The CEO states Tullow sp is much too low and I bought in on the comments---todays results are excellent and I feel this one is being overlooked on here. check it out bargain hunters-I'd welcome some expert feedback!

Over 80% of traders are buyers so far today.

I am of the opinion that the presumed takeover bid is not far away now. (see post 52)

It has to come from one of the majors and there will be a decent profit in it for anyone holding shares.

I wouldn't get too hung up on this takeover possibility. I think the main reason tlw will go up in the short term is the ugandan report out this or next week.

'OIL BARREL'      28.02.2006

An Upbeat Operational Update From Tullow Oil Ahead Of Its Results Show How Well The Group Has Bedded Down Following Great Changes

Tullow Oil, which is listed on the London and Irish Stock Exchanges is one the UKs leading independent oil and gas exploration companies and is a constituent of the FTSE 250 Index. The group has interests in approximately 90 production and exploration licences in 16 countries and focuses on three core areas: NW Europe, West Africa and South Asia.

In Africa the holdings gained real weight in 2004 when Tullow closed the US$500 million acquisition of South African explorer Energy Africa, a deal which added exploration licences across the continent. The acquisition significantly altered the gas/oil ratio of the group.

The UK remains central to the groups strategy, however. Tullow entered the gas-prone Southern North Sea in 2001 when it bought a cluster of assets from BP and the gas was selling for 16p a therm. Four years on and the group has bolted on new assets through acquisitions, licence round applications and development work - gas prices have been running slightly north of 70p a therm and are rising fast. By building production hubs into which it can tie satellite discoveries and third party business, the group has built a low cost and highly efficient business capable of capitalising on record gas prices.

Its North Sea business took another step up with the March 2005 200 million acquisition of the Schooner and Ketch fields from Shell and Esso. Within months of completing the deal, Tullow was able to extract additional value from the fields by improving uptime production performance.

Tullows portfolio also stretches to South Asia, where it has assets in Pakistan and Bangladesh. It aims for substantial production in 2006. There is also some new frontier exploration, notably in Africa.

A recently issued Trading Statement and Operational Update ahead of the annual results which are due on March 29, show how well the changes in the group have bedded down.

One important element of the news was the retirement from the group of Adrian Nel. Adrian came into Tullow with Energy Africa. He was instrumental in meshing the Africa oil interests into the group and in advancing the exploration programme. Angus McCoss has been appointed to the new role of General Manager Exploration and has 19 years of wide-ranging exploration experience with Shell in Africa, Europe, South America and the Middle East.

On the exploration front Tullow has reported that in 2005 the group drilled 50 development wells and completed the operated Horne and Wren development, increasing average group working production to 58,450 boepd, 44 per cent ahead of the average for 2004. Current group working interest production is approximately 66,000 boepd with Tullows net gas production contribution at an all time high 200 million cubic feet per day, which is around 33,000 boepd or around half the overall total.

Going forward further strong production growth is expected from the ongoing development of the Scooner and Ketch fields in the North Sea, the Okume Complex and the MBoundi, West Espoir, Bangora and Chachar fields in a range of Africa countries including Congo Brazzaville and Equatorial Guinea. In all working interest production in 2006 is anticipated to average approximately 68,000 boepd and to reach 75,000 boepd by year-end.

On the exploration front, 11 exploration wells were drilled including the recent wells in Angola, Mauritania and Uganda of which five discovered hydrocarbons. The Mputa-1 discovery in Uganda proved the existence of a working petroleum system in the basin, which significantly reduced the risk on Tullows prospects in this extensive region.

In the next three moths from February 2006 a further eight exploration wells will be drilled including three wells in the UK and high impact wells in Uganda and Equatorial Guinea.

There has also been some news on the Kudu gas field offshore Nambia, which could contain 9 tcf of gas. Two appraisal wells are planned here.

While the exploration is exciting, investors will probably be focusing on what the operating activity means for the bottom line. There is scant information in the update about finances save some detail on hedging, and exploration and development expenditure. You would expect this as the group is in a close season ahead of the results. However, given the large increase in output and given the record prices for gas and good prices for oil it would be surprising if the cash flow figures in the annual results are not shall we say positive.

doing well this morning. appears to be due to rising oil price and also possibilities of big oil finds in east africa

No link on MONEYAM so borrowed from elsewhere till they get some news here.


Uganda: Block 2 - Waraga-1 Wildcat

Since the last report on 7 March, the Waraga-1 well was drilled from 1,872
metres to total depth of 2,010 metres into basement and wireline logs have been
run. At midnight on 12 March wireline pressure testing and sampling programme
had been completed. Oil samples have been recovered from the 32 metre gross
interval previously reported (at a depth of approximately 1,700 metres).
Preliminary indications are that this is a light oil of approximately 40o API
gravity. While no oil water contact was observed, pressure data from the oil
interval and deeper water bearing sands suggests a minimum 45 metre oil column
for this reservoir interval.

Wireline logs and shows while drilling have indicated a deeper, separate zone of
interest from approximately 1,780 metres to 1,930 metres which contains a number
of thinner sands. Oil samples have been recovered from a sand at 1,893 metres.
Pressure testing and sampling has been conducted, with interpretation of results
expected in the coming days to determine the extent of this deeper oil bearing
interval and whether it represents one or a number of oil columns.

The well will now be cased and suspended ready for future testing. Planning of
that testing programme is underway and equipment is being sourced and mobilised.

Waraga-1 is located 19 kilometres to the northeast of the recently drilled
Mputa-1 oil discovery well and 41 kilometres southwest of the Butiaba Waki-1
well (drilled in 1938). Waraga-1 testing a structural prospect with identical
geological targets to the oil bearing reservoirs seen at
Mputa-1. The Waraga prospect was defined by the 2005 onshore seismic survey and
the geological risk was significantly reduced by the success of Mputa-1.

Hardman's CEO and Managing Director, Simon Potter commented, "Two discoveries in
two wells in this region is a great success. That the oil appears to be of good
quality is encouraging and hence casing of both wells (Mputa and Waraga) ahead
of a testing programme. Indeed given this most recent success at Waraga we are
actively planning the future appraisal and commercialisation programme to fully
evaluate the potential of the region."

Equities in Block 2 are:
Block 2
Hardman Petroleum Africa Pty Ltd (Operator) 50.0%
Tullow Oil 50.0%

Times and dates for Ugandan wells refer to UTC/GMT +3 hours (Uganda time), 5
hours behind Western Standard Time, Perth. All reported depths are referenced to
the rig rotary table (RT). Hydrocarbon shows will be only be reported after all
required logs have been run and evaluated, although Hardman will release weekly
updates on the exploration drilling campaign.

So 3 months ago brokers cut their forecast to 267. Morons. Tullow featured as a large companies buy recommendation in the IC on Friday. Very positive. A whole page's write-up. Accounts for the recent price movement. It says that currently not factoring in sustained rises in gas prices and ugandan possibilities. I'm very positive about it now. THe chart is beautiful. It has 352 barrels of energy in reserve. Not sure if this means oil or has converted the gas reserves too. So, for example if tlw was to find 1 billion barrels in uganda then I reckon the sp should treble and it would easily enter the Ftse 100. This is hopeful, but the Ic is positive. Look at Cairn! Either way its a no-brainer. The price of gas is going to keep getting higher although perhaps not in the long term and oil is just going to go up short term, long term whatever.

In the last month tlw's gone up 25-30% slowly and in the last 5 days it's gone up over 10%. And nobody's posted. It just goes to show that the best shares are the ones with the least active bbs.

I took profits far too early-kicking myself now. I'm hoping for a pull back so that I can get back in.

Is Tullow worth 3 times approximately as Dana.

depends what reserves dana has. I think danas a bit complicated because it's a pure exploration play. I read somewhere that it's got 2 billion barrels potentially north sea fields, so it may be a bit undervalued. can't be bothered looking at the results

Saintserf

Dana has reserves approximately two thirds of Tullow. Exciting potential in Mauritania and Kenya. A deal to be concluded with Gaz de France. No wonder
Merrill Lynch is so keen on the stock.

Tullow is a great company but in my opinion expensive compared with Dana

Any one know the ex div date as I only hold these as a bet and obviously receive no company info.

cheers

ianwas

!st June last year.

ianwas

!st June last year.

ianwas

!st June last year.

saintserf

dana isnt a pure exploration play at all. Results in march had average production of 19,683 boepd producing revenue of 165m, net profit of 64.2m and an EPS of 80.1p. Proven reserves of 111.5mboe and total reserves of 235.8mboe as well as 92m cash.

Current production is thought to be approx 26,000 boe with a target of 40,000 boe by the end of 2007. This doesnt however include any future drilling

Exploration wise a total of 40 wells are planned by the end of 2008, targetting 2.1 billion barrells, with 4 wells being drilled in 2nd half 2006 all potentially company transforming

The other advantage Dana currently have to most of their peers is that they have no hedging in place so receive the full benefit from rising oil prices

ian was I think it's the middle of May you have to be holding them and you get the dividend in the middle of june.

Sorry fundamentalist. I was wrong. I think I meant by exploration that that is where a lot of their value should come from and where they're probably underpriced. But what I wrote sounds stupid. Well done on the figures you've posted.

Hmmm only 3 weeks since anyone's posted on this board, and that was me. I guess tlw must be mainly held by institutions by now. Of course since then it has enjoyed another decent rise, about 10% I think. Maybe a bit slow for most bb posters. Of course it could all come crashing down with a thud, but I like the way it keeps gently rising, not too worrying for the old coronaries. Another cracker is xta if you've got the balls. I'm not sure I have.

We're coming up for the exdividend date in a week I think, and as the price keeps going up the % of dividend should be rising too. Honestly though, I'm surprised no-one's responded to the news from merril lynch or morgan two weeks ago with their broker's note initiating coverage of the uk oil and gas sector, saying tlw was their favourite, with a short term target of 480. They then kindof corrobarated the IC's view and my calculation, that tlw had the potential in its assets to add another 900p to the sp. Yikes, ie. increase the sp by 3 times, I feel vindicated. Well, here's hoping but I'm not too worried on this one.

Oh, by the way the Naked Trader's bought more of this too.

Sorry, it would only increase the sp by 2 times. Oh what a fool I am!