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

3 wells to come after that...plenty of time for recovery above 100p.....

http://www.proactiveinvestors.co.uk/columns/fox-davies-capital/3645/desire-petroleum-max-petroleum-and-mariana-resouces-feature-in-fox-davies-newsflash-3645.html

Desire Petroleum (BUY, 2.00) (DES, 109.75p, ▼ (17.33%)) advised that the 14/15-1 well on the Rachel prospect has reached a total depth of 2,877m. Initial wireline logging shows that no hydrocarbons have been found. However a substantial thickness of sandstone was encountered in the upper part of the target zone, comprising 103m of gross sandstone of which 81m is net reservoir with an average porosity of 23%. The Rachel well has provided much new valuable data on the distribution of the reservoir targets within the Eastern Flank play and in particular the calibration of the 3D seismic data for sandstone prediction. The understanding of this play type is rapidly evolving but one of the biggest remaining uncertainties relates to the oil charging mechanism from the mature oil source rock to the fan sandstones. Based on the latest information from this well, potential sandstones have now been identified downdip from the existing location, closer to the mature oil source rock, significantly reducing the oil charge risk. As a result the well will be sidetracked to this location to evaluate the prospectivity. The sidetrack will commence when the present logging operations are complete. The total depth of the sidetrack is planned to be 3,418m measured depth with an offset of circa 1.2km from the total depth of the original vertical well. The sidetrack will be designated 14/15-1Z and is expected to take 20 days and the Company will make a further announcement upon completion of this sidetrack. The Rachel well is the first in a likely four well drilling campaign operated by Desire. Following the 14/15-1Z sidetrack it is intended to move the rig to the nex t location 25/5-1 on the Dawn/Jacinta prospect in the Desire 100% Tranche I licence.



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Stanley Gibbons posts strong full-year results as stamps defy the downturnAtlantic Coal consolidating the niche US anthracite industry Lo-Q: Busting the theme park queuesComment: A disappointing outcome for Desire although good reservoir characteristics have been found in the target formation. Access to charge seems to be the issue more than timing and a sidetrack closer to the kitchen sounds like the right course of action. We are not writing off Rachel at this stage and maintain our rating and price target.

Auction again.

And again.

Nobody believes 70p when I call it a couple days ago.

Going long again.....the drop is way overdone considering the prospects in hand,...

Catching a falling knife is a circus act.

rf good luck, sp reflects their success (or lack of) to date, can't see where the upside is coming from in the short term, they are burning cash and if they have more dusters difficult to see investors contributing to another fund raising.

A rebound of a sort should be coming....and I think with Jacinta and Elaine back to back wells coming up : 100p should be feasible once again.....fully funded at the moment...

panic selling before the close?

weekend press should make interesting reading!

Fancy selling now....bonkers....

rf not if the sp is going to 50p!

And then what up it goes....as long as overall I make a profit...it can go to zero and back....when the rebound comes it will be fast....though 50p would not make me happy....I wonder if a strange thing like an oil discovery in the sidetrack might happen....funny faces in the city then....

Chances are remote

Yes....they are....I can't understand why they are doing it....1.2km....away from original target depth....on the fringes of something ?....DES did have a gas discovery of some kind with Liz....so they might just spud further to the north of that later....it's not going to be news if they come up with nothing....

Very risky.

If they're aiming towards sealion could mean they're near the tip of an oil deposit.....bit of a long shot.,.

on a much saner note

hali - if you didn't see it already, many thanks for kicking me so i sold most of my RKH yesterday and suffered relatively little pain .... i'll hold the remaining RKH but am happily well out of DES

Halved my holding yesterday and banked a very small profit! Tried to do it on Monday as I boarded for Senegal but lost the connection on the iPhone! Thereafter was unable / asleep / too busy to follow up until yesterday in UAE! Won a one-legged @rse-kicking contest to the shaving mirror at home this morning!