Just cannot understand recent SP volatility!

As a Dana shareholder I find it difficult to
find any reason to sell, even at current price. The Company has recently
entered a number of agreements which will have
considerable benefits:-

1. Reserves from 31st December 2003 of 123.7 mmboe
must now be in the region of 200.0 mmboe.( 100 million
North Sea 70 million Mauritana 30 million Russia ).

2. Production will rise to 25-27 thousand boepd in
2005 from 18 thousand in 2004.

3. At 30th June 2004 a Net cash position which will
have been enhanced significantly year to date.

4. Exciting exploration potential.

5. Management that seem to know what they are doing
with an excellent chief executive.

6. Recent deals by other oil companies have seen oil
assets bought at prices between 7-11 dollars a barrel
( see last weeks Investors Chronicle ) Dana must have
a value well in excess of the current 300 million.

I am holding firm and looking towards 800 pence.

Any other views out there?

14/6/05
numis securities lift its's projections for oil group dana petroleum (dnx.l)
it expects the company to beat it's previous forecasts so it has raised eps for the current from 56p to 63.70p and 2006 forcasts have increased from 95.3p to 116.5p
end

Thanks for the posts Fundy, a good RNS this morning. Thats a decent raise on eps forecasts from Numis. Im sitting here just now waiting to see what happens to the sp after the sharp run up its had recently.

Gav

yep another decent rns

the 2006 forecast is a forward forward pe of less than 6 for a cash generative growth company!!!

if you look at the chart over the last few years, it would indicate a pull back prior to another run up towards the agm at the end of july - been tempted to partially trade it but decided just to leave it put and worry about it later :-) its worked ok as a theory so far

Yep Fundy, totally agree with everything you say. As far as cash generation goes, companies like this will be sitting on bags of cash over the next few years. If I was in your shoes, I wouldn't be trying to trade this, would just sit back and let it run. (In saying that I'm assuming you would be aholder over the next few years) From my point of view and not holding just now, Im trying to time an entry here.

Gav

got approx 10k in the isa where theyve been for several yrs and have no intention of selling them for certainly a few years and maybe even more - as long as the valuation looks cheap and the reserves are strong im happy to hold

Fundy,

I take it you saw the lastest KBC note on some oils dated 22/6? Email me if you've not and you want a copy. Its only brief but gives core NAV for DNX at 30,40 and 50 oil price. It gives core NAV of 461, 620 and 776. It doesnt mention anything about oil over $50. :-)

ttt

Dana Petroleum PLC
12 July 2005



PRESS RELEASE


DANA PETROLEUM PLC ('Dana' or 'the Company')

Dana Awarded Exploration Licence Offshore Morocco



Dana is pleased to announce that its wholly owned subsidiary Dana Petroleum
(E& P) Limited has now finalised and signed a Petroleum Agreement regarding the
exploration for and exploitation of hydrocarbons in the North West Safi area
offshore Morocco. The exploration phase of the agreement lasts for a total of
eight years and covers a large area spanning 6,540 square kilometres.



The decision to enter into the agreement followed the interpretation of 1,000 km
of 2D seismic data acquired in 2004 under the terms of a reconnaissance licence.
Together with other geological studies, this confirmed the hydrocarbon
potential of the area. Preparations are now underway to acquire a large 3D
seismic survey over the area with a view to commencing exploration drilling in
2007.



Dana acquired its rights under the reconnaissance licence in May 2005 through
the previously announced transaction with Global Resource Holdings LLLP. The
coventurers in the full exploration licence are now: Dana Petroleum (E&P)
Limited, 26.25%; operator Norsk Hydro Morocco AS, 48.75%; and Moroccan state
organisation L'Office National de Recherches et d'Exploitations Petrolieres
('ONAREP'), 25%.

Good news on the Barbara field and an extremely positive AGM statement today:

Dana Petroleum PLC
28 July 2005



PRESS RELEASE



DANA PETROLEUM PLC ("Dana" or "the Company")



Drilling Proves Additional Hydrocarbons in Barbara Area of Central North Sea



Dana Petroleum is pleased to report that the current exploration well being
drilled by Dana in Block 23/16b has found hydrocarbons in the neighbouring block
to the Barbara field, which was originally discovered by well 23/16c-8 in 2002.



This latest well, denoted 23/16b-10, has stepped out approximately 1.5
kilometres to the east of the original Barbara discovery well and has been
drilled to a total depth of around 9,400 feet sub-sea. A full suite of downhole
logs has just been gathered and evaluation is ongoing. Preliminary analysis
indicates that the well has encountered a considerably thicker Forties sandstone
reservoir than seen in the original discovery well.



Dana is drilling the 23/16b-10 well under the terms of a farm-in agreement with
Shell U.K. Limited and Esso Exploration & Production UK Limited, whereby, in
return for satisfying its drilling obligations, Dana will be assigned a 50%
interest in and operatorship of the Barbara sub-area of Block 23/16b.



