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

but a damnfool idea to have 23% of your entire portfolio in this region

http://www.lse.co.uk/FinanceNews.asp?ArticleCode=hduxxrhbec1da3o&ArticleHeadline=BRIEFRESEARCH_ALERTJefferies_downgrades_Cove_Energy_Tower_Resources


* Jefferies raises Desire Petroleum price target to 18p from 14p;

rating underperform


.

What the hell happened to the DES sp? Or is that something to do with today's outage?

Nothing.

21.75 - 22.50 +1p

My stockwatch is showing 11.5p (Also Randgold down 100%, so I suspect I need to reboot!)

Harry - I'm getting the prices here.

Cheers for that skinny. I use Digitallook as a backup site and looks like MAM are going to have to sort out a few price glitches today, so will have to multi-task for a while!

These are notes taken fron Desire AGM in June,i have now re topped up on Desire today as i hope they are bought out or the oil which they hold in Sea Lion will be bought out.

With a market cap of only 73 mill the offer made by a partner knowing what was made to RKH we should see this SP double depending on deal.

"DES are not party to any discussions with third parties - and neither do they expect to be at this stage. Stephen Phipps did agree that Anadarko, with their DoD connections would make an excellent partner but added that they had no inside track, apart from reading about the famous visits by the company jet to the FI). The assumption is that RKH's chosen partner will conclude negotiations with RKH and only then will they open discussions with DES and other interested parties in the 'Unit'. "

DES are price takers and are not in a decent negotiating position. I wouldn't expect miracles (eg oil to water) even though they have form in that regard.

based on the enthusiasm that greeted RKH's deal yesterday, i think mark's b/o estimate is wildly over-optimistic

Guess we will have to wait and see,my average price now is 21p,also my biggest holding, then RKH then FOGL.

Not holding BOR

there's a CPR out today which is clearly trying to make DES sound much more alluring than it is ...... hahaha!

StockMarketWire.com
North Falkland Basin-focused Desire Petroleum is delighted that a recently-completed competent person's report indicates its prospect inventory continues to strengthen.

The report on the Elaine and Isobel prospects - prepared by Senergy (GB) - covers the interpretation results from the 2010-2011 merged 3D seismic data.

A CPR covering the full prospect inventory from the merged 3D seismic data will be available in the fourth quarter.

The Elaine and Isobel prospects are located wholly within the PL004a licence in which Desire has a 92.5% interest.

Desire says the highlights include:

* Best case un-risked prospective recoverable oil resources net to Desire are estimated to be 312 MMstb

* The Elaine and Isobel fans are developed in the southeast of the basin within the basal part of the F sequence and are similar to the Sea Lion fans further north

* The seismic expression indicates a thick, sand-prone interval inter-bedded with mature oil source rock and combined structural/stratigraphic traps mapped on the downthrown side of the basin-bounding fault system

* The volumetric assessment of the total Elaine and Isobel prospect area indicates gross prospective resources which are comparable with the size of the Sea Lion field and with a geological chance of success of 30%

Desire chairman Stephen Phipps said: " We are delighted that our prospect inventory continues to strengthen and that some of the best remaining potential in the North Falkland Basin is within licence PL004 in which Desire has a strong equity position.

"The Elaine and Isobel prospects are very attractive drilling targets, particularly as the basin moves into a new phase of activity.

"The planned development of the Sea Lion discovery demonstrates the commerciality of major discoveries in the basin and we are optimistic that the Elaine and Isobel prospects can deliver significant value for our investors.

"As our prospect inventory matures, we will be seeking industry partners to participate in further exploration of our licences and the quality of prospects like Elaine and Isobel provides a strong platform for success."

That's what Desire always say over the past 10 years, but no significant oil has been found. RKH has a much better track record.

bet you couldn't turn oil into water!

But Desire can a few years ago. Hahaha.

StockMarketWire.com
Explorer Desire Petroleum, which is focused on the North Falkland Basin, said its for the half-year to end-June period decreased from $39.3m (restated) in the previous period to just $2m, due to a fall in exploration and evaluation expenses.

The 2011 exploration and evaluation expense of $39.7m (restated) largely consisted of unsuccessful Ninky well costs and 3D seismic expenditure incurred during that period. These costs have reduced to $0.7m in 2012 following the completion of drilling and seismic activities.

Net Administrative expenses for the period increased from $532,000 to $831,000. This was entirely due to a reduction in the allocation to joint venture licences, with gross administrative expenses in line with the previous period.

The exchange movement for the period showed a small gain of $66,000 compared with a gain of $821,000 in the previous period, and arises primarily on the Group's Sterling cash balances, which were held both directly by Desire, and as restricted cash within escrow accounts. The period end exchange rate of $1.568/£ was little changed from the rate at the start of the period ($1.554/£). Investment revenues of $20,000 in the year were lower than 2011 levels due to a reducing cash balance during the period.

The tax charge of $447,000 and the finance costs of $48,000 for the period represent estimated provisions for the settlement of corporation tax liabilities arising in respect of investment revenues in prior years.

The group capitalised $0.7m of exploration and evaluation expenditure ("E&E") in the period. The only E&E assets carried forward at the balance sheet date are those in respect of the farm in area PL004b, where the Group holds contingent hydrocarbon reserves. All other E&E costs have been expensed in the Income Statement, in accordance with the Group's successful efforts accounting policy.

Gross provisions at the period end have reduced from $25.7 million to $nil, following the demobilisation of the drilling rig and equipment at the conclusion of the drilling campaign.

The Group's cash resources at the period end amounted to $12.7 million, plus an additional $1.8 million held as restricted cash in escrow accounts with AGR to meet liabilities within creditors.

Due to the Group's available cash resources at the period end, the Directors have a reasonable expectation that the Group have adequate resources to continue in operational existence for the foreseeable future.

Stephen Phipps, Chairman, said: "Recent developments have highlighted the exciting potential of the North Falkland Basin and it is Desire's intention to seek a high quality farm in partner to help us capitalise on this potential, with our share in recent discoveries, material positions in well defined prospects and the exploration potential across our remaining acreage."

Highlights:

Competent Person’s Report (‘CPR’) on the 14/15-4a well results give net to Desire contingent resources of 85 MMstb oil and 178 bcf gas

Rockhopper Exploration’s CPR indicates that Desire has an estimated 4% of the Sea Lion discovery

CPR update on the Elaine and Isobel prospects with estimated best case un-risked prospective recoverable oil resources net to Desire of 312 MMstb, with a geological chance of success of 30%.

A CPR covering the full prospect inventory will be available in Q4 2012

Licence extensions on Tranches C, D and F, subject to Executive Council approval

Loss for the period of $2.0 million decreased from $39.3 million (1H 2011 restated)
The Group’s cash resources at the period end amounted to $12.7 million

basically DES is all but bankrupt as far as i can see

http://www.guardian.co.uk/uk/2013/mar/12/Falkland-islands-referendum-votes-yes

Falkland Islands referendum: overwhelming yes to staying British Only three vote no in unsurprising landslide, which Argentina dismisses as irrelevant in deciding ownership of territory