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

If the Argies are serious why don't they search for oil inside their uwn territorial waters like the Brazillians. You can't take Argies seriosly they just use the Falklands as a political football.

I guess 32p at some point today.

http://en.mercopress.com/2009/03/30/falkland-islands-government-we-wish-to-remain-british

Falkland Islands government: We wish to remain British

knocking on the door at 32p again!!!

Breakout !

Byron marine are manning a stand this week at an exhibition in Southampton aimed at Offshore Survey work..NOCS Expo..

Personally would like to see 33p.

http://www.bgs.ac.uk/falklands-oil/download/news.pdf

Falkland Islands Government
Department of Mineral Resources

Newsletter April 2009

Bollinger Bands

DES.L has closed above the upper band by 0.7%. If the price is in a uptrend; then this upward trend has a good chance to continue. above the upper band by 0.7%. If price is in a uptrend band; this upward trend in price might continue. However a short term pullback inside the band is likely.Bollinger Bands are 56% narrower than normal. The narrow width of the bands suggests low volatility as compared to DES.L's normal range. The bands have been in this narrow range for 3 bars.

More volume today!!

Bollinger Bands

DES.L has closed above the upper band by 14.4%. If the price is in a uptrend; then this upward trend has a good chance to continue. above the upper band by 14.4%. If price is in a uptrend band; this upward trend in price might continue. However a short term pullback inside the band is likely.Bollinger Bands are 45.7% narrower than normal. The narrow width of the bands suggests low volatility as compared to DES.L's normal range. The bands have been in this narrow range for 10 bars.

RKH is the yellow line and is up 23% Desire in blue will follow and i think she will blow today with news of results soon and the AGM coming up soon and maybe the long awaited news of we have a rig.

Both of them are showing good volume and plenty of buys.

she has blown!!!!! 17% up

http://www.byronmarine.co.fk/index_files/Page488.htm

Offshore hydrocarbon exploration will yield for the Falkland Islands, new and exciting business opportunities. Bryon Marine is desirous of cutting its business future on that anticipated exploration activity. We would be pleased to offer you our services and work with you.

well done marky.

Bollinger Bands

DES.L has closed above the upper band by 20.2%. If the price is in a uptrend; then this upward trend has a good chance to continue. above the upper band by 20.2%. If price is in a uptrend band; this upward trend in price might continue. However a short term pullback inside the band is likely.Bollinger Bands are 0.3% narrower than normal.

Next Resistance is 43p and i think we will test this today,there is plenty of volume with good strong buys coming through....am sure we will try to get passed 43p a few times today and it will fall back but 50p next stop today!!!! i hope!!!

From Jac on iii who i respect as a poster.

Spoke to Ben Romney 10 mins ago and asked him about the recent mini price rise and whether it was significant with regards to next week and a rig etc etc.
He said we will be given a full overview with regards to the rig situation but obviously could not go into specifics now but that retail investors would have a full picture of what was happenning(whatever that means!)
I asked him talks were still ongoing and he said that they were but that we would be fully enlightened on wednesday to what the position is and what is going to happen!
Good luck everyone!

news will be a relief tomorrow afternoon for many old timers....including you dit...wherever you are.

Preliminary Results

http://moneyam.uk-wire.com/cgi-bin/articles/200904220700119388Q.html

MoneyAM
"North Falkland Basin-focused oil explorer Desire Petroleum posts a pre-tax loss of $1.8m after a "frustrating year".

Results for the year to the end of December show the loss increasing from $0.6m in 2007 with the firm having cash in hand of around $40m.

Chairman Stephen Phipps said 2008 was an excellent year of progress, building the prospect inventory and attracting a substantial new partner.

But he added: "Frustratingly, we were unable to hire a rig to drill on behalf of us and our partners in the North Falkland Basin.

"Notwithstanding the general unavailability of rigs due to the high utilisation rates and the resulting very high day rates, we were also hampered by the rig owner's demands for long term contract times (typically two to three years), and their reluctance to commit to a rig programme in the remote location that is the North Falkland Basin." "

Desire Petroleum (DES), the oil and gas company focused on the Falkland Islands, said it made a loss of 1.77 million dollars for the year to 31st December 2008 on the back of a 44.6% fall in revenues to 1.14 million dollars for the period. Shares in the company fell 0.5p to 35.25p on the news. The company which agreed a farm-in partnership with Arcadia Petroleum earlier this year said its results were impacted by problems it faced in hiring rigs for its projects in the North Falklands basin. The firm said it has 15 prospects in inventory and 40 million dollars in cash to take advantage of opportunities on the site. Desire Chairman Stephen Phipps said: The biggest challenge facing Desire over the next months is to secure a suitable rig at a suitable price from as close to the North Falkland Basin as possible. The deepening global economic recession is having a noticeable impact on the drilling rig market.Despite the oil price fall the fundamentals of Desire's projects remain unchanged and with our very attractive prospects the economics of any discovery should be exciting. Commenting on the news, Broker Seymour Pierce said: Four top prospects have been selected for drilling first and these have a combined gross reserve potential of a massive 3.3 billion barrels in oil equivalent terms. With the rig market continuing to soften we feel it is increasingly likely that a rig will be secured on acceptable terms and that is when the excitement begins. However, now is the time to buy the shares.

Desire still hunts for rig

http://www.investorschronicle.co.uk/Companies/ByEvent/Results/default/article/20090428/e4caafa2-3011-11de-b6eb-00144f2af8e8/Desire-still-hunts-for-rig.jsp

Created: 28 April 2009 Written by: Martin Li

Having identified four top exploration prospects in the South Falklands Basin, Desire Petroleum chairman Stephen Phipps is disappointed that the company still hasn't been able to secure a drilling rig.

The biggest challenge remains persuading a rig owner to float a platform down to the Falklands at a commercially viable rate, as the remoteness of the Falklands makes it time-consuming and, therefore, expensive to get a platform there. Mr Phipps believes Africa to be the best source and is in discussions with several owners - he remains optimistic as rig demand and rates are falling, while sharing a platform with a fellow Falklands explorer would spread the 'mob/demob' costs. In fact, the sales of interests to Arcadia Petroleum and fellow Falklands explorer Rockhopper Exploration will allow Desire to drill two wells at no cost, while existing cash should be enough to cover the costs of the other two initial wells.

Mr Phipps doesn't think the technical challenges of drilling in the South Falklands are insurmountable, either - water depths are 200 to 400m, against a maximum drill depth of 2,600m, and the climate isn't extreme. However, it might be a different matter if Desire were to make a discovery. A gas find would require pipelines or liquefaction, and could be a major technical challenge, although after several frustrating years this would, at least, be a good problem to have.