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

Short squeeze is on.

The price action kind of says that after a few phone calls were made earlier today it seems confidence is high that the next Rachel drill will strike a decent size of oil.......

Now that would be nice.

Info from the initial test of Rockhoppers Sea Lion well.

The data show that the well has 53 metres of net pay distributed in multiple pay zones, the thickest of which has a net pay of 25 metres.

Info from the first test of Desires Rachel well.

The data acquired during drilling operations (from logging while drilling tools and geological data from cuttings) indicates that around 25 metres of sand with oil shows was encountered.

Whilst the 25 meters mention is no doubt coincidence, and the Sea Lion show being from a successful wire logging proving the existence of oil, whilst the Rachel result is only a 'show', it just strikes me as odd. If Rockhopprs net play result was 25 meters, could this hint of a connection between the 2.

Any oil techies want to put a slant on this!

You mean sealion and rachel are the same person.....well I never...

i am outta des again - phew!! - lol -should reverse tomorrow imo
back in when dips - interesting if they go ahead on eastern vert,

Nick Copeman of Oriel Securities:

".......Whilst not definitive, this result is encouraging and the potential for commercial discovery cannot yet be ruled out until the prospect is redrilled. With Sea Lion already discovered in close proximity, even modest discoveries of 50-100mmb could be commercialised as tie-back opportunities if Sea Lion is developed......"

I've been buying and still buying:-)

Looks like someone got his shorts burnt.

LOL


http://brokermandaniel.com/2010/11/02/desire-billy-liar/

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PROS 5412 .... you really do talk a load of rubbish sometimes (some would say most of the time) .... for myself, i am very happy to keep running short of both DES and FOGL as imo they are both busted flushes

Job to know or even try to work out what the sp will do....second rachel well 120p....and then back to 100p.....a move to jacinta.....75p....along those lines...but it could do anything....

cynic no matter what spin is put on DES's RNS today the reality is Rachel 1 and 2 are dusters eventually the market will wake up to that fact.

ask yourself why sp should be as high as it is now ...... i asked myself that question and came the conclusion that it is held up by no more than smoke and mirrors, and ditto FOGL

I think that hope will keep the sp up....or as I stated above...

but for how long?

For a couple of weeks anyway...the sp could plummet if they do not get the goahead for rachel 2.....but I'd be surprised if they don't....must be a lot of ringing around and faxing going on as we speak by Desire Petroleum.

oh well, i'm happy to remain short a lot longer than that .... permission is one thing, getting rigs another, and actually finding something commercial an awful long way down the line and a huge gamble too

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well i'm gonna stick with me instincts that des will find jack at rach - real pleased to be out at the moment - thougt i was stuffed this morn. after that rns but turned out ok! - not gonna short as not that confident there is nowt there - if there is may share rkh find! like to see the agreement for that - cynic you have balls of steel maintaining your short

not really gibby - FOGL short is well in the money; DES short is fractionally positive; RKH long is slightly out of the money .... CFDs have no time constraints, so can continue to run as i choose for as long as i choose, and nor have i exactly bet my shirt on any of the above

Well, seems that my 'pennyworth' post last night was quite accurate.

I find it curious posters become entrenched in their positions / opinions without really evaluating news / data as it becomes available.

As far as DES is concerned, it's really a matter of having funds to keep drilling until they hit a resevoir, at which point, raising money will become relatively easy. Whilst they have yet to hit the jackpot, both wells have found oil shows and gas, RKH have their first hit. The oil is there and it's only a matter of time before DES are successful. Eventually the geology of the basin will be understood and further drills will have a much higher COS. It's very early days and there is probably an argument for buying DES now, sticking them in a SIPP and coming baci in 5 years.