The tiny Irish stock on the brink of landing 'the first' post-sanction oil deal in Iraq. Ref 'Fleet Street Letter' 12-04-04..

why be so upset? we all had a bet and we all lost. nobody makes you bet and nobody makes you hold. grow up and stop blaming everybody else when there is no-one to blame but ourselves. put your money in the bank in future

It was Merrill Lynch that has been pushig this sp down and now funnily enough there trying to push it back up again. This is typical of the m.m's trying to square there books off for the end of the year!

Tokyo
Any idea of the value in the outstanding tenders, both to the company and sp? Can't see why the loss of the 1st two means the whole company is a write off. Major blow ...but the end?!?

Beastie - What else could they have done? they put together a strong tender, perhaps their risk/reward ratio was too high for the Iraqis will shall never know, but I still feel the drop was an over reaction and we shall see it bounce back another 10-20 pence, as other contracts are announced.

You've also got NBR the same as me, and I'm pretty sure we shall see an RNS from them next week, so it is keeping me calm, but I certainly took a battering on the paper profit today!!!!

tokyo

Sandrew 3rd tender is the biggest see e-mail above, but losing the chance of the 1st 2 is a major blow to the PET SP no doubt about it, but PET are certainly not down and out.

Sibir Energy replated info from Yesterday via Internal Partner Email

Current | Archive

Production at West Salym starts a year ahead of schedule
15-Dec-2004
An important milestone in the development of the Salym Group of oil fields in Western Siberia

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Salym Petroleum Development N.V. (SPD) has reached an important milestone in the development of the Salym Group of oil fields in Western Siberia. One year ahead of the schedule stipulated by the License Agreement, SPD commenced oil production from wells in West Salym, the largest of the Salym fields. Putting producing wells into operation early will ensure SPD not only achieves the production levels stipulated by the Technological Schema (Field Development Plan) but also acquires new data on the pay zone characteristics, well rates and other key parameters and thereby be best prepared for full-scale commercial development of West Salym.

The oil produced from the initial wells will be exported by road tankers from West Salym to Upper Salym for further shipment to customers. This oil evacuation pattern will be continued until the Central Processing Facility (CPF) in West Salym and the oil export pipeline have been commissioned. This pipeline will transport the oil from the CPF to a tie-in into the Transneft main trunk pipeline system at Yuzhny Balyk Booster Station.

The construction of these essential field infrastructure facilities is now under way. Simultaneously, drilling operations are continuing on West Salym well pad 20, and another two drilling rigs are on schedule to be mobilized early next year to increase the drilling scope. As a result, new well pads are being built as well as infield roads and other facilities.

"The start of oil production from West Salym is a major achievement that we can be proud of", commented SPD's CEO Dale Rollins. - "This is the result of combined efforts of SPD and our Russian contractors. Within a relatively short timeframe, just over 1 year, a huge work scope has been carried out to put West Salym surface facilities in place. We will continue to increase the development pace, ensuring in the process compliance with the Russian environmental protection regulations, SPD Health, Safety and Environment standards, and with due regards to the needs of the indigenous people. Our next important milestone is the completion and commissioning of the CPF and oil export pipeline, which will enable us to sharply increase oil production and respectively commercial revenues from the Salym Project".

Salym Petroleum Development NV is a company established on a 50:50 basis by Shell Salym Development B.V. and OAO NK Evikhon controlled by Sibir Energy. SPD holds production licenses for all three of the Salym fields, which are located in the Khanty-Mansiysk Autonomous Okrug in Western Siberia, 190 kilometres from the town of Nefteyugansk. It includes West Salym, Upper Salym and Vadelyp.

Development and production from Upper Salym has already begun, and Vadelyp production is due to start in 2006. The production from West Salym, the biggest in the Salym group of fields, is expected to peak with at least 120,000 barrels per day by 2009.

SPD began intensive field development work in the autumn of 2003 after SPD shareholders had taken the decision to proceed with the Salym fields under the tax/royalty regime and approved the budget in excess of US$ 1 billion. Since then both SPD and the Salym Project have progressed at a rapid pace. From an organization with 15 staff in early 2003, SPD has grown to a large company with offices in Moscow, Tyumen, Nefteyugansk and Khanty Mansiysk. Currently, some 500 Russian and foreign specialists work in SPD.

