does anyone know why ramco has all of a sudden taken off today ....i cant find any news out but all of a sudden up nearly 11

Try:-
http://moneyam.uk-wire.com/cgi-bin/articles/200404081500015170X.html

Fly by Night

Red

Well, here's the preliminary results and to an amatuer eye looks to me as if it may be time to get out for a few months. A Montenegro exploration well in 1st quarter '05 perhaps looks like the next interesting time.


RAMCO ENERGY plc
("Ramco" or "the Company")

Preliminary Results for the year ended 31 December 2003

Ramco, the oil and gas exploration, production and oil services company
announces its preliminary results for the year ended 31 December 2003.

SUMMARY

Financial Results:

Turnover increased 24% to 20.8 million (2002: 16.8 million)

Losses before exceptional items were reduced to 3.4 million (2002: loss
6.8 million)

Exceptional items of 99.2 million relating primarily to Seven Heads
impairment provision announced in May

Net loss of 76.7 million after release of tax provisions

Discussions ongoing with lenders over rescheduling of project loans

E&P Operations:

Seven Heads field brought on stream at the end of 2003
Initial production level achieved of 60 mmscf/d

Major unforeseen problems encountered at the end of January 2004
Production deliberately being maintained at 25 mmscf/d, below maximum
potential

Detailed technical review of reservoir, which will underpin future
development programme, is in progress

Farm-out option over the oil potential underlying Seven Heads agreed with
Island Assets Ltd

Exploration work on our Adriatic prospects offshore Montenegro gives grounds
for optimism
Interpretation of 3D seismic data acquired in 2003 encouraging; results
indicate a range of shallow gas and deeper, very large, oil prospects

Drilling plans being finalised and farm-in partner being sought for a well
by early 2005

Oil Services
Oil Services remained profitable in difficult market conditions and
indications of steady improvement in business performance


Steve Remp, Executive Chairman of Ramco, commented:

"Our achievements in 2003 have been overshadowed by the unexpected problems at
Seven Heads. We are, however, taking positive action to stabilise our
operational and financial position, so that we are able to derive the maximum
value from the field, and exploit the potential elsewhere in our portfolio."


ENQUIRIES:

Ramco 01224 352 200
Steve Remp, Executive Chairman
Dan Stover, Chief Operating Officer
Steven Bertram, Group Financial Director

College Hill 020 7457 2020
James Henderson
Nick Elwes

Chairman's statement 2003

The production problems encountered, since the start of 2004, with our Seven
Heads gas development have obviously been difficult for the Company, and they
have demonstrated, rather forcefully, the risks inherent in our industry.

Following our successful exit from Azerbaijan in 2000, our focus has been the
Seven Heads gas field offshore Ireland. This was part of a strategy to reinvest
a large amount of capital from a high risk region of the world into a gas
development in an economically low risk area, a stable country with a growing
appetite for gas. The anticipated cash flow was destined to fund our future
exploration activities in higher risk, higher impact areas, such as Montenegro.

During 2003 the majority of the company's resources were focused on completing
the technically and financially demanding job of bringing the Seven Heads
development on stream. The field successfully commenced production at the end of
2003. We took great satisfaction in the fact that this fast track development
had been professionally managed in challenging circumstances. However, that
success has since been overshadowed by unexpected production problems. Work on a
revised reservoir model is under way and will be completed over the next few
months. That will underpin a reassessment of the field and help determine a
future development programme designed to maximise the economic recovery of the
field's reserves.

As already announced, the Board has made a substantial impairment provision
against the carrying value of our interest in the Seven Heads gas field and that
provision dominates the financial results for the year.

Financial Results

Group turnover for 2003 totalled 20.8 million, up from 16.8 million in 2002,
reflecting the commencement of gas sales under our Seven Heads gas contract and
a decline in activity levels for Oil Services. Losses before exceptional
operating items fell to 3.4 million from 6.8 million in 2002.

Exceptional operating items are however significant, totalling 99.2 million as
follows:

million
Seven Heads 93.0
Poland 5.6
Tenge 0.6
----
99.2

The Seven Heads amount relates to an impairment provision against the carrying
value of the gas field. The second item relates to a provision that has been
made against a loan due from an associated company through which we hold our
exploration acreage in Poland. Although we have discovered gas on the acreage
the area is likely to require significant further investment before
commerciality could be confirmed. At this time the Group does not have the funds
available to guarantee our continued involvement in the area. The final
exceptional item represents the estimated legal costs expected to be incurred
in our appeal against the Tenge judgement in Texas, being management's best
estimate of the outcome of the appeal.

Administrative expenses rose to 1.8 million from 1.4 million the previous
year, whilst exchange losses reduced to 686,000 from 2.8 million in 2002. Net
interest income reduced from 1.8 million in 2002 to 738,000 in 2003.

