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?

well should it break 1030p it could rise to 1100p.

.

Brokers very bullish on DNX...

Dana Petroleum PLC

FORECASTS

2008 2009
Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Hanson Westhouse
16-12-08 BUY

ABN AMRO
10-02-09 BUY 191.20 99.24 26.21 13.36

Numis Securities Ltd
16-02-09 BUY 141.00 33.00

Evolution Securities Ltd
16-02-09 BUY 388.00 203.20 640.70 335.70

Oriel Securities
18-02-09 ADD 240.20 125.00 81.80 42.40

Exane BNP Paribas
20-02-09 HOLD 224.00 107.31 83.00 38.37

18/02/09 10:09

Dana Petroleum Plc (dnx) BROKER NEWS Dana Petroleum upgraded to outperform from neutral at Credit Suisse, TP raised to 1202p from 1098p

Interesting read about the future direction of the oil price..

February 20, 2009

Oil Prices Rally A Bit As OPEC Cuts Appear To Start Working


By Eithne Treanor



Low prices worried the market early in the week as oil fell below US$35. It was a short trading week in the US with last Monday being a holiday. The early concern was short-lived as stockpiles declined and boosted oil by about 14 percent on Thursday. This is the first time in two months that the market has welcomed such news, giving support to the ailing oil price. But in early trading on Friday, we saw a quick drop with oil prices down again below US$40 a barrel.
Today sees the expiry of futures contracts for March on the NYMEX, so the market can expect more volatility. This was obvious in early trading. The Energy Information Administration (EIA) reported an unexpected drop in crude supplies by 200,000 barrels. Analysts had expected to see a continuation in the rising stockpiles the market has recently experienced. However, its the time of year when refineries begin to kick back in action but with slowing demand in the US, imports have been on the decline. The mid February report suggests that refineries are busy than ever, consuming more than 14 million barrels a day. Supplies of gasoline are up and demand for gas is o the increase.

The OPEC export cuts are clearly having an impact and the decline in oil imports has manifested in a reduction of 859 thousand barrels a day for week ending February 13th. Inventories have been at historically high levels while demand for oil and gasoline have declined. OPECs cut of more than 4 million barrels a day is still working its way through the market. Ministers are hoping they can hold off on any production cut decision until mid-March at the next scheduled OPEC meeting in Vienna. According to the shipping consultancy Oil Movements, OPEC sea-borne oil exports will soon be at five year lows.

The United States has cut back oil imports and President Barack Obama visited Canada this week to cement better trade relations and talk about energy. One observer noted that this was a strategic move to explore energy production options in its northern friendly neighbour. With Hugo Chavez to the south and dependency on Middle East oil a reality; strong relations with a friendly near-by oil producer are vital.

Grim economic news has not gone away and demand remains low despite this weeks temporary spike in price. Wall Street ended Thursday in the red with the Dow Jones index closing at a six-year low. The big mover was the jobless figures released this week that showed more people were unemployed. US automakers are re-submitting restructuring plans and the American stimulus package may not be enough to save the nation. The US dollar also declined against the Euro. Small and mid-size banks are suffering in the US as businesses default and the crisis is now being felt in Eastern Europe and developing parts of the West. The combination does not make for optimistic reading on the economic front.

As the American Secretary of State, Hilary Clinton heads to China, the country has done a creative energy deal with Russia, promising to provide them with US$25 billion of loans in return for cheaper Russian oil. Russia is in the midst of a severe recession and with lower oil prices, China was able to secure an excellent deal. PetroChina and China Petroleum and Chemical Corporation signed the oil-for-loans agreement, giving China access to Russian oil at a price around US$20 a barrel. China is the worlds second biggest energy consumer and has seen growth rates decline in the last year. China will receive the equivalent of about 300,000 barrels a day for the next 20 years. Russia has also agreed to build a branch of the Siberian pipeline on the Chinese border. Analysts say this deal is equivalent to close to 4 percent of Chinas daily oil consumption.

