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?

Excellent set of results this morning, looks like the market is gradually waking up to the fact. Plus low debt levels and a lot more drills to come this year.

Record first half production of 43,147 boepd up 67%

Turnover increased by 188% to a record high of 314.5 million

Record Pre-tax Profit of 133.1 million up 138%, leading to Earnings Per Share of 69.95p

More than threefold growth in cashflow from operations to a new high of 193.9 million

Net debt further reduced to 9.0 million, lowering gearing to below 2%

Up 60p great.

I don't have any factual info to base this on, but hearing Evolution out with price target 3260p?

What..???

thats incredible if its true..

most brokers are 2500p plus.....3260 is highest i heard of so far.....anyway even by todays price, this is super cheap right now......market seems to have forgotten about dana

just to remind you:

2/6 Morgan Stanley 2360p
23/6 ABN Amro 2600p
4/7 Exane BNP 2200p
8/7 Credit Suisse 2840 !
7/8 Goldman 2140p
today Oriel add - not sure of target price yet.

Anybody who takes any notice of analysts is mad. The market certainly doesn't take any notice except the day when results are out. It is being traded up to 15 today. Unfortunately with all the red herrings I missed it. It will then drop a bit before the US opens.

As to what it does in the future will depend on oil and the other stocks. If they go up, it will go with them and vica versa. Tis like playing Russian roulette atm.

I don't disagree with your comments, but if broker info, reports/targets are available investors shouldn't be blinkered to it.

Naturally if oil continues it's rebound etc or other oilies outperform we can expect to do the same but what's different here is not only is production increasing rapidly but on the exploration side there are not many others that can match the forthcoming schedule. Already 3 out of 4 finds this year plus gas. There's a very robust drilling schedule ahead and it's this and potential finds which is more likely to drive it higher imo.

US likely to be pretty thin today ahead of long Labor day w/e.

Hurricane Gustav forcing oil prices up might be helping...along with general recovery for mid cap oilies !.

125p rise.. next stop 1600p.

Suspect that spike higher (up 137p) was Citi out with buy rec, target 2700p

I cant believe we are trading sub 2000p especially with the recent brokers targets in the high 20's.

I hope that the market has discounted a possible "Darling" extra North Sea tax.....that could push oil companies away to foreign shores !.

most major companies have already left from north sea in a big way in last few years, req field.......theres lots of smaller companies instead......and production has plummeted cos of browns tax of 20% on profits.....so revenue generated is only about same cos of high oil price.
thats why about 2 or 3 months ago, new licences were given out to some companies to try and boost production.....but this wont happen overnight.....i'm afraid the gov have dug a big hole as usual and it will take years to sort it out

The bigger companies are now generally far too inefficient for the North Sea, preferring to seek out the bigger fields in foreign climes. For companies such as Dana and myriad others, they can reap the benefit by being leaner and meaner, bringing on the smaller reservoirs the likes of Shell and BP simply can't cope with given their high overheads.

I've worked for numerous small outfits in the past 2-3 years, Dana being one of them. These companies are the future of UK oil and gas.

Wrongly or rightly I have invested in the likes of Dana and Venture Production over the last 3 years in the belief they would benefit from higher oil prices even so at todays prices they are undervalued by at least 30%.

u wont go wrong by them mitzy IMHO .......should be good for investment.....and oil price in 5 years time will be higher than todays price.

note that russia are threatening to turn taps off on monday to europe......the threat alone should keep high oil prices

future of uk oil industry.....hmmm, best days r over just like rest of country.
oil industry is extremely inefficient as well......high oil price is main thing thats given a lot of companies a good time in recent times.

and having likes of bp leaving cos they r hacked of with gov taxation etc....and so go to russia and have paid total of 90 billion in taxes and dividends to russia is hardly what i consider good for britain.......similarly with shell who have gone to far flung countries in more dodgy countries

Thanks scotinvestor call me old fashioned but I'm a buy and hold type of investor knowing that long term you cant go wrong..

The oil price isnt going down in fact $115 is probably the low for the time being the oil and commodity boom isnt going to go away.