Elixir Petroleum

AIM EPIC : ELP

(ASX EPIC : EXR)

Web Site : http://www.elixirpetroleum.com/

Elixir Petroleum Limited is an Australian company with a focused strategy of North Sea Exploration. The company is listed on the Australian Stock Exchange (ASX) and on the London AIM market
Elixir believes that the United Kingdom Continental Shelf region of the North Sea (UKCS) remains highly prospective for oil and gas exploration. The area also benefits from low political risk, relatively attractive fiscal conditions and established oil and gas infrastructure. Changes to the licensing regime in 2003 provided improved access for junior explorers. They created the opportunity for Elixir to rapidly build a portfolio with exposure to meaningful and prospective targets in the region.
The company listed in Australia in July 2004 with interests in one UK Licence covering Block 21/6b. Interests in five further UK licences were added in September 2004 as a result of the 22nd UK Licensing Round. One further licence was acquired in December 2004. Elixir has interests in 6 licences being awarded in the 23rd UK Licensing Round. This addition takes Elixir's portfolio to interests in 13 UK exploration licences covering 18 North Sea blocks.
Elixirs primary objective is to establish a successful North Sea focused oil and gas exploration and production business. This will be achieved through advancing exploration of prospects on its existing Licences, attracting farm-in partners for drilling wells on these prospects, progressing any discoveries to commercial production and aggressively pursuing opportunities to acquire further interests in prospective North Sea acreage.
The company is targeting participation in a minimum of five exploration wells over the two years from May 2005. With the best five prospects having an average success case reserves potential greater than 20 million barrels of oil net to Elixir, a discovery would have a material benefit to the company.
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** As with all O+G exploration, there is considerable risk involved, so not for widows or orphans !!
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Oz chart for Elixir (ASX:EXR)

Two to three more weeks to go before news on the Jaguar drill, which is a potential company maker for ELP.

Info on the Wildcat Jaguar Drill :

Link 1 (Jaguar Drill Commences)

Elixir/Jaguar Info Link 2

Elixir/Jaguar Info Link 3

The price has recently risen in Oz (ASX:EXR) and this is with no news, normally a bullish sign when this happens, and now interest has picked up on AIM too, so although high risk, good news might be coming.

The upside is massive if Jaguar strikes a good oil find, just a week or two to go now to find out.

The link to the Oz price is below :

ASX EXR Price

This is the Oz ASX chart for Elixir.

Certainly the forgotten big Jaguar drill is being remembered now.

Tomorrow on Oz will be most interesting, if it spikes up in Oz, things will get much hotter on AIM.

Solid day, now we wait and see what happens on the ASX over night :) Hoping for another solid rise on there too !

Strong shake at the end, but the on line limits give it away, they are short of stock.


Buy just 750 @ 41.4p
Sell 100,000 @ 39.65p

PP

I do enjoy reading your posts, very informative. The reasearch you do is excellent. You are obviously an experenced investor. This one is a bit too blue sky for me, having said that I'm up to my neck in GMC, but no doubt it'll be my loss. Good luck with your investments.

MS

mickeyskint, just an interested investor who likes to share any research or info with others, the more we share, the more we all know.

ELP is a high risk play, so its not going to be for everyone.

GMC, a good play, the sector is going to be hot in 2006 I think, and why I am building a position in BIT (they go IG live in Q1, a big change of direction, but big potential for them too as such a small market cap now)

The Oz price of EXR is rising again, up over 7% in initial trading.

Checking around, and with those with highest impact to Jaguar Drill news, there was a trend yesterday, a strong rise up.

This was seen in both Elixirs' listings ASX:EXR, AIM:ELP and also in Rocksource (www.rocksource.com)

Rocksource use cutting edge technology and methods to derisk frontier drilling.

They were farmed in by DNO for 10% rights to Jaguar.

Yesterday their price went up 12% in Norway on no news.

Read into that whatever you wish to, but for those who want to see it what way, then rises in Norway, Australia and UK
and all on the same day, points to some positive indications from ongoing drilling possibly.


Their share price is in the chart below, latest price and weekly chart (Oslo ticker RGT)

Good start to the day today again !!

The rig drilling the Jaguar prospect for Elixir is the Bredford Dolphin, for those with an aversion to taking a look, in the link below is a photo and details on it. 93 living quarters on it, its not a small rig, as you can see by it being able to do 4000MT.

http://www.dolphin-doc.no/index.asp?tid=8020&sid=8064&title=Bredford+Dolphin

Solid and stable, ready for the next two weeks up to drill results.

High risk, but with over 10 bagger potential on a good result, high risk players will be moving in.

PP
Do you seriously think the sp could increase to 4 in the next two weeks?

Ted1, the drill is potentially a several hundred million barrel find. North Sea light is worth plenty of money, just in the ground (I think around 13$). If ELP have around 200mmbo after this drill, their market cap is then 200 million x 13 from just oil in the ground, if they proceed to pull it out with other drills, then their market cap goes up with it.

Its very high risk, but the upside is massive too. Not for non risk takers, as a high chance the well will be dry and not flow commercially.

Hmmmm......
Still thinking about it..
Many thanks

Ted1, just be sure you understand the risk.

If its dry its not the end of the world though, ELP have cash in the bank and also lots more drills planned and also licenses to explore. If its dry I would expect the price to go down to around 25p, before recovering again later in the year.

So its high risk stuff, and obviously, the higher the risk the higher the potential gain.

I hear what your saying but 4 quid or more in 2 weeks jesus....
when do you expect to hear if the well has oil or not.

Looks like the mm's trying to shake this out, plenty of buying still coming in 2 x 100k buys etc....
Makes you think risk/reward......

Ted1, sorry, not 4 quid in 2 weeks.........................

It should be a 10 bagger in a period of time, from hitting any oil, 2 weeks is a little too quick :) !! A number of months could be correct, depending on hitting oil and the size of the oil IF ANY !