As Nigeria prepares for its major Nigeria oil and gas conference next week, regional militants have stepped up attacks on oil vessels and installations. Some export tankers in the oil rich Niger Delta are limited to daylight production for security reasons. Shells Bonny terminal is impacted as is the Agip Brass loading terminal. The Government and NNPC will be eager to present a business-as-usual position to prospective investors in Abuja next week.

OPECs biggest oil producer, Saudi Arabia is concerned about domestic gas supply, particularly if oil production falls below 8 million barrels a day. Saudi Arabia has been an active proponent of the agreed cuts, but the Kingdom could be suffering if production goes too low. A report this week from Jadwa Research quotes chief economist Brad Bourland, with prices yet to show any signs of recovery, the Kingdom is planning to reduce production by an additional 300,000 barrels a day.

This could put Saudi Arabia production below the 8 million barrel a day production level.

Oil production in Europe has suffered in recent years, but StatoilHydro has seen record production levels in the forth quarter. Norways oil producer said its reserve-replacement ratio fell to 34 percent, but added that it was keeping an up-beat longer-term view in the midst of this economic downturn. Reserves of StatoilHydro have been falling in the past three years, but the company is looking at joint ventures and has expansion plans in oil producing countries.

No one is expecting a huge increase or decrease in the oil price in the months to come. As we head into the second quarter, OPEC members will be watching the supply carefully and will be ready to make further cuts to production in March if need be. If prices can be maintained above or around US$40 for the summer season, producers will be content for the time being.

Another good discovery by Dana....if only the price of Brent would rise !.

is Dana Gas the same as Dana Petroleum then?

A quick smash and grab by myself this morning.

Loads err money cyners.

hey "shitty digit", how about telling us about the stinkers you have!

Not had any for a while. Sorry HOC not playing the game right at the moment.

Dont you worry cyners if I get one going against me Ill admit it. Personal Pride doesnt play any part in my trading approach.

its run the winners and get rid of the stinkers.

good luck.

18 bid rumours now 14.50

False alarm, just a pump and dump!
http://www.lse.co.uk/StockMarketNews.asp?ArticleCode=f8lbwsmtn0xqza4&ArticleHeadline=dana_petroleum_not_in_takeover_talks_-_sources

Nice upward trend with the graph even though there are 100p ups and downs !.

no way would dana accept 18 anyway given that oil price is rising rapidly and through more time will be lot higher

thats about 35% increase to 18 quid, big deal.......this was tipped last year between 25 to 30 quid by all the major brokers

.Published: Aug. 3, 2009 at 12:44 PM
ABU DHABI, United Arab Emirates, Aug. 3 (UPI) -- Emirati energy giant Dana Gas moved closer to its production target of 40,000 barrels of oil equivalent per day with its latest discoveries in Egypt.

Dana Gas announced two new discoveries in the Nile Delta with its Sharabas-1 and Sama-2 operations, the latest in a slew of discoveries resulting from an aggressive drilling campaign in Egypt.

The company, the largest private natural gas company in the Middle East, said the finds would add 76 billion cubic feet of reserves to its portfolio, moving Dana Gas closer to its goal of reaching 40,000 barrels of oil equivalent per day.

Sharabas-1 holds an estimated 28 billion cubic feet of natural gas plus associated condensate, while the Sama-1 holds roughly 48 billion cubic feet in similar reserves.

"We are very pleased that our Egypt exploration program is continuing to yield discoveries," said Dana Gas Chief Executive Officer Ahmed al-Arbeed.

Dana Gas is the sixth-largest gas producer in Egypt, ending 2008 with a daily production rate of 31,640 barrels of oil equivalent.

ahem! .... surely Dana Gas is a totally different company from DNX = Dana Petroleum

oop's sorry.

sort of dumb mistake i would make - lol!

Was just passing the time looking for news of interest, slap on wrist.