looks like its hit oil, don't know whats gonna happen, any idea's ???

Hi All,

A slow start to the day, but the buying continues, and I think we will see a new EVO note covering the results and propects today, they usually come out after midday.

Hopefully a higher target price than the current 22p too :)

The NAV including everything risked property was 53.4p, so I see the Golden Cross 100% to 150% targets as reachable, without the excitement and blue sky buying, as each IOW drilling update arrives at 9:30 on a Wednesday !

Cheers,
PM

From Thisismoney, 23 June ....
Northern Petroleum edged up to 15p following results and upbeat remarks about prospects. Chairman Richard Latham anticipates good news from imminent drilling of two wells in the Isle of Wight, as well as development programmes for production in the Netherlands. Dealers say the stock is undervalued since net asset value is 25p a share.

Niels Hi,
Any sign of that drilling rig yet ?
I fancy another 20k of these soon, with my YOO money+ the 100% profit :)
Cheers,
PM

PM,
According to shares magazine the w/e, the rig is on site.

Which week crock?

MK,
Friday 24th. Mid section of the magazine under drilling points. A vey short piece.

Cheers crock, much obliged.


I'll give em the news over on advfn.

Crock hi :)
Thanks very much for that, I was expecting an RNS, but just thinking about it, they said RNS every Wednesday, at 9:30am, once the rig has arrived, so maybe one today !
Maybe Niels can post more pictures too :)
Cheers,
PM

Page 48 of shares mag.

Just returned from the site where I spoke to Northerns logistics manager. Offices, telephones, even sleeping accomodation are in place. Also a large container with drill bits. That was the good news. The bad news are that the drilling will be delayed a further 3 weeks, because the present user of the rig has decided to drill yet another hole.

Good grief, but sit tight. They are supremely confident, and everything is ready to go. The oil won't seep away, but your money might if you sell out now.

You heard it here first.

Niels,

Niels Hi,

Thanks for the update, If the price drops a bit more, I will top up with another 15k to 20k worth :)

Cheers,
PM

Getting out of YOO then? ;)

Ah, so now we know what the shake was about today.

Another poxy delay. I cant see how you can run a busines with this type of set up. Firstly, the delay was for "emergency" work. Now it looks like a farce, hasnt NOP got any type of contractual guarantees?


Many thanks for the info Niels. Going to give the girls over on advfn the good news.

When the emergency happened NOP lost their slot. Other customers had contracts for later use and they are now being called. There's nothing NOP can do about it, and it's not their fault. They truly believed they would start this week, but got a call Monday informing them that the existing user wanted to drill another hole. This will take about 3 weeks, add another week to dismantle move and erect, and we may talk in excess of a month if anything else goes wrong.

For NielsJensen

Thanks for giving us this information. I have taken the liberty of putting your two posts of today over on the ADVFN NOP board.

Cant see it NJ. Thats not a contract, it's bum paper. There must have been some contingency clauses to allow a degree of flexibility that would apply to everyone, not just the next bloke in line.

How on earth can you plan anything when the contract is so open ended? On your assertion, they might never drill anything!


Possibly NOP's cunning plan to avoid drilling at all.

They could always use the line "this delay has allowed us to reinterpret the reinterpetion of the misinterperted orignal data captured by a competent company"

Peter, that fine. When I post pics of the rig later you are welcome to copy them as well.

MaxK, I don't really know how these contracts are made. However, if you think about it I would guess that if someone like you had a rig to rent out you'd put in a "force majeure" clause that would cover disasters, acs of God etc. Next, you'd think that when you invoke the "force majeure" you will piss off one, and only one customer, instead of all the others in line. They would otherwise be hit with a domino effect of delays. Finally you'd realise that the customer agreed to the deal in the first place, because he could have been one of the victims of the domino effect.

All in all, the current system seems fair from a utilitarian point of view; it allows the fewest to suffer in case of disaster. In this case we are, unfortunately, in the firing line. You are right in pointing out that there is no guarantee that drilling will start in 3-4 weeks time. Such is life. And no, you can't just sign with someone else; oil prices are soaring and rigs are in very, very short supply.

Just remember, the oil is not going anywhere.

Niels.

Niels.

A contract is basically an agreement between two or more parties to conduct a certain series of motions which will lead to a possible successfull conclusion for both parties. There is normally a timescale/price/quality overide.

How these deals are tied up and the wording of the final draft are endless.

NOP appears to have NO agreement (contractual or otherwise) as to whether the rig will appear on site at given date...meaning they have NO agreement at all in practical terms. This could go on forever!


It's bollocks, cant believe the management are so inept!

If the rig is delayed, lets say to August for the sake of argument, without a change in planning permission, NOP would unlikely be able to drill two wells, test them and clean up both sites by the end of September when the current planning permission runs out.

I haven't seen an RNS yet, so the odds are the rumour is true. Ie it would be stright forward to deny the rumour and say the Rig is now on its way.

However, if the rumour is true then NOP will need to find out more definitive information on when the Rig will arrive in IoW and based on the information they may have to revise their plans. The logical approach would be to drill Boulder Copse first anticipating the planning extension at Sandhills to come through so that a well at Sandhills can be done in Sep knowing they have another 3-4 months to complete operations.

All of the above re-planning would have to be at least put by partners such as Magellan, Black Rock and Oil Quest. This will take time. Again the delay in any RNS supports the rumour being true.