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

wow, have you seen the size of the two recent big sells?

Hi Everyone,
Arrived back today to see it snowing! Canada has had none in the last three weeks , unbelievable!
Sorry didnt bring you back a prezzy Marky , money all gone on the 8 to 1 offer!!! Well thats my excuse anyway.
What do we think of Greenwich Resources selling out and just before the EGM ? Share down a fraction today , still holding well in my opinion.
Hi Eddie , what does today charts show. Should make interesting reading?
Regards
Berlingo

Hi all

Welcome home berlingo !

Well after todays trading I'm supprised the close wasn't lower. Some big sells went through. I think this was just jitters about the invetory data. Looks like oil prices are likley to stay high.


Oil futures higher after US inventory data
AFX


LONDON (AFX) - Oil prices briefly hit four-month highs following the release of US government inventory data which revealed that already low distillate stockpiles had taken a battering, dealers said.

At 4.58 pm, Brent crude futures for April delivery were up 24 cents at 50.35 usd/barrel, off a high of 50.80 last reached in November.

Meanwhile, the US benchmark April-dated contracts were up 27 cents at 51.95 usd/barrel, off a high of 52.40 last reached in November.

The Department of Energy reported US distillate inventories for the week ending 25 Feb were down 1.8 mln barrels. Heating oil stocks, which are included in the total distillate figure were down 900,000 barrels to 40.2 mln barrels.

However, crude stockpiles rose 2.4 mln barrels. Gasoline stocks were also higher by 1 mln barrels.

Industry data provided by the American Petroleum Institute was delayed slightly, but dealers said they were not perturbed as most refer to the government data.

The API reported distillate supplies had fallen by 1.4 mln barrels, a similar fall to the DoE.

The API also reported crude supplies had risen, but measured a higher level at 3.3 mln barrels.

However they disagreed with the DoE and reported a fall in gasoline stockpiles of 3.9 mln barrels.

'The fall in distillate supplies were no surprise, as it is still very cold in the US,' said Investec analyst Bruce Evers.

The US National Weather Service said it expects domestic heating oil requirements to be 14 pct higher than the norm this week, with the hike in demand is due to severe winter weather.

Overall the market is still very nervous and volatile, and is coming to terms with prices in a new higher trading range, he said referring to comments by Saudi Arabia's oil minister Ali al-Naimi last week.

'Naimi saying that (US) oil prices in the 40-50 dollars a barrel range is realistic.

'OPEC will struggle to cope with demand in the fourth quarter this year, and the Chinese stockpiling will begin in August, so its hard to see prices coming back down below 40 usd a barrel,' Evers said.

OPEC ministers are due to meet in Iran on 16 March to discuss forward policy.

OPEC, which supplies 40 pct of global crude needs, has also said it is keeping a very close eye on inventory levels.

'If OECD stockpiles go over 52 days of forward supply, and certainly if they reach 56 days then OPEC may go back to examining cutting its output,' all of which adds to a highly volatile market which is still in its bull run, Evers said.

raki.kotak@afxnews.com

rak/jfr

The chart for today, shows todays close just on top of last Thursdays blue candle. There was a gap up in this area between Thursday and Fridays candles. Althogh this was not a big gap it should still count as support (0.5075p). The candle we have shows indecision in the market, as I said before this was probably jitters ahead of the US inventory data. Also I think Greenwich Resources selling its holdings may have spooked the market. Going back to the 21/01/05 Greenwhich Resources announced losses of 224,000 stg agianst 171,000 a year earlier. They may be having cash problems. As I have said the support should be about 0.50p, the main trend is up. Des is still looking good !





Talisman Energy FY production grows strongly, balance sheet strong
AFX


LONDON (AFX) - Talisman Energy Inc said its results for 2004 show continuing strong growth in proved reserves and production, a sixth consecutive year of record cash flow and cash flow per share and a very strong balance sheet.

Cash flow increased 7 pct to 2.9 bln usd.

Net income was down in 2004, reflecting the sale of Talisman's Sudan assets and a number of tax changes in 2003. Total net income in 2004 was 663 mln usd compared with 1.01 bln usd a year earlier.

Production averaged 438,000 boe/d, an increase of 10 pct over 2003, setting a new record for production per share. Talisman grew its natural gas production by 16 pct to 1,259 mmcf/d. Oil and liquids production increased by 5 pct to 228,434 bbls/d.

2005 promises to be better still, said Dr Jim Buckee, president and chief executive officer.