The overall result before tax for the year which, as indicated above, is
primarily the result of significant exceptional items, is a loss of 104.1
million. This loss has been reduced by a tax credit amounting to 27.4 million,
including the release of a provision for current and deferred tax relating to
the held over gain on profit arising from the disposal in 2000 of the Group's
interest in the ACG field in Azerbaijan. The Group after tax loss is 76.7
million, (2002: loss 9.3 million). The Board is not recommending payment of a
dividend (2002: nil).

At 31 December 2003 Group cash balances were 3.3 million and project loans
totalling 60 million had been drawn to help fund the Seven Heads gas
development. A further 8.6 million of project loan was drawn shortly after the
year end. Of the total loans of 68.6 million, 56.6 million is non-recourse,
secured only against Ramco's share of the Seven Heads gas reserves, the balance
of 12 million is secured against our Oil Service business. As previously
announced we are in discussions with our bankers over the possible rescheduling
of these project loans. Our bankers have confirmed that it is not their
intention to withdraw the finance facilities while the technical work and
negotiations are ongoing.

As a result of the uncertainties relating to the outcome of our discussions with
the Group's bankers in respect of the Seven Heads project loans and the outcome
of the appeal in the Tenge case, the auditors' report on the financial
statements for the year ended 31 December 2003 will refer to these
uncertainties.

Ireland

Although the Seven Heads gas field commenced production at levels in excess of
our target, by the end of January 2004 it was apparent that we had encountered
major unforeseen problems. Production continued to fall in a series of stepped
changes resulting in an inability to meet our gas sales nominations and,
consequently, the need for us to provide our gas buyer with substitute gas from
the UK. We immediately commenced a detailed technical review and have kept the
market informed through a series of Stock Exchange announcements.

The latest of these, on 20 May 2004, provided shareholders with an extensive
update, confirming that the field was purposefully being produced below its
maximum potential, at 25 mmscf/d, in order to allow additional data acquisition
to assist the ongoing technical review. The field is still producing at this
rate, which is generating sufficient revenue to cover Ramco's operating and loan
interest costs.

Since project inception in 1999, the investment model, which was the foundation
for our major financial commitment had been reviewed and endorsed by our
in-house team, our partners, third party reservoir engineers, bankers and their
technical advisers and our gas buyer and their technical advisers. However,
field performance has undermined the reservoir model upon which we based our
decision to embark on the development.

As a result of the poorer than expected production, we have commenced
discussions with our bankers to restructure our existing finance arrangements
for the field. We are also in discussions with interested third parties
regarding the funding of any additional expenditure that may be recommended by
the technical review. Additionally we are in a position to enhance the future
potential from the Seven Heads infrastructure through the extensive additional
acreage in the region that is held by Ramco companies. The recently announced
farm-out option over the oil potential which underlies the Seven Heads gas field
is an example of the additional prospectivity in the region.

Montenegro

We remain enthusiastic about the exploration potential in the Adriatic, offshore
Montenegro. Since Hellenic Petroleum completed the acquisition of a majority
stake in our joint venture partner, the former state oil company, Jugopetrol
Kotor, our progress in the region has accelerated. During the fourth quarter of
2003 we acquired 312 sq km of 3D seismic. The data acquired was of high quality
and the interpretation phase has now been completed. The results are
encouraging, generating further optimism about the prospectivity of the area.

The Ulcinj block offers a range of major prospects including shallow Pleistocene
and Pliocene gas and a number of medium to deep very large carbonate oil
prospects. Most of these could be drilled in water depth of no more than 100m.
We are finalising plans for the drilling of an exploration well to test the
shallow gas prospects and are actively seeking a farm-in partner to allow that
work to be completed by early next year.

Oil Services

The results of our Tubular operations were down on 2002, reflecting the slow UK
North Sea market, although this was partially offset by an improved contribution
from Norwegian activity. Pipeline coating activity benefited from a range of new
projects including coating pipe for Algeria, Trinidad and West Africa as well as
the UK. Overall, the Oil Services division demonstrated its ability to remain
profitable even in difficult market conditions.

Looking forward the signs indicate a steady improvement, supported by a three
year extension to our cleaning and logistics contract with Shell and with
activity levels in Japan expected to increase following the renegotiation of
our contract with the JFE Steel Corporation.

Outlook

The unforeseen problems encountered in Ireland have undeniably presented a major
challenge to Ramco's Board and management. Regardless of the many improvements
in technology, the exploration and production business is not an exact science.
The history of exploration within both Seven Heads and neighbouring fields, such
as Marathon's very successful Kinsale field, contributed to our confidence that
we understood the reservoir and thus believed the project's risks to be within
tolerances which could be adequately managed. This has not turned out to be the
case and we have recognised this in the substantial provision against the
carrying value of the Group's investment in this asset.

We are however taking positive action to stabilise our operational and
financial position. The Board and management team remain committed
to the Company and our priority remains to derive the maximum value from Seven
Heads and our other assets. I wish to take this opportunity to thank them for
their dedication, loyalty and steadfastness. This is a team that has created
significant value in the past and I am sure will do so again. Substantial
opportunity remains in the portfolio, which has taken both skill and tenacity
to assemble, and our strategy remains to exploit that potential.

Ramco Energy plc
Preliminary Results

Why the sudden jump today?

Price has been creeping up over the past couple of days but no real indication why. Maybe a rumour of an update regarding the Seven Heads field but could just be a blip. Share price is up 55% over the last five days but that follows on from a big drop to approx 26p. If you are already in on these shares then hold tight and see what develops but if your not I would proceed with caution, ROS shares have a habit of bouncing up and down and you could have to wait a long time before you see another rise in the share (IMHO). If there is good news regarding Seven Heads then I would expect to see a significant move in the share price but don't get your hopes up yet.

if you have been holding ROS since the drop earlier in the year from about the 100p level the sensible thing for the nervous of you out there would have been to have bought in below 30p since you could have bunked out on two occasions since the drop relying on Pound-Cost averaging. IMHO I think the MM are bored this week and are playing with this share - just compare the prices paid for the shares with the BID/OFFER price at the time. There is money to be made by the little guy if he/she exercises caution and uses their good sense. Bonne chance!

Article from the FT regarding recent increase in RAMCO share price.

Recovery speculation aids Ramco shares
By Malini Guha, Michael Neill and Philip Stafford
Published: August 4 2004 04:00

Speculation that a recovery is in progress is growing around oil exploration group Ramco Energy. Investors have been piling into the stock in recent days, sending the shares up 19.8 per cent to 49p yesterday, and bringing gains in the past week to 60 per cent.

At first glance, reasons to be optimistic about the prospects for the troubled company seem thin on the ground. Its share price has plummeted from 400p in January since details of production problems at its Seven Heads gas field in the Celtic Sea came to light.

A miscalculation on its key project led to exceptional items of 93m in its full year results, a hefty charge for a company with a turnover of just 20m in 2003. Ramco is currently undertaking a technical review but analysts said the problems had the potential to threaten the company's survival.
Success in the future depends largely on convincing its bankers of the viability of the project, by rescheduling 68m worth of loans. Analysts have written off the chances of a sustained share price rise until the problems are resolved.

But gains in the past couple of days have been driven by hopes a favourable technical review is imminent, and it will convince the bankers to reschedule the loans.

However, its last market update on June 18 gave no definite date for the delivery of the report and observers warn that until it arrives it is likely to remain a stock traded mainly by retail investors.

Thanks j.

The volatility shown again today is an ideal opportunity to exploit this minnow, whilst the big(ger) players are twiddling their digits. Any further snippets gratefully received.

If you believe the numbers, there were a lot more buys than sells today 77/17/6, but the price dropped 6%. Something is not quite right with these numbers, is this the start of a new rally or the end to this one?

Happy hunting!

Range of Mid-prices quoted today for ROS ranged 56.5p-46.5p. Someone is making money - and lots of it. This rally looks suspiciously like the previous one a few weeks ago. IMHO it will fizzle out to remove the toe-dippers and then find a comfortable level from which to launch if and when the good news arrives - possibly 38-44p range but with a dip to 29-35p first. Lets see. Thanks for reply, always good to know not JUST talking to the dog!

namreh3, I agree with previous comments, a good share to go short on when the price is right, just need to exercise caution on the timing.

I'm a novice with the charts and don't use them a great deal but it will be interesting to see if the price starts to track the upper bollinger band from the middle of next week. I will be on my hols so I will miss out on any further buying opportunities until I get back.

Good luck in the meantime.

Happy hols J. (Don't miss the boat!)

Thanks namreh3, latest news has really hit the share price but nothing new for RAMCO. Investors Chronicle had a couple of articles ref RAMCO which are posted below for anyone interested.

Looks like I will be able to rest easy during my hols.

Articles from IC today:-

Ramco Energy said a technical review of its Seven Heads gas field will be made public after the end of August. Field production is running at around 20.3 million cubic feet a day. The group has written the value of the field down to the level of non-recourse finance associated with it, 56.6m, and does not expect this to increase after the technical review. To cap it all, the group's executive chairman, Steve Remp, is recovering from major surgery.

Second Article in IC.

But for all small oil and gas companies, things can go wrong, as well as right. After years spent unsuccessfully trying to convince the City to come on board, while working up assets in the Celtic Sea, Ramco finally managed to get some heavyweight support from industry analysts at the beginning of this year. One broking house had Ramco as its tip of the year, and investors chronicle was a strong supporter, too. Then, in the spring, just as the company was bringing its Seven Heads gas field into production, things began to go wrong. The pressure readings weren't right, and too much water was creeping into the production pipes. It turned out that Ramco's geological reading of its gas field had been wrong and that, although it is still sitting on substantial gas reserves, the structure containing them is severely fractured. That means that extracting the hoped-for amount of gas looks well nigh impossible, and the survival of the company itself is now in doubt. Broker Seymour Pierce now rates Ramco a sell.

being shorted by EK?

Ramco Energy PLC
10 August 2004

10th August 2004

RAMCO ENERGY PLC
ANNUAL GENERAL MEETING

Ramco Energy plc (Ramco), the Aberdeen based exploration and production company,
held it's Annual General Meeting (AGM) today in Aberdeen with all resolutions
passed unanimously.

Acting Chairman, Peter Everett, confirmed that the ongoing technical review on
the Company's Seven Heads Gas Field in the Celtic Sea was nearing completion but
that summarised findings from the review would not be announced until the end of
August 2004 at the earliest.

In the meantime, the Company is in discussions with third parties who are
interested in participating in its Irish interests, including the Seven Heads
field. Furthermore, there are on-going third party discussions on the possible
farm-out of some of the other exploration projects in the Company's portfolio.

ENQUIRIES:

Ramco Energy - Aberdeen
Steven Bertram Group Financial Director 01224 352 200

Hi namreh3

Looks like the AGM was a bit of a disappointment with very little news coming from it other than a statement that the Company is in discussions with third parties who are interested in participating in its Irish interests, including the Seven Heads field.

From what I can make out there are a number of RUMOURS that Ramco may be going to join up with another oil company to help extract the potential oil reserves in and around Seven Heads. Total and Shell have been mentioned but I have been unable to find any hard evidence to back up these claims other than the above statement which indicates a third party interest but doesnt tell us a great deal.

The fact they are in discussions with third parties over Seven Heads could be seen as good news because it indicates that not all is lost, would you buy into an oil and gas field that was barren?

Until the 7H results are released I think the price is going to hang around its current position but we may see some upward movement as September draws near.

I will keep monitoring the news and rumours and let you know when I hear anything more reliable. Meantime, keep an eye on this one but dont get caught out by any sudden prices rises that may evaporate very quickly, unless you are confident you can sell quicker that the price is falling!!

Good Luck All.

There's been a few good opportunities to take profits on this from lows of 24p. Unfortunately I personaly have been too gready and on 3 occasions thought, here we go, back up to the 1.00 level. Unfortunately not!

wypanb, if it makes you feel any better I have been doing the same and am still hopefull that the price will hit 1.00 but we may have to be patient.

My major concern with Ramco is that things are a bit make or break, if the news is good then 1.00 should be on the cards but any bad news could see us looking at the 10 pence mark.

They are way overstretched on exploration and badly need a partner to share the drill costs at seven heads - the sad reality is that the well is no longer viable - they have not been able to convince the banks so I will be nothing short of shocked if Shell and Total are even remotely interested in this size of a well with very dodgy reserves and costly extraction. This one is unfortunately looking more and more like a lame duck so i would counnsel being very careful - I think that 10 pence or even suspension is not unrealistic - they are far far from certain to make it out of this.

Best option is that one of the smaller local operators buys them out but I just can't see it - they just don't have the assets to be attractive enough. I know that many of us, myself included were banking on better news last time around and it didn't come - the announcement will now slip back into later September - this is a BAD sign - being patient is the right approach if you really feel they can find a partner - I'd say it's a remote hope and steer well clear. I took the loss and bailed out.

As a matter of interest where are you getting these facts?

*Have the banks said no to loan re-finance?

*Are the seven head wells really not viable? I thought they were delibrately choking back these wells to help add info and thus develop their diagnostic report. In the meantime they are indeed buying in gas to fulfill promises.

Just curious.

wypanb

Sorry wypanb, I should clarify on 7H - It is viable - yes, perhaps but the point I meant to make is that it is much less so (with higher extraction costs and much lower reserves) and not so far as ROS are concerned because they cannot (alone) fund extraction and supply - that's why they desparately need a partner. The banks have put a limit on borrowing (see RNS press reports)and the cost of capital in any case would be too much to bear for ROS given their already stretched position and a very weak balance sheet. As to facts - this is partly known information and of course partly educated speculation on my part - one takes a point of view on a stock and it's value and inevitably it's going to be different from others - that's what makes the market such an intersting and dynamic entity! Having followed the oil sector for many years, I'm just in a different place. Anyway, I sincerley hope that I'm wrong and you get to your target with ROS because you and other ROS investors genuinely deserve to be rewarded for your support of this stock.