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?

Hi there. thinking of buying. AT the moment I think sentiment's dictating the sp. Oil has fallen through a big level 120 i think , and this will scare some private investors or give the mms an excuse to put down the oil shares. From a fundamental point of view i completely agree with the points made abouve, especially the unhedged aspect. IF there are some investors out there who are chartists however it looks horrible and has no support till 12 pounds, the price before the oil find.

Is there an actual date for the results? If the market's depressed at the time of good results it could keep a lid on price or even drag it down, sentiment cannot be underestimated, but as a buy for a few months i think it's very promising. I'm in the peculiar position of actually hoping it will drop more and waiting before diving in.

Well I got out of my latest tranche at almost the same price but with the share price a fair way below 200 dma, I'm topping up again shortly. Overdone with the drilling programme scheduled and the increase in production. And I suspect it's all just a correction. I stick with Goldman and oil at $200 in the coming 2/3 years.

hope your right Greyhound.

So do I, but you have to make your own decision!

Comments on the Motley Fool disc board worth a read. A bit technical, but add a better insight.

Cant get any lower can it..

everything can always half! ;)
does seem crazy when you look at the fundamentals

Now I'm getting very tempted to double up

Might be worth waiting for FED interest rate decision today.
$ getting stronger & Oil price weakening.

Too late ;).
My view is that the Fed isn't doing anything for a while.

(just listening to Bloomberg tv, probability of fed hikes now coming later rather than sooner)

The Naked Trader said on Friday that these were cheap.. they are now.

down 100p.

What price oil next week? Maybe Goldman are playing a clever game or will they end up squirming?

Not over the long term. Oil prices have generally exceeded price expectations by about some 30% (I was reading).

A rather obscure but canny little hedge I have against Dana, is long term holder of Asos, (ASC). Been working nicely over time.

I'm adding at these levels.

Interesting that banks have come off their highs today rather more than they have done intra day over the past couple of weeks. PMO is also showing signs of life.

Is this the turn around from banks back to miners/oilers?

I was thinking that too dealer could it be the Banks have run out of steam and oils will benefit.

Freddie Mac numbers disappoint

Making a come back I'm fully invested in Dana and Vpc.

Interesting.

Why has PMO gone up and not DNX?

Bought back in today at 1233 after being stopped out at 1380, see if the 12 offers any more support