He said world oil demand continues to press upwards against a limited amount of surplus capacity and prices may have to go higher yet to restrain consumption.

newsdesk@afxnews.com

slm/



Good Luck All

Eddie

Welcome back Belingo and thank you Eddie for the chart

GRWA free agents and have know money and i wonder if westmount have done the same and buy back at 45p.

Good luck to both GRWA and Westmount as they have been Spivs from the start and why should they not take a profit.

Now for my seat on that roller coaster

Markymar

http://www.rigzone.com/news/article.asp?a_id=20767


Rockhopper Exploration Inks Falklands Exploration Deal with Desire
Newsquest (Wiltshire) Ltd Wednesday, March 02, 2005


Rockhopper Exploration has signed an exploration deal with Desire Petroleum, which is already exploring in the Falklands.

Using an industry agreement called a farm-in in which Rockhopper has invested money in Desire in exchange for a slice of any profits three wells are being drilled off the islands.

Big things are predicted for the oil basins near the islands. The area is thought to contain about 60 billion barrels, putting the Falklands in the top ten oil-producing areas in the world. Related Pictures

Falkland Islands, Argentina
(Click to Enlarge)




Oil was first discovered in the mid-1970s near the Falklands, although wide

spread drilling has been slow to take off.

Some analysts have predicted that with the Middle East oil supplies uncertain in the current political climate, other sources of oil, including the Falklands, will become more and more important.

Rockhopper has already been awarded licences to explore 1,623 sq miles in the North Falkland Basin, 30 miles north of the islands.

It will spend the next few years developing the areas potential for exploration.

There are believed to be just three British companies exploring for oil in and around the islands Rockhopper, Desire, and Falklands Oil and Gas.

Rockhopper so far is made up of three people general manager Sam Moody, executive director Richard Visick, and executive chairman Pierre Jungels.

Swindon was chosen to house the office because it is central to where the three live when in England. Mr Visick, a solicitor, has several business interests in the Falklands including a hotel.

Dr Jungels said: We are looking to build the business over the next few years in what is an exciting and largely undrilled exploration region.

We are actively considering our funding options as we pursue other opportunities in the area that will enable us to grow the business

Hi all

Thanks markymar, good post !

Todays open 0.5075p high 0.5125p low 0.5075p close 0.5125p. Volume was low at 399,000 colective trades. The support held up again with a small increas of 0.005p. This has given DES a the first two candles of a harami pattern. The harami indicates a possible trend reversal. Although the trend has been small I think DES will complete the pattern tomorrow. I think the US inventory data was what stalled the last up signal. Now that is out of the way and the oil price is expected to stay high DES should move up.




Lets hope we end the week on a high !

Good Luck all

Eddie

Hi Guys
Thanks Eddie. FOGL up today nearly 20%. Seems like they are getting on a few tipsters lists.A fleet street special situations analyst tipped three Falkland companies recently including FOGL .I dont know if DES was tipped ?Anyone ? FOGL was oversubsribed , lets hope DES gets some attention/action soon.Like a smoking gun .
Any thoughts re Open Offer Shares , any predictions as too whether its gonna be under/oversubscribed. Will it depend on Institutional buyers coming in ?
Thanks all
Berlingo

Surprised you guys are not discussing FOGLs large rise yesterday. There were some 500,000 block purchases that drove the price straight through the previous high. That suggests institutional buying or a takeover. Global petroleum is coming to AIM on Monday, presumably to raise money like other AIM stocks recently, which means there is now a pool of players with money who can share rig costs and do some serious drilling in the Falklands area. FOGL will no doubt accelerate their surveys to borrow Desires rig. It all looks like it is being planned to work whether or not a major joins the party. Any thoughts why FOGLs rise, I don't think it's a tip sheet response.

Fogl are years behind Desire and the difrence is we no what is down there and Fogl dont and Fogl are only doing 2D a lot more work needed by them first.

Which is why FOGLs rise is so unexpected - I was after a conspiracy theory answer.

Don't worry...when FOGL rises, DES will follow suit in due course...just be patient.

Fact is, FOGL are on the march but DES aren't (although a tad better this morning).

I can only assume this is because of the open offer. When it is voted for at the EGM and people realise that they have nowhere near as many excess shares as they were hoping for....then we are in for a major flip up ...here's hoping.

Try to stop looking at the here and now and remember why you originally invested in des. If like me you saw an opportunity to treble (conservative) your money in a year or better please be mindful of the fact that we are only in month 3.

I fully understand everyones sentiment but every dog has his day.

The BIG news is coming but will not be rushed.

Keep the faith

beaver

Hi all

Just thought I would stick an intraday chart on the board. You sould see a dragonfly doji. This was a red candle but the buyers have come back in and changed it to a doji. It looks like the buying will continue.





