STRATEGY

•FOGL seeks to add shareholder value by pursuing an aggressive exploration programme in its licences to the south and east of the Falkland Islands. Exploration drilling will continue in the deep water areas of FOGL’s licences in the first half of 2012. If successful, this drilling could lead to the development of a new hydrocarbon province in the South Atlantic.

Next Phase of drilling

In the first half of 2012 FOGL is planning to drill two wells in the deep water area of its licences.
FOGL has contracted the Leiv Eiriksson rig to undertake this drilling programme. The rig is due to arrive in the Falklands in early 2012 when it will initially drill two wells for Borders and Southern Plc (B&S), before commencing the FOGL drilling programme. The B&S wells are to be drilled on the Darwin and Stebbing prospects. The results of these wells will be of interest to FOGL, because we have similar plays and prospects within the southern part of our licence area.

The first well to be drilled in the FOGL programme will be on the Loligo prospect. A number of options exist for the second well, including potentially a well on Scotia, a prospect within the Mid Cretaceous Fan Play. The final decision on which prospect will be targeted by the second well will be guided by the results from Loligo.

Funding

As at 7 September 2011 FOGL's available funds, including the BHP Billiton settlement, were $150.8 million. The Company is debt free.


2012 Drilling Programme

The Leiv Eiriksson a harsh environment rig has been drilling wells offshore Greenland for Cairn Energy. That campaign is expected to finish by the end of November 2011 after which the rig will head south to the Falkland Islands. The rig will first drill two wells (about 90 days drilling) for Borders and Southern Plc (B&S) before moving on to the FOGL programme. The transit time from Greenland is expected to be approximately 60 days.

A great deal of work has gone into the planning of the FOGL drilling campaign and over the preceding years a large amount of data has had to be collected to so that the drilling can take place.

Seismic data was acquired from 2004 to 2007 and again in 2011, CSEM in 2007, site surveys in 2009 and 2011 and metocean data, from permanent current meters, in 2009/10. Well planning essentially started in 2009 with the drilling of three, 200m deep, geotechnical boreholes. This data helped with the planning of the shallow section of the Toroa well (FI 61/05-1) and has been extensively used in the planning of the deep water programme.

The first well in the FOGL programme will be on the giant Loligo prospect. A second well will also be drilled by FOGL using the Leiv Eiriksson and site surveys have been acquired over the following prospects: The Nimrod Complex and the Vinson prospect in the Tertiary Channel Play, the Scotia or Hero prospects in the Mid Cretaceous Fan Play and the Inflexible or Endeavour prospect in the Springhill Sandstone Play. Options that are currently being considered depend upon the results of the first well on Loligo. The final play in the FOGL acreage is in the Fold Belt in the south west of the FOGL acreage. This play is being tested by B&S at their Stebbing prospect. Similar features exist within the FOGL acreage and the results of the well will be closely monitored. In addition the B&S, Darwin well is targeting a tilted fault block which again shows great similarities with several prospects in the FOGL portfolio (Inflexible, Thulla etc.). Depending on the results of Darwin FOGL may consider a well on Inflexible as the second well in the programme.

FOGL’s main focus is on the two younger plays, the Tertiary Channel and the Mid Cretaceous Fan play. FOGL has been working on the Mid Cretaceous play for some time but it was only in late 2009, when the seismic data had been fully reprocessed, that it became clear that this major new play was viable. The play is analogous to the ones being successfully targeted in West Africa (the Tullow Jubilee field in Ghana and other discoveries along that margin) and the general geology, depositional setting and even the AVO response (Class II response over Scotia and Hero) are remarkably similar. The two main prospects, Scotia and Hero, both contain prospective resources in excess of 1 billion bbls. One of the key features that makes this play so attractive is that the reservoir sands sit directly above the mature Aptian oil source rocks which were sampled in the DSDP wells to the East of the FOGL acreage.

2012 DRLLING TARGET LOLIGO

The shallowest target alone covers an area of over 600sqkm. The Loligo prospect was first mapped in 2006 and has been re-mapped and re analysed several times since then. It is a large stratigraphic trap which is supported by a very consistent Class III AVO response on the seismic data. It is an ‘easy to map’ anomaly which stands out clearly above the background seismic responses when compared to the entire basin. In addition, it sits directly above an old high which used to separate the Southern basin (Fitzroy sub-basin) from the Northern basin (Volunteer sub-basin). This old high seems to be acting as a focus for hydrocarbon migration from deeply buried source rocks in each of the sub basins.

