining the $2 billion to complete its programme.

"The board sees no risk to concluding this financing," Seadrill said.

Seadrill said it has placed a new $131 million order for a self-erecting tender rig, with delivery expected in the first quarter of 2010, but added that the outlook for new builds has deteriorated after a spree of orders worldwide.

"The long lead-time from order to delivery, the increased construction prices and the lack of operational cash flow in the construction period makes newbuildings projects less interesting today than two years ago," Seadrill said, adding that it was continuing to eye potential acquisitions.

"Several groups are currently ordering deepwater rig capacity...(and) these initiatives may represent opportunities for consolidation for Seadrill at a later stage," it said.

Seadrill added that it would probably reject outstanding third party bids for Odfjell Invest and Scorpion Offshore.

Falkland Islands Holdings PLC

Statement re share price movement

28 February 2008

Falkland Islands Holdings PLC ("FIH") notes the increase in its share price
which may be attributable to the announcement by Desire Petroleum PLC of a
farm-in agreement and drilling of exploration wells in the North Falkland basin.

FIH announces that the potential acquisition of a UK based company, which would
be partly financed by the issue of new FIH shares, is at an advanced stage of
negotiation.

http://business.timesonline.co.uk/tol/business/markets/article3456355.eceFebruary 29, 2008

A desire to be in the Falkland Islands

Small capsRobert Lindsay

Its all happening in the Falkland Islands. Shares in Desire Petroleum, which has just agreed terms with a large development partner off the Falklands, jumped another 12p to 64p on director buying. Rockhopper Exploration, which is also in the area, gained another 10p at 66p.

Falkland Islands Holdings, the owner of shops and fisheries rights on the islands, rose 30p to 417p after it said that it was close to a share issue to fund a UK acquisition.

http://www.mercopress.com/vernoticia.do?id=12766&formato=HTML


Desire announces farm-in deal

Falkland Islands: Weekly Penguin News update

The times online.....i think they got it wrong


"Falkland Islands Holdings , up 7.7 per cent to 417p, attributed its share price rise to Monday's news from Desire Petroleum of a partnership to develop assets around the South Atlantic outcrop.

FIH also said it was in acquisition talks. The target is not thought to be one of the other quoted oil groups that operate around the islands. Desire closed up a further 23.6 per cent to 64p. Its shares have almost doubled this week since the farm-in deal with FIH.
"

http://www.offshore247.com/news/article.asp?Id=9897

FOGL in acquisition talks

Friday, February 29, 2008


Falkland Oil and Gas is considering an offer for the possible acquisition of UK based company after entering talks about a possible deal.

FOGLs has disclosed that the company is in advanced talks over the possible acquisition of a UK based company which would be part-financed by a share-issue.

FOGL already runs several businesses in the Falkland Islands in the South Atlantic and the UK Portsmouth Harbour Ferry Company.

A year ago the companys share price was trading at around 75p but yesterday it was trading at 130p.

Three days ago Desire Petroleums own shares were temporarily suspended from trading on Londons Alternative Investment Market and the company later announced a major farm-in deal for some of its South Atlantic Licences.

Its a mess!!!!

http://www.ft.com/cms/s/0/5e1f000e-e669-11dc-8398-0000779fd2ac.html

Falkland Islands Holdings , up 7.7 per cent to 417p, attributed its share price rise to Monday's news from Desire Petroleum of a partnership to develop assets around the South Atlantic outcrop.

FIH also said it was in acquisition talks. The target is not thought to be one of the other quoted oil groups that operate around the islands. Desire closed up a further 23.6 per cent to 64p. Its shares have almost doubled this week since the farm-in deal with FIH.


"The target is not thought to be one of the other quoted oil groups that operate around the islands."

"Its shares have almost doubled this week since the farm-in deal with FIH. "

Who teachers these people to write..

markymar - what's your view on FOGL?

leave them alone RKH are a buy

DES market cap 155 mill they have 5 to 6 billion as well and shallow water...news to follow soon

FOGL..............125 mill....very deep targets

RKH...............52 mill.....bargain they have 5 to 6 billion as well and shallow water

BOR .............127 mill....

cheers markymar, appreciate that. might just pick up some RKH

http://www.blocparty.net/uploaded_images/pugwash.gif

Ho Ho Ho

http://www.thisisnorthscotland.co.uk/displayNode.jsp?nodeId=149212&command=displayContent&sourceNode=150624&contentPK=20040439&folderPk=85744&pNodeId=150607

ROCKHOPPER SAYS NEW FALKLANDS DRILLING CAMPAIGN JUSTIFIED

08:50 - 03 March 2008





Uk independent Rockhopper says it has identified five oil and gas plays with a recoverable reserves potential of billions of barrels offshore the Falkland Islands and that there is a "substantial increase" in drillable targets.

Moreover, drilling by Shell 10 years ago may have just have caught the edge of one of the targets as oil was encountered by two wells drilled in 1998, one of which resulted in oil being brought to the surface.



Rockhopper's chairman, Dr Pierre Jungels, said: "We now have sufficient drilling targets to justify a drilling campaign, whether that means farming out or obtaining a rig as operator. Now that we have a larger number of potential drillable targets we can also begin to accelerate our search for a rig.

