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

Top share performer today...

Unless yopu compare it to AST up 433%!!

Hi all

Yes AST is up 433% but is there any goood news with this company? It has only just floated on the AIM on the 10/11/04 & doesn't have any history to compare with this rise. Yes I'll stick it in my watch list as its may be worth some consideration. Anyway not much resistance today for DES, idices are all looking better. Looks good for another rise.

Good Luck All

Eddie

If you bought Desire at start of year you would be up about 450% so i would say share of 2005 and will be share of 2006 as well!

Regards markymar.....Oily?

Eddie, just caught up on the historical side of the share and I like the IMHO side of the fence, so to pick you brain if I can, lets say the rigs moving towards the atlantic (see entry 263) prove to be an assest to DES and things go well in the negotiations to find a partner to start work, whats the SP for year end, predictions IYHO.

thanks watcher

Last time in 1998 when oil was $10 a barrel the high was about 4.80p but there are more shares in circulation but the prospect are even greater than in 1998 so who knows.

cheers for that Marky, looks like I might have done the right thing and got in at 61p. will have to sit tight and watch things unfold then. thanks again

watcher

watcher its going to be a roll coaster ride you will not forget for the rest of your life.


Its also warming up next door to the Falklands in 5 years time it will be like a boom town.

Petrobras Energa Wins Exploration Contract Offshore Argentina
Business News Americas (BNamericas.com) 11/16/2004
URL: http://www.rigzone.com/news/article.asp?a_id=18081
Argentina's government has awarded the local unit of Brazil's federal energy company Petrobras (NYSE: PBR), Petrobras Energ, a contract to explore for oil and gas in two blocks offshore Buenos Aires province, according to a resolution published in the official gazette.

Petrobras Energ was the only bidder for the blocks.

The company expects to sign the contract for the blocks this week or next, Petrobras Energ spokesperson Paula Totonelli told BNamericas on Monday, describing the resolution as a "first step" that brings signing the contract closer.

"In reality this will have two stages, the first was the award of the blocks, but we still need the approval of the authorities here [in Buenos Aires province], so we can't officially say it's done yet," Totonelli said.

Both blocks are deepwater. One is 220km east of the coastal city of Mar del Plata and the other 420km south. Mar del Plata is 400km south of Buenos Aires city.

This would be Petrobras Energ's first offshore project in Argentina, and it would likely partner with a major oil company that has experience in offshore work or with its parent company Petrobras, a different Petrobras Energ source told BNamericas in October.

One possibility is partnering with Argentina's proposed state-owned energy company Enarsa.

Totonelli said details of the exploration plans would be made available when the contract is signed.

Petrobras Energ plans to invest US$1.4bn in the period 2004-2007, most of which will be concentrated on oil and gas exploration and production in Argentina
URL: http://www.rigzone.com/news/article.asp?a_id=18081

marky, I am in a couple of roller coaster rides at the mo so one more won't hurt. Thanks for the post and hope, if I am reading this right this indicates the drilling unit atlantic bound is going to be kept busy by DES and not for the argie developments.

watcher

Topped up last couple days , 14k of shares ! Hope it works out !!

Anybody any thoughts.

Is there any advantage, given the same deal and terms, to Shell being Desires
farmin partner as opposed to say Talisman (or whoever).

Are there farmin partners more suited than others to a company like desire.

Hi all

Not much gone on today. Des didn't seem to trade bellow 0.52p, so may be getting some support at this level. The lowes of the past three days have got higher but the high hasn't moved up past 0.55p. So it looks like the proffit takers have reduced. Just need buyers to get going again. I think up or sideways for tomorrow. Lets hope for up!

Good Luck All

Eddie

I think there are quite a few potential drilling co-venturers around at the moment due to the return of sentiment for the Falklands. However, it all depends on people signing up for the adventure. I guess that is the first stage.

I'm sure Desire would like to drill in 2005, rig rates will increase beyond then so it would be a good move. The more wells, the more partners, the cheaper it is for everyone and success will come earlier, but commitment is required! It all boils down to cost, .. .. .. dollars.

Marky, do you consider it likely that Desire would move forward with only one farmin partner rather than a consortium of "smaller" companies?

Surely we stand a better chance of a good deal through negotiation with only one party.

Your thoughts (or others) are very welcome

is there any history of farmin partners being split, to kick start projects like this? If you can get the support of one major then that has got to be good for stability and long term investment plus would stop wrangling with competition? That is if a major is interested in DES.......any comment/light

watcher

Yesterday on Bloomberg Shell said that it was allocating $3 billion for exploration in the Asia, Pacific region where ever that is. So don't think they will be partners with DES.

MS

I think they are likely to partner up with desire, because this is such a rich source area and Desire have the rights, they're sitting on a massive asset which once finance obtained or farm ins negotiated, (my guess is that they'll go it alone on half of it by way of further share issues), will rocket the share price up into pounds rather than pence, and lets face it, most oil majors need a big new field to sustain reserves in the coming years. I think they'll soon announce one or two deals, maybe before Xmas.

robstuff, in business terms that probably means we are round the table next week with desire and keeps the competition away. You can't beat a bit of curve ball negating to make the news release a bigger splashdown than the normal. still predicting before christmas would be great news

watcher

Hi all

Well unfortunatly DES went down today. Look on the bright side so did most of the main indices. This means that DES isn't out of favour it's just the market wasn't putting money in. Trading in DES was low. Total buy's 371.122. Total sell 748.122. Total unknown 32.482. Total trades of 1.153 million. On the 11/11/04 the trades total was 18 million. This came on the back of Desires good news anouncment. So to me it looks like its mainly the small share holders going into panic. It was the 100,000 share buy at the end that saved DES from closing at 0.49p. So lets look forward to next week. Who knows, maybe we might have some good news to fuel this rocket.

Any thoughts anyone?

Good Luck All

Eddie

I will continue to hold at an average of 40p until the next news when they should spurt to 60p again...next week we can expect further news so no problems .