Beneath the southern part of Loligo several other prospects within the Tertiary Channel play, overlap and may be penetrated by one carefully located well. The deeper prospects (each covering an area similar to Loligo) have been called Trigg and the Three Bears. Together these prospects are called the Loligo Complex. The prospective resources (recoverable oil) associated with the Loligo complex, are in excess of 4 billion bbls of oil or over 25tcf of gas.




FOGL is focused exclusively on offshore oil and gas exploration in the Falkland Islands.

We are pursuing an aggressive exploration programme that could lead to the development of a new petroleum province in the South Atlantic. The joint venture operations have now moved into the drilling phase.
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Most prospects in 2,000 – 4,500 feet water depth (610 – 1372m)

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Target horizons: 6,000 – 13,000 feet below sea bed lever (1829 – 3962m)

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Falklands weather is similar to West of Shetland

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Remote location but there were no major issues during 1998 drilling campaign

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Anchored semi-submersible or drillship for exploration drilling

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Tried and tested technology for developments



Falkland Oil and Gas Limited Licence area.




FINANCIAL SUMMARY http://www.fogl.com/fogl/en/Investors/performance

FOGL HOME http://www.fogl.com/fogl/en/home

http://www.stockopedia.co.uk/content/falkland-oil-and-gas-2012-its-time-63024/

No diced carrots please!

StockMarketWire.com
Falkland Oil and Gas Ltd has issued an operational update ahead of its annual general meeting.

CEO Tim Bushell said: "Since becoming operator and 100% owner of our licences on 31 March, we have secured a suitable rig, put in place funding for a two well programme and have established an experienced drilling management team.

"We have also accelerated all the other required work streams in preparation for our drilling programme which is expected to commence in the first quarter of 2012."

On 19 May FOGL announced that it had entered into an assignment agreement with Borders & Southern Petroleum and Ocean Rig 1 Inc to contract the 'Leiv Eiriksson' for two firm drilling slots.

The rig is currently expected to arrive in the Falkland Islands in the fourth quarter of 2011.

FOGL will utilise the third and fourth slots in the combined B&S and FOGL programme and expects to commence drilling in the first quarter of 2012. FOGL says it has made significant progress in establishing a strong and experienced drilling team managed by Dave MacKay, who has been appointed drilling manager.

He has over 29 years of international drilling experience and is a specialist in deepwater drilling having worked for the last 12 years for BHP Billiton.

Mike Thomas has joined as operations manager and he has over 30 years of oil industry experience with Clyde Petroleum, Paladin Resources and most recently was COO for Dominion Petroleum.

FOGL said that on 24 May, the Executive Council of the Falkland Islands approved the withdrawal of BHP Billiton from the northern licence area and transfer of operatorship to FOGL.

It also approved a six month extension of Phase 1 of the northern licence area from 15 December to 15 June 2012.

This extension requires the final approval of the British Foreign and Commonwealth Office, which is expected shortly. FOGL is required to make a mandatory relinquishment of 20% of the northern licence area at the end of 2011 as required under the existing licence terms.

The second phase of the Northern licence area does not expire until 15 December 2015 and carries the obligation to drill a single exploration well. FOGL has already entered phase 2 of the southern licence area and no further relinquishment is required.

FOGL says the latest site survey programme has now been completed.

A total of five site surveys were completed on the following prospects: Inflexible, Vinson, Scotia, Hero and Loligo.

The site survey on Loligo was the fourth site surveyed on this prospect following three previous site surveys conducted in 2009. Having a range of sites on Loligo will enable us to determine the location of the initial exploration well and also, in the event of encouraging results, potential appraisal drilling sites.

Separately, FOGL is planning to acquire some additional focussed 2D seismic over the Scotia and Hero prospects.

This data will be used to fine tune the location of an exploration well on either of these two prospects.

FOGL is currently in early stage discussions with several parties who have expressed an interest in participating in our exploration drilling programme.

The company does not however anticipate concluding any farmout agreement until later this year.

KeywordCompanyEPIC/TIDMSEDOL/ISIN Print Thursday 09 June, 2011Falkland Oil and Gas
Result of AGM
RNS Number : 1446I
Falkland Oil and Gas Limited
09 June 2011





Wednesday 9 June 2011



Falkland Oil and Gas Limited

("FOGL" or "the Company")



Result of Annual General Meeting



FOGL, the oil and gas exploration company, held its AGM yesterday and can confirm that all resolutions were duly passed.