"The quality of the 3D seismic data, and the further insight into the basin it has allowed us, is extremely encouraging.

"In my experience, we now have a very high-quality prospect inventory from which to select a number of drilling locations. Work will now focus on refining the prospect inventory, including those previously identified in licences PL023 and PL024, in preparation for drilling or farming out."

The initial phase of Rockhopper's mapping covered North Falkland Basin licences PL032 and PL033, where 850sq km of 3D seismic data was shot in 2007.

The 1.9billion barrels figure is the "unrisked" estimate, compared with a "P50" calculation of circa 1.2billion barrels.

Rockhopper says its list of prospects does not include a number of additional leads which are still being investigated.

In addition, prospects have already been identified on licences PL023 and PL024 which the company reckons have P50 unrisked recoverable reserves of 2.5billion barrels.

Crucially, Rockhopper notes: "The 3D seismic has revealed that one of the exploration wells drilled by Shell in 1998, which (among 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.

"The directors (of the company) now believe that this thicker part of the fan prospect could therefore contain commercially viable accumulations of hydrocarbons."

The acreage, now held 100% by Rockhopper, was previously held by Shell, and two wells were drilled in 1998. Well 14/5-1 encountered oil &gas shows; well 14/10-1 saw oil recovered live to the surface.

The Rockhopper 2007 3D seismic survey overshot the well locations and also the unexplored eastern basin margin, which is currently an untested oil play.

"The data confirm the prospectivity of the acreage and have further reduced the exploration risk as more play types have been identified," said the company.

Rockhopper says it is to start advanced work on the data, which will include AVO (amplitude versus offset) analysis, imaging studies, geochemical modelling, further detailed log analysis, depth conversion and reservoir modelling. Among techniques already applied is CSEM. The company ran two controlled source electromagnetic surveys in the North Falkland Basin, both of which indicated the presence of discreet resistors in the area of the targets. It was in 2006 that Rockhopper contracted Offshore Hydrocarbon Mapping (OHM) of Aberdeen to conduct the surveys early that year. They covered prospect J1 and lead K. Those areas were also the subject of a 2D seismic survey, also acquired during January and February, 2006.

An extract from Evil Knievil's diaries on t1ps.com

He suggests a target price of 3.50 when drilling commences.

He hopes to suck a load of newby investors in and will bail out well before 3.50. He will then recommend DES as a raving short and make more money as the newbies panic and sell.
-------------------------------------------------------------------------------
A new week, a new record for oil

By Upstream staff


US crude oil futures surged to a record high as the weak dollar fueled commodities and geopolitical tensions kept bullish momentum intact.

Nymex April crude was up $1.55, or 1.52 %, at $103.39 a barrel, trading from $100.77 to a record $103.95, pushing past Friday's record $103.05.

In London, April Brent crude rose $1.55, or 1.55 %, to $101.65 a barrel, moving from $99.20 to $102.29.

Dont really understand which company is leading the charge, is it FOGL or DES? DES states that their farm in agreement with a yet to be named party for drilling two wells free of charge, and two more at their own expense,plus the two wells to be drilled by BLT/FOGL justify hiring a rig, which of course makes sense. However has FOGL/BLT agreed to this arrangement or is DES just trying to create a bandwagon?

halifax i think we will know a little more this week of the deal, they have the meeting in Edinburgh,all the clans will be there.

http://www.sartma.com/art_5023.html

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.

http://www.ft.com/cms/s/0/7051e8be-ea55-11dc-b3c9-0000779fd2ac.html

From today's FT:

Falkland hopes boost Desire
By Robert Orr and Neil Hume

Published: March 5 2008 02:00 | Last updated: March 5 2008 02:00

Two of the quartet of UK-listed stocks searching for oil around the Falklands closed at all-time highs yesterday.

Interest in the islands was reignited last month when Desire Petroleum signed a deal that should allow drilling to commence at some of its prospects in the region, five months after Falkland Oil & Gas struck an agreement with BHP Billiton.

Analysts pointed out that while there was evidence of oil, nobody had ever harvested commercial quantities.

Borders & Southern Petroleum and Rockhopper Exploration rose 12.6 per to 73p and 9.7 per cent to 79p respectively, both record highs. Desire rose 19.2 per cent to a 10-year peak of 79p.

Falkland Oil & Gas eased 1.9 per cent to 127p.

Pausing for breath today or the end of the surge?

I made it more buys than sells today so why the big drop? i guess a bounce will be on the cards.

Desire Petroleum downgraded to "outperform"
9:16a.m. - Seymour Pierce
LONDON, March 5 (newratings.com) - Analyst Peter Hitchens of Seymour Pierce downgrades Desire Petroleum Plc (EYX) from "buy" to "outperform."

In a research note published this morning, the analyst mentions that the downgrade in rating follows the sharp appreciation in the companys share price. The appreciation was driven by the news of Desire Petroleum's decision to farm out three of its prospects to a third party, who has agreed to pay for the drilling of two wells, the analyst says.

can you say anymore on here Marky?