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

Thanks for that marky....your posts are superb...cheers...the only thing is that : this is not the north sea and that the only comparison that can be made is that : yes it is at the start but this is in the south atlantic.....and yes it is in british waters.....to me the next well is a gamble...and I'm not sure if I will be in...not at the current sp for Desire...
There could be a lot of oil and gas out there, but it's as if it is already partly priced in...that's the biggest problem ;
If the stock goes to 10 in a couple of years you could look back and say...it was cheap then.... but nothing is sure....

rf...."that price includes a discovery the size of sealion.."

What is the Mcap of RKH with Sealion oil discovery?

What is the present Mcap of DES, pre Rachel Oil discovery?

Chav we know the market cap and DES .... market cap of 514.mill..........and no oil ......As a desire man i will stand my ground......but we are painting rainbows which arent there yet.....time will tell.

PS Chav no more navy rations for you

Plenty of upside, should Rachel come good though Marky, at the present sp....if they had Oil already then we would be paying 3.50 odd for them.

Fantastic weather in the FI's still at the moment so the OG should be over Rachel now and gripped for entry.

Chav............... wooley hat sorted........take care

Chav

"OG should be over Rachel now and gripped for entry"

let's keep the smutty comments off this thread...

So,...anybody shorting for the possible bubble burst ?....

Surely that possibility is over a month away?

What over a month away Harry?

DES duster = burst bubble. (RKH value still intact).
(None of the pictures at the top are loading marky).

Harry the map was from the Desire Petroleum web site so they must of taken it down or changing their web site i will give it a day and put a new map up.

I have touched something on my key board and lost my toolbar at the top of the screen does anyone know how to get my tool bar back?

I think you must press f11 or f12...Marky....but not sure.....

RF your a star, f11 did the trick.

Just checked Desire web site and its down at moment hence no map at top of page.

Cheers...

This map gives a better picture of just how close Sea Lion and Rachel are.

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All I get is a red X marky! Presumably that marks the spot of the next gusher??? ;o)

I hope so Harry.....it wont let me edit it for some reason....time to take the dog for a walk in the rain before the computer gets an axe through it. Grrrrrrrr

Just about to do the same Marky but the sun is breaking through here in the SW. DES relatively steady as RKH slips.

Time DES had a RNS out.

Agood post from Synchrouk on iii


Source rock = same as Sealion. The oil has been expelled from above, below and to the side of Rachel. The oil has not had to migrate far. The oil was generated all around the Rachel sand body. The maturity of the source rock has been proved in the Sealion well. No immature oil was found at Sealion, which was a very high pre-drill risk. Mature oil at reservoir depth, means this risk has been removed.

Reservoir = same as Sealion. The sand has been generated in a river, to the east. The sand has been deposited into a Cretaceous lake, on the eastern side of the lake itself. The eastern side of the lake had the deepper water and the water became deeper, quicker, compared to the western side. The organice rich claystones surrounded the Rachel fan. A risk with the reservoir is that the sand grain size distribution is different to Sealion and that this will have a detrimental effect, in so far as the porosity will be different. All the fans drilled in the Sealion well, showed good porosity, so I am confident that this will be the case in Rachel, for the reasons mentioned above, same sand source, same depositional slope gradient.


Seal = same as Sealion. The organic rich Barremian clays were deposited above and below and to the side of the sand body. This meant that the locally prodcued oil could get into the sands, but not escape.

Post Depositional effects = same as Sealion? I have no reason to assume that anything could have happened at Rachel, that would not have happened at Sealion. However, this cannot be ruled out. The main risk to the North Falklands Basin is tuff. A volcanically produced, ash deposit, which can reduce permeability, through chemical alteration, over time. It reduces the ability for a fluid to travel through a rock and may have been present at the Liz location, we will see. Not a great risk, as Sealion did not have this and Sealion is of the same same latitude.


As mentioned previously, I give Rachel a 85% chance of Success.

I'll add some expected STOIIP at some point. These are the current ones from the OUTDATED CPR. I expect the true updated, Rachel predrill figures to be much higher now.

STOIIP
P90 MMbo 163
P50 MMbo 839
P10 MMbo 1892
Mean MMbo 962


Compare these with the pre drill Sealion figures.

STOIIP
P90 MMbo 234
P50 MMbo 568
P10 MMbo 1348
Mean MMbo 710

I'll go into more detail of the geology at a later date also.