Enquiries:



Falkland Oil and Gas
+44 (0) 207 563 1260

Tim Bushell, Chief Executive





Oriel (Nominated Advisor)
+44 (0) 207 710 7600

David Arch





Financial Dynamics
+44 (0) 207 831 3113

Ben Brewerton / Ed Westropp






This information is provided by RNS
The company news service from the London Stock Exchange

They only have enough money for one drill,hence the cap will be doing the rounds.

http://en.mercopress.com/2011/06/09/oil-company-confirms-falklands-drilling-and-farm-out-accord-in-coming-months

Thursday, June 9th 2011 - 08:36 UTC

Oil company confirms Falklands drilling and farm-out accord in coming months
Falkland Oil & Gas confirmed on Wednesday drilling operations will begin in the first quarter of 2012 and revealed it is in early talks with firms interested in taking part in its exploration program south of the Falkland Islands. The company however anticipated it did not expect to conclude any farm-out agreement until later this year

Apologies in advance for spelling as spell checker not working and I am dyslexic.

I feel that the sp is down purely on sentiment, as it can't be due to sells, unless there are some to come through we don't know about.
All that 'realy' matters are the figures connected to the oil side of the business. At the moment profit figures are not as important as revenue figures. FKL are investing for the future.

Falklands Islands Company ("FIC")

Revenue up 20% to a record 14.9 million (2010: 12.4 million)

Buoyant retail sales resulted from recent investment in West Store and oil exploration activity.

Sales growth was most notable in FIC's "warehouse" sales to local businesses and oil rig suppliers which increased by over 42% to 1.8million.

And remember although NAPS are down on last year they are still a value of 332p, ...............Net assets per share at 31 March 2011, including intangibles, were 332p (2010: 376p per share).

And since march Fogl have a rig slot and RKH (who will no doubt play a bigger part in the FKL share price) are looking better and better as time passes.

Greek

Purchased a lump last week at 52p to add to my other holding in FOGL.

Good news for the Falklands from RKH, although they themselves need to find more oil as developing what they have at the moment will push them to the limit as a singular find - the news is positive for the others, being FOGL, BOR, DES and ARG as it means development activity will be happening in the area.

.

New thread with a clean header.

http://www.moneyam.com/InvestorsRoom/posts.php?tid=16040

.

Why? this thread gives continuity. No one cares about a 'Clean header'. Or is this all about you?

Up to you, I got fed up of scrolling down through the header of this one.

You use whichever you want to - thats your choice - your prerogative - so why moan ?

Simply do not use the other one if you do not want to........ its that simple.

Harry, don't be silly, you know exactly why there's a new thread - it all helps with the next ramp!

pth
Very good ROFL! There are more 'ramps' in Proselenes than there are for the elderly in Kissimmee, Florida!

Just to clarify this, I am not moaning. I am asking a direct question, giving you my reasons for preferring to continue with the current boards and suggesting that this 'Clean up' operation is more about your ego than efficiency. Deal with it.

I c we have a new ramping thread done by Pro......FOGL only have cash for one or two holes tops chances are very slim.

So as to not takes sides in a personality dig, I will stick to my view of needing and the use of a new thread.

I for one can't see the point of a new thread. Yes it does take a couple of split second to scroll down, but as there are very good (and a few bad) posters here I can't see any reason for a second thread.
The only time I can see any point of a new thread is if a thread has been taken over by idiots, something I don't think has occurred here.

Still if someone starts a double thread, thats up to them.
It is also up to me which one I follow.
From my previous comments, it should be obvious which one I will follow.

With a bit of luck the Moderators will take it down as a waste of bandwidth!

StockMarketWire.com
Falkland Oil and Gas (FOGL), the exploration company focused on its extensive licence areas to the South and East of the Falkland Islands, has signed a contract for the Leiv Eiriksson drilling rig for two firm slots in the first half of 2012.

In its interim results for the six months ended 30 June 2011 it says that the operations and remaining 51% equity in Northern Licence Area has been assigned back to FOGL by BHP Billiton together with a significant cash settlement.

The company has completed the site survey and 2D seismic programme.

An equity placing raised $51.8m. before expenses. There was a cash balance of $110.6m. at the end of June (2010: $80.4m). Current available funds, including the BHPB settlement, is $150.6m.

Richard Liddell, Chairman of FOGL, said: "We made good progress during the first half of 2011, during which we negotiated the exit of BHPB from our licences and regained complete control and operatorship of our licence areas while also securing a significant cash payment from BHPB.

"This was an excellent outcome, which has enabled us to drive forward with the most important phase of our exploration programme. In addition, we successfully raised $51.8m. through a share placing, which, combined with existing cash resources and BHPB's payment, leaves us in a strong financial position to drill two wells in 2012.

"We also signed a rig contract and expect drilling to commence with the Loligo well in the first quarter of 2012. In addition, a number of other prospects have been selected and prioritised as possible targets for the second well in the programme."

They need to drill a lot more than two prospects to be with in as chance of finding oil so the begging bowel will be doing the rounds at some point or a very rich partner.