Immediately following completion of operations at the current well, Dana will
move the Bredford Dolphin semi-submersible drilling rig to a location in nearby
Block 23/11 to drill the Dana operated Fiacre exploration well, which is
targeting a Jurassic oil prospect.





28 July 2005



For further information please contact:


Tom Cross Chief Executive 01224 652 400
Andy Bostock Technical Director 01224 652 400
Nick Elwes College Hill Associates 020 7457 2020





Notes to Editors:



1. Dana and its coventurers discovered the Barbara field in 2002 with the
23/16c-8 exploration well, which encountered a total of over 270 feet of good
quality Forties sandstone reservoir, full to the base of the sand with rich
gas-condensate.



2. Following final results from well 23/16b-10, the Barbara area will be
re-mapped. Dana's current estimate of most-likely recoverable reserves from the
Barbara field are around 120 bcf of gas and four million barrels of associated
hydrocarbon liquids. Barbara is located within tie-back distance of both the
Everest and ETAP production and export infrastructure systems thus providing
future development options for the field.







3. On completion of the farm-in obligations by Dana, the 23/16b (Barbara
sub-area) coventurers will be Dana 50% and Operator, Shell 16.67% and Esso
33.33%. The current 23/16c coventurers are Dana 50% and Operator, Caledonia Oil
& Gas 30% and Eni 20%.



4. The Fiacre prospect is a Jurassic age sandstone structure, located
entirely within Block 23/11, with the potential to contain 105 million barrels
of oil in place. On completion of the Fiacre well farm-in obligations, by
Endeavour, the 23/11 (Fiacre sub-area) coventurers will be Dana 60% and
Operator, Endeavour 20% and Eni 20%. The coventurers in the remaining area of
Block 23/11, which contains an extension of the Barbara field, will remain Dana
80% and Operator and Eni 20%.




RNS Number:4319P
Dana Petroleum PLC
28 July 2005
Thursday, 28th July 2005
PRESS RELEASE
DANA PETROLEUM plc ("Dana", "the Company" or "the Group")
ANNUAL GENERAL MEETING STATEMENT

Dana is pleased to report that at its Annual General Meeting held earlier today
all resolutions were approved by shareholders.

Commenting on the progress and activities of the Company, Mr Colin Goodall,
Dana's Chairman, made the following statement:

"Dana's track record of year-on-year growth continued in 2004. New highs in
production and reserves were coupled with record financial performance and the
Company ending the year with a significant net cash position. Dana also met its
key objective of positioning the Group for an unprecedented level of activity in
2005 and 2006 through a combination of technical progress and commercial deals.

In particular, Dana pursued its strategy of exchanging part of its early
exploration success for cash generative North Sea production, trading into the
Johnston and Hudson fields and exiting Indonesia, where considerable value was
added ahead of sale through a successful appraisal campaign. Dana also built
its acreage position in and around Block 1 in southern Mauritania and around the
Barbara area of the Central North Sea, ahead of important drilling events in
2005. The Group gained significant new exploration licences in the North Sea and
Australia and realised profits from Russia by finalising the terms for the sale
of its minority shareholding in Evikhon at an attractive cash price.

On the development front, the Banff gas re-injection project was successfully
completed in 2004 and the Gadwall and F16-E development projects were initiated.
Extensive technical progress was also made across the Company's assets to firm
up an ambitious, 18 well 2005/06 exploration and appraisal drilling programme,
including the acquisition of key seismic surveys offshore Mauritania, Kenya and
Australia.

Dana has continued to build on these foundations to make excellent progress in
2005. The deals to acquire a new interest in the Johnston gas field and an
increased equity in the Hudson oil field were completed in January and March
respectively, adding good quality North Sea production and reserves. Dana was
also approved by its co-venturers and the DTI as production operator of the
Hudson field. This significant achievement will provide the Company with greater
opportunities through its ability to manage production operatorships in the
future.

The Company additionally concluded deals to enter new exploration licences in
both of its core areas. In the North Sea, new licences have been gained in the
northern, central and southern sectors, all with near term drilling, and a new
eight year exploration licence, NW Safi, has been awarded offshore Morocco in an
area where preliminary indications from recently acquired seismic are very
encouraging.

Dana's attractive 2005/06 exploration and appraisal drilling programme began
positively, with the discovery in March of the Melville oil field, located only
six kilometres to the south of the Hudson field. The next well in the
programme, 23/16b-10, is currently being drilled and has also been successful.
This well has confirmed the presence of additional hydrocarbons some one and a
half kilometres to the east of the Barbara field discovery well in the Central
North Sea. Following the completion of 23/16b-10, two further exploration wells
will be drilled to test the Fiacre and Clachnaben oil prospects as part of the
current Dana operated programme using the Bredford Dolphin drilling rig.
Alongside this North Sea programme, Dana is planning to drill an important
exploration well in Block 1, offshore Mauritania. Following encouragement from
the recent electromagnetic surveys, the Block 1 joint venture group has decided
that this well should be drilled to test the Faucon prospect which has the
potential to contain over one billion barrels of oil.

With the pace of the North Sea programme set to continue and further high impact
exploration wells being planned offshore Mauritania and Kenya in 2006, Dana
anticipates drilling a further sixteen exploration and appraisal wells, in
addition to the Melville and Barbara wells, in the 2005/06 time period.
Together these wells will target a total of 1.3 billion barrels of reserves net
to Dana.

Of the new field development projects kicked off in 2004, the Gadwall field was
brought on stream in April and has performed well leading to the decision to
drill a water injection well in the field later in the year, with the objective
of maintaining production levels and boosting reserves. Good progress has also
been made on the F16-E development in the Netherlands sector of the North Sea,
with the result that the field is now expected to commence gas production in
October, some two months earlier than planned.

Dana is also actively pursuing incremental development opportunities within
fields already in production. A new horizontal water injection well in the
Mallard field has been successfully drilled and is now being completed, as is a
new, long-reach production well in the Johnston gas field targeting the 'tail'
area of the field. In addition, a workover campaign is in progress designed to
boost oil production from the Otter field and a programme of infill drilling and
workovers continues at Claymore.

Three new fields are targeted for development sanction in 2005. Development
approval for the trans-median Enoch oil field has now been received from both
the UK and Norwegian governments, approval for the Cavendish gas field is
expected shortly and sanction of the Goosander oil field is anticipated within
the next few months. All three of these fields are expected on stream in the
second half of 2006.

Dana is consequently driving ahead across all areas of its business with six
drilling rigs now working in the North Sea on Dana projects. As a result,
production in the second half of 2005 is expected to be significantly ahead of
production for the first half of the year, which was constrained by development
activity to an average of around 18,800 boepd. The Company currently
anticipates that average rates for the full year will be in the range of 22,000
to 24,000 boepd, however the final average for the year will naturally be
sensitive to the start-up timing and early performance of the numerous ongoing
development activities on existing producing fields.

Over 80% of Dana's 2005 production will be oil and over 90% will come from the
North Sea. The Company has no oil price or exchange rate hedging in place for
2005 or beyond and is therefore benefiting fully from the strength in both oil
prices and the US dollar. Dana is consequently in an excellent financial
position, with no net debt, significant net cash, and very strong cashflow. The
Group will utilise this healthy position to accelerate the extraction of the
potentially large upside value within Dana's portfolio of quality assets and
continue the pursuit of carefully targeted acquisitions and new venture
opportunities.

Finally, I would like to pay tribute to Dana's executive management and staff,
who have delivered a consistently high level of performance, and to thank Dana's
shareholders for their continued support."

For further information please contact:
Tom Cross Chief Executive 01224 652 400
Andy Bostock Technical Director 01224 652 400
Nick Elwes College Hill Associates 020 7457 2020

Fundy,

Good news on the drilling front for 05/06, although some firm dates would have been nice. What do you make of the production for 05H1 of 18.8kboepd? Perhaps a bit less than some were expecting hence some sellers today, although the 22-24k boepd average for all of 05 is quite a bit ahead of the 18604 boepd for 04.

I see you made the news today: FUNDY FINDS DIAMONDS IN LIBERIA ;-)

Gav

the wifes had me looking for them for ages - had to get lucky sooner or later :-)

H1 production figure was a little disappointing and to be honest the full yr is lower than i have pencilled in (27k) - they may of course be playing down expectations early in the year. That said, with current oil prices (and production unhedged) this should lead to a huge jump in profits. The drilling programme is highly impressive (agreed some dates would be nice -reportedly from the actual AGM it was said that Faucon would be drilled late sept/early oct). Also mentioned at the AGM that Faucon could well be a billion barrel prospect (though i guess this is total not recoverable). Barbara announcement very positive and was played up at the AGM with potential for Dana to increase their stake. Also very bullish on Kenya.

Fundy,

Hope the wife appreciates all your drilling efforts in Liberia!

Even with less production than perhaps some had thought, high prices and no hedging should more than make up for it over the year. As for drilling dates, perhaps they can't give specific dates due to rig demand right now, although at least they have the Bredford Dolphin rig for their immediate plans.

It's good to get a rough timescale for drilling of Faucon, not long to wait from here. As I understand it, Dana have 60% of the licence, do you have any idea of chance of success here? Using a 20% chance of success of 1bn barrels, that would still work out at 120mmb to Dana and using a 50% CoS 300mmb. Even taking a low conservative figure to value the oil in the ground, and assuming that drilling goes according to plan, it still works out at a healthy profit. I'm assuming that once Faucon has been drilled they will then be moving on to drill Petrel which they claim to be another 1bn potential target, of which also lies in block 1 so Dana have 60% of this.

For block L-5 in Kenya, I understand it that this should be the first target to be drilled by end 05 followed by block L-7 and Dana have a 30% interest here. Interesting names, Pomboo and Sokwe, both again with potential of 1bn each. With regards to Kenya, found this earlier Kenya

Happy days all round if all of these targets are successful!

thanks to Fidra across the way for his AGM report:



fidra - 28 Jul'05 - 19:47 - 6928 of 6939


WARNING THIS IS A LONG POST!
Summary of some of my notes from the Agm.
Probably about 25 people in attendance.

There was a good presentation done by Bostick and Cross.The directors worked the room before the meeting,introducing themselves to Shareholders and answering questions from them on a one to one basis informally.I spoke with Goodall,regarding hedging.He said no plans to hedge at present they are happy dealing in the spot oil price.And had made a lot of cash.I asked about a payment then of a dividend.His reply was that the drilling operations were going to cost a lot of cash.

On the open forum I asked a few questions .

Regarding Cap ex the reply was 65/70m per year in 05 and 06.

I then followed this up with asking about a return to shareholders.Cross answered this differently.He said they would take a long hard look at this in September,when the 6 month results come out.Prior to this in the meeting they had said they were throwing up lots of cash.All expenditure would be out of cash flow.
My estimate for cash flow for half year is 100m.Therefor Cap ex 32m and expenses 3m.My total revenue estimate is 239m based on 22K bboe per day.(I would be interested to hear others as this is above the estimates on Yahoo.)

I also asked about Rig availability.They have the rigs for the north Sea work.
Faucon they expect to start in Sept /Oct and they have this Rig (Ithink)for Kenya they expect to start in Feb 06.Woodside will be doing this.This rig is now probably available to start then.DNX have a 30% interest but only pay 10% of cost.This and mauratainia are both billion barrel opertunities.They have the equivelent of 700 North Sea blocks offf Africa whch they will drill.The smaller block of Morroco will not start till 07.

Cross particularily mentioned on at least three occasions that the time to get the rigs available was not being wasted .They had commisioned seismic 3D (EMS)surveys of the areas.This was not available to them when they had taken the blocks.The inference being that because of innovation in the industry these surveys were a great saver of future time and energy.As they located where the oil/gas was most likely to be and the rig could be deployed directly in these areas first.The EMS study was"very encouraging".

on Morrocco he said the Geology was the same as east coast offshore Canada where oil and gas was coming from.As they were joined millions of years ago.
Therefore he was excited by the jurrasic deposits in the area.

He also mentioned that they were doing well in collaboration with Woodside.Of particular note he went on to say that because woodside had found oil and gas in neighbouring blocks because of the geology of the area he reconds they would find the same.The inferance being we will find the same as them.So look out for others reporting on the same area.

The north Sea production could increase rapidly and tie back throught the existing structure.
he said thety would soon have 75% of Barbara at no extra cost because of the new finds there.Barbara"was a very good story "(for us).

Enoch and F16E we will here about soon.Cavendish in next few weeks.Crusader in next few months.Therefore good news flow expected

They expect to grow production(without new finds)at about 20 to 30 % per year.

In the North Sea six rigs at present working.

Area of Mutual interest pact signed with Woodside.
Ghana low priority Govt dragging heals.

Expects 05 22/24kbboe 80/20 oil to gas
06 28k bboe 75/25
0731k bboe 65/35.

said gas prices were looking like being very good.

The 18 wells 7 this year and 11 neext target is 900bboe oil 400 gas.
if they found 10% it would double companys reserves.I think he expects at least 30% or more.This conservative evaluation done for the major American shareholder.

Probably a stupid question- but when was the consolidation was it a100/1 or 200/1 and old sp. and new sp. cannot remember dnx that far back.

mbugger
I'm sure it was 100/1

It was 15-1 - went from approx 15p to 225p on consolidation if memory serves me right

Fundamentalist
You may be right there, I was thinking of EEN.

Broke through the 700p at long last.

GRRRRR

i sold my holding this am at just under 700p on the news of the mauritanian military coup - the news hit every other oil company exposed to Mauritania (HNR -9%, SEY -6% for example) and expected Dana to suffer too - looks like im going to have to pay more to buy them back (at least what i missed out on here i saved on SEY).

rumoured to be a broker note today suggesting switch from BUR to DNX and CNE and also some city rumours that chinese oil co is looking at DNX or BG. after failing in a takeover in the US

Fund a list
I don't believe it!!! After all that research you shouldn't be looking at the news, you didnt listen to your own research, you got a nice few bob though.