Good Luck all

Eddie

Afternoon all
More volume today.Investors buying in/topping up before the 10th.Good sign.Will be interesting to see if confidence continues on Monday? Look forward to the charts Eddie.

Hmm FOGL at 120p, even FGML is up and now Just had a phone call to say news out next week. Have a good W/E fellow share holders, next week should see some news and Desire's SP back on an upward course.

Hi all

Yes berlingo the chart looks much better !

Hi markymar.

Thanks to all posters !


It looks like we have our harami confirmation. The candle is big & blue, volume was not to bad either. I think as luckyswimmer says DES should move up next week. I think today is the last day for the open offer, which only leaves the EGM. We may have some news leak bofore then. Either way DES has started moving up ! The 1 for 8 is up at +18.89% at the moment ! The hype of the EGM should add fuel to the fire !





Oil - Brent flat in volatile pre-weekend trade after Thursday's surge
AFX


LONDON (AFX) - Brent futures were flat after fluctuating in volatile pre-weekend trade, with some fresh buying in the dips interspersed with profit-taking after yesterday's gains, dealers said.

At 5.15 pm, Brent crude futures were up 3 cents at 51.98 after surging almost 2 usd yesterday.

Meanwhile US futures were up 13 cents at 53.70, after climbing over 2 usd/barrel to 55.20 yesterday.

'Fresh buying keeps emerging when prices trade lower, but overall we are still in the midst of a bull run,' said GNI-Man Financial trader Kevin Blemkin.

'Prices overall are now trading in a new higher range, and they could go higher still, after all we are in the same position as yesterday before we hit new record highs,' he added.

US oil prices have steadily increased with speculation and institutional investors flooding the market since Jan 2002, when US prices traded at 20 usd/barrel.

Behind the speculation are concerns that energy 'supplies will not be able to keep pace with rising world demand,' said Fimat analyst Mike Fitzpatrick.

In other words, the market is anticipating a replay of last year's events, when a surge in global oil demand and a series of supply disruptions and refinery glitches caused prices to crescendo.

Yesterday a series of small gasoline refinery problems in Texas caused were one of the factors that caused US gasoline futures to hit a record high of 1.5450 usd/gallon.

'The fear is that surplus stocks could quickly be drawn down if disruptions multiply,' Fitzpatrick noted.

The reaction was what you might expect from a market trading on nerves, said Investec anlayst Brude Evers, adding that the tight supply demand situation looks to continue this year.

'Between June-August North Sea terminals will come off line for maintenance. And August will also see the start of China building up its emergency stockpiles.

'If the fundamentals are tight now, they look to get even tighter still in the second half of the year' Evers said.

As global demand are expected to continue, oil prices will invariably surge higher.

'With no new production in sight, and all these constraints in mind, 60 dollars a barrel for US oil prices is not out of the question. Any supply disruption would drive prices higher. If there is a repeat of last year's disruptions then 60 dollars is also possible for Brent crude,' Evers noted.

raki.kotak@afxnews.com

rak/hjp


Just a little scenario. Lets say DES goes up by 2-3% each day from Monday to Thursday, then on Friday We get a bullish EGM. DES then goes up by 10-15%. DES could well be at +18-27% by the end of the week.


Any thoughts / scenarios ? (Better ones please)

Good Luck All

Eddie

Hi All,

Eddie thank you for putting your head on the block every night and give or take the odd day your right with the charts. I see british bulls have it back at Buy tonight.

Lucky you say news what kind of news and how positive are you of this news you know my email on moneyam.

Belingo your trip was it a holiday , always a place i wanted to go to would be good to hear more about as this time next year might be possible.

Have a good weekend all

Markymar

Hi there's a story about DES and a north Sea rig on www.platts.com anyone got access to it. S. http://www.platts.com

Hi all
Hi Markymar , yes it was a holiday to Canada , Whistler and Banff . The Canadian Rockies are stunning. This is a good time of year to go as it is their low season , so you can get great some great deals ! And as the pound is strong ( i got $2.28 c.dollars to our ) e/thing is a lot cheaper . However i recommend not going in Jan, far too cold . I challenge anyone not to have had a nice hol in Canada. They are so kind and professional !
Regards the Open Offer , how long after the 10th will we be informed if we got our extra shares , and whats to stop a mass sell off of these , especially if the price goes up BEFORE the 10th giving an instant profit to thousands of investors? Just hoping this doesnt create a reverse trend , cos if oversubscribed MM`s should be scrabbling for stock !
Good weekend all
Regards
Berlingo