From the latest company's drilling update....17 Feb

http://moneyam.uk-wire.com/cgi-bin/articles/200402170700084897V.html

Can anyone with mining knowledge explain these terms....

What does sidetracking mean? Approx how ong will that take?
Approx. how long will it take to correct a deviated section?
Is 'crude oil in shale samples' a good indication that there is oil?
Is 'Gas-bearing porous sands being logged' a good indication that there is gas?
Basically what does logging involve ?

Any views re AEX potential??

Regards
Stephen

LINK THIS WITH THE ABOVE INFORMATION FOR THE TRUE POTENTIAL OF AMINEX

Aminex PLC
20 September 2004

Aminex PLC

Aminex Signs 20-Year Agreement to Develop North Korea's Petroleum Industry

Aminex PLC, the oil and gas company listed in London and Dublin, announces that
it has signed a Petroleum Agreement with the Government of North Korea ('DPRK')
to assist in the development of the petroleum industry in that country, onshore
and offshore.

HIGHLIGHTS

Agreement valid for 20 years

The country is considered highly prospective for new discoveries

Aminex will:

- have limited financial exposure

- initially provide technical assistance

- receive a royalty on hydrocarbons produced from any new drilling in
the country

- be entitled to a carried interest in any wells drilled by incoming
companies

- have a prior right to explore in its own name anywhere in the country


The Agreement is part of North Korea's drive to develop an indigenous energy
industry. Signing took place on 30 June 2004 in Pyongyang in the presence of the
British Ambassador but was subject to certain closing conditions which have now
been satisfactorily fulfilled.

DPRK has an existing petroleum industry and several wells have been drilled
onshore and offshore over a 25 year period, resulting in limited discoveries of
oil. Aminex believes that the country is highly prospective for new discoveries
but lack of resources has so far restricted progress.

Under the terms of the Agreement, Aminex will initially provide technical
assistance to the DPRK through assessing existing data, obtaining new data,
assisting with drawing up a framework for licensing exploration areas and for
marketing the country's potential to the international oil industry.

In return, Aminex will receive a royalty on hydrocarbons produced from new
drilling anywhere in the DPRK, onshore or offshore, and be entitled to a carried
working interest in any wells drilled by incoming companies.

Importantly, Aminex will have a prior right to explore in its own name, either
alone or with international industry partners, anywhere in the territory covered
by the Agreement.

The Agreement represents only limited financial exposure for Aminex at this
stage with the option to expand the operation through exploration and
development drilling under appropriate circumstances.

Brian Hall, Chief Executive of Aminex, said:

'This Agreement is the culmination of a long term effort. Aminex has been
reviewing North Korea for several years and first visited the country in 2001.
At present relations between North Korea and the outside world are strained but
the important relationship with South Korea appears to be improving and
commercial co-operation is on the increase. An expanding energy industry may
possibly help to build bridges between DPRK and the outside world.'


20th September 2004
Enquiries:

Aminex plc
Brian Hall 020 7240 1600

College Hill
Jim Joseph/Ben Brewerton 020 7457 2020



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

Glad i bought into these a couple of weeks ago,they are really moving on announcement of out of court settlement

it looks like these are on a roll now, i`m glad i bought in this morning.IMO it is blue skys now for a while.
dexter

keep your eyes on ros this week ,something about to be announced together with pci

Hi All,

I think these are nearly ready to start going back up again, DPRK is in 6 nation talks, it is very likely that an agreement will be made, where DPRK will agree to stop it's nuclear ambitions.

South Korea has offered DPRK enough electricity to run the whole country, so long as DPRK stop their nuclear plans. DPRK would be daft not to take such an offer.

Aminex are currently worth 7m !!!! absolutely mad, when you look at the valuation of PET and other non-producing companies, and Aminