http://www.falklands-oil.com/

http://www.rockhopperexploration.co.uk

http://www.argosresources.com/




Rockhopper was established in 2004 with a strategy to invest in and undertake an offshore oil exploration programme in the North Falkland Basin. It was floated on AIM in August 2005. Rockhopper was the first company to make a commercial oil discovery in the Falklands. Today Rockhopper is the largest acreage holder in the North Falkland Basin, with interests in the Greater Mediterranean region.

The markets not that impressed with GKP at the mo!



LONDON (SHARECAST) - Gulf Keystone racked up big losses last year as it took a $73.9m hit for pulling out of Algeria and switched focus to its hugely promising Iraq-Kurdistan acreage.

Losses after tax totalled $96.3m from $59.3m. The group raised $165m (114.2m) at 75p a share last month.

Shares in the group soared after the huge Shaikan discoveries in Kurdistan last year. The Shaikan field contains an estimated 7.4bn barrels, which the company says means it holds one of the largest licence positions and has amongst the best pre-drill upside in the region.

During the remainder of 2010, Gulf aims to drill three appraisal wells on Shaikan and the first exploration well on the Sheikh Adi structure. It expects to see first production before year end - although this will be modest, it added.

chav this the RKH thread not GKP.

Managed to get some more today in the 290's, continuing the process of "averaging up" as each new news firms up the future.

I am keeping some powder dry for the day FOGL announce a non commercial result at Toroa (its the most likely outcome IMO). Should that happen FOGL will be dropping maybe 70% and there could be a knock on effect on other stocks, if there is on RKH I am ready to get orders filled.

This is why I say its well worth popping on a load of limit buys, triggered at 290p, 280p, 270p, 260p, 250p and then in the event of something like a FOGL duster if the shorters try it on you might be able to get some cheap stock orders filled.

Conversely should FOGL have a good result the SP will rise of all the stocks, so its smiles either way, nothing like a "win-win"

End of the year move to the FTSE 250. Very nice.

Also good to see they are going to keep it small enough to stop "pre-emption rights" coming in.

What that means is that nobody is entitled to any shares and what that means is it prevents any present major holders shorting the price down to get a lower discounted price, safe in the knowledge they can demand shares to get their "pre-sold" shares back.

By not invoking the pre-emption rights it will mean anyone shorting this is taking a risk that they will not be able to get any shares in the placing, so it should help prevent any discounts being given to the present price and "encourage" higher prices (eg those offering more money are more likely to get some of the small amount of shares to be placed)

40M pounds will, in addition to their present cash, allow for an appraisal well to be drilled on Sea Lion and be flow tested and keep 100% of it, it will allow for flow testing at Ernest if needed and it will also allow for the present Sea Lion well to be flow tested. All in all it should allow RKH to get to year end with perhaps over 500M barrels of "reserves" on their books.

I will keep adding more and more in the meantime, FTSE250 year end sounds very good to me and very exciting :) !



http://www.ft.com/cms/s/0/347fe504-7278-11df-9f82-00144feabdc0.html

Rockhopper, the first explorer to find oil on the Falkland Islands, is priming a 40m cash call that could be launched this week.

The Aim-quoted oil company, one of three small UK wildcat explorers drilling for Falklands oil, has been working with broker Canaccord Adams to sound out institutional investors to take part in an accelerated book build, people familiar with the situation said.

The cash raised from the placing will pay for part of the well and flow testing of its Sea Lion discovery, which the company said last week could contain as much as 1.6bn barrels of oil, of which up to 669m barrels could be recoverable.

Rockhopper, which will raise less than 10 per cent of its market value to avoid triggering pre-emption rights, is believed to be planning a larger equity raising for the end of the year when it plans to move to the main list of the London Stock Exchange and enter the FTSE 250 index.

Rockhopper shares have surged more than 750 per cent since it announced the discovery in the Falklands, making it a darling of retail investors and one of the top-10 most valuable companies on Aim, with a market capitalisation of 508m.

The company also said last week that an independent report had concluded that a best case of 242m barrels of oil could be recoverable from the discovery, an increase of 42 per cent from previous estimates. The highest amount was 669m barrels and the lowest 57m barrels.

The early oil samples indicated that oil contained in the Sea Lion discovery was medium-weight crude, adding to the likelihood the discovery will be commercially viable.

Rockhoppers current drilling campaign, which included sailing the Ocean Guardian floating drilling rig from Scotland to the Falklands, is fully funded after the company raised 50m in a share placing last November.

The controversial drilling campaign being conducted by Rockhopper, along with Desire Petroleum and Falkland Oil & Gas, has been attacked by the Argentinian government as a violation of its sovereignty.

Rockhopper is also preparing to drill the next well in its campaign, known as Ernest, but must wait until the conclusion of Falkland Oil and Gass Toroa well before regaining access to the Ocean Guardian rig.

Rockhopper declined to comment. Its shares fell 28p to 290p on Monday.

.

280p it is then from todays RNS, no benefit for anyone to sell below 280p.

The pre-BH weekend rumour of a premium placing would be correct, given the price then was 250p and it shot to 280p on the rumour. Quite accurate.

A 10% dilution now brings Sea Lion down from, with a 242M barrels P50 of being worth, post flow test, 800 pence a share to 720p a share (eg 80p off).

Round it down for the conservatives and you get now 700p a share target value in the ground following a flow test based on 242M barrels P50.

More than double the current price for those willing to wait for flow tests, and of course that excludes the Ernest potential upside too.

What did I say about fundraising ?....told you so...

bet those who topped up at 290 feel a bit stupid.....

Never a dull day here !...

watch and learn rf...

Never a dull day here !...excellent placing though.....280p...good price...should be the support level now....

Pretty much underlines things now.

Pre-budget CGT profit taking might keep it weak for a little more time but thoughts now firmly go ahead to Ernest drilling and Sea Lion flow testing.

Flow tested P50 Sea Lion at 242M barrels = 720p a share.

Flow tested Ernest discovery P50 150m Barrels = 445p a share.

720p + 200p for Ernest (pre flow test post discovery) = 900p target for end of this year.


Any upgrades to Sea Lion P50 = higher target prices.


Can you see why they expect the book closed very quick at 280p....... :)

Your right rf .... chart support above 275p

I think around there will be like a base so....perhaps in the short term : a little upside coming ?....depends on crude as well....

Bit harsh that the huge retail investor sector which has supported RKH do not get a lookin:
"Participation in the Placing will be limited to institutional investors and certain other 'Qualifying Persons' as defined in the appendix to this announcement. Members of the general public are not eligible to take part in the Placing. "

Harrycat: the shear cost of dealing with Private investors on this fast track placing would make it unworkable. This discount is tiny to last nights close , which is very unusual. A private investor could have bought plenty of shares this morning at 290 or less.

There will however be some 'institutions in the placing who will make a quick turn on any share price rise which might cap the upside of these shares in the short term

As it it was 290p....pointless exercise, and it would take 6 weeks at least...no, the placing was the best option this time round.

FTSE250 at year end.

That will allow the big boys to buy in as many large fundies are not allowed to buy AIM stocks so a move to the main market unleashes a massive amount of potential buyers.

900p year end target !!


The 280p placing pretty much underlines things now.

Pre-budget CGT profit taking might keep it weak for a little more time but thoughts now firmly go ahead to Ernest drilling and Sea Lion flow testing.

Flow tested P50 Sea Lion at 242M barrels = 720p a share.

Flow tested Ernest discovery P50 150m Barrels = 445p a share.

720p + 200p for Ernest (pre flow test post discovery) = 900p target for end of this year.


Any upgrades to Sea Lion P50 = higher target prices.


Can you see why they expect the book closed very quick at 280p....... :)

That's if everything goes 100% right....too optimistic....and way too high...

FOX DAVIES NOTE

Rockhopper Exploration (LON:RKH) (BUY, 4.00) (RKH, 290.25p, ▼ (9.01%)) announced the placing of 17,320,000 new ordinary shares at a price of 280p each to raise 48.5m before expenses. Placing proceeds will be used to progress Rockhopper's current drilling programme in the North Falkland basin, including flow testing of its Sea Lion exploration well and drilling an exploration well on its Ernest prospect.