An all-season 50-kilometer road, energy supply facilities, storage tanks, field camps, a helipad and other major field infrastructure facilities were put in place in West Salym. Drilling operations are ongoing as well as construction of new well pads, infield roads and the Central Processing Facility (CPF). The CPF is designed to handle West Salym's planned production of 6 million tonnes of crude oil per year with an option for expansion to 9 million tonnes per year after Upper Salym and Vadelyp fields have been tied-in. The construction of a 90 kilometres long oil export pipeline is under way. The pipeline will transport the oil from the CPF to the Yuzhny Balyk Booster Station, the point of a tie-in into the Transneft main trunk pipeline system.

Investments in the Salym Project will total US$330 million in 2003-2004. The majority of the funds are used for payments for the goods and services of Russian contractors and subcontractors of SPD. Some 800 large and small Russian companies, firms and research and development institutes, mainly from Western Siberia and the Urals as well as from Moscow, Saint Petersburg and other cities, are now working on the project. Federal and regional budgets have already been receiving tens of millions of dollars in taxes and fees paid by SPD contractors. The region's community development also benefits from SPD's activities. SPD has committed US$2.5 million for community development purpose in 2003-2005.

US$278 million will be allocated for the operations and continued development of the Salym Group of oil fields in 2005.

Tokyo, I know. I'm just bein petulant. I'll gather my toys back up at some point. When you sit on a nice profit for months you start to form an emotional attachment. Ultimately stupid of course.

Warning to others; FTO has at last broken upwards through resistance. This undoubtedly means that they will now plummet too. This WILL contravene the rules of charting cos I've got some. What a shit couple of weeks.....

i`ve been screwed by the spread on this its silly season in bishopsgate,just had an email from my broker to say,the deal it not how it seems,,office juniors,,dont you just love um..

this on advfn

Reuters Update:

A Canadian firm named IOG will develop the Himrin field, the official added. Canada's Ironhorse Oil and Gas Inc (IOG.V: Quote, Profile, Research) denied that it was the company in question.

Here is the link to the updated (yet again) Reuters news
http://www.reuters.co.uk/newsArticle.jhtml?type=topNews&storyID=7114804
Ironhorse Oil & Gas have denied they are the company in question.

Tokyo if you are around what do you make of it?

Daz

I really feel for you guys. I went through a rough time with PCI and lost a packet.

I've just cottoned onto this one today, it's obviously been
an awful day, sorry guys and gals, I hate to see anyone take
a whack like this even though we do all see it happen from
time to time, it isn't something you can ignore.
Can't say any more....one thing we all can do on a BB is
listen to and support each other in good and bad days.

Bit of upward movement since the Reuters update came out. Is there any suggestion that Reuters were fed a duff story in the first place? This really needs clearing up asap.

IOG's shares haven't moved.

Got a feeling that a certain Iraqi oil official may be left outside the green zone with only his hard hat to defend himself with!

But if Ironhorse oil and gas didn't get the contract, who did? Surely there can't be two oil prospecting companies that share the same initials?

Thnaks to those who expressed sympathy.

My kid wont have her Disney trip after all.

Which means more to me than losing on this share.


I detest the slime that is mocking the loss as they shorted on the falls.

I really wouldnt piss on them when they burn in Hell, which I trust will be soon.

,,,,err,,,,,,il a du regretter d'avoir parle ,,err,,voulez-vous boire quelche chose,,?, Despite what you may think i HATE seeing decent people loose money Needless to say we shorters have been waiting for this ,,,,,ln droves, of course and in disguise as is bourne of inevitability .Akin to a good poker player who never shows his hand ..Personally i only shorted to the 50p level. , ln my opinion this thread was NEVER based on rationale and logic; lt was no more than a series of consensus logics based on no more than pure greed and hope which served to bolster one anothers attitudes. The real money was made on the original takeoff from the 44p to 150 level and being a percentages man i sold PET at 140p having bought @ 47p ( and there were plently of SELLERS at that price ,,,bought heavy volume on retraction @ 90p and sold @ 116p ,,,Banked my money and walked away ,,,,,,,,end of story for me. But i feel PET will be rewarded in some manner for past services and hence it is not the end of the story for them yet; and therefore for thier shareholders . . .....

Livvy
The game may not be over yet. The share may be down but it is not yet out.

Can understand Livvy - sometimes I think people post
first and then think second, not realising always the
impact on others. I would hope there is no-one on this
board that would deliberately 'rub salt' - we all get
caught on a bad share at some time and often more then
once.
:>)

Livvy if you are still holding shares, don't cancel the disney trip yet!

the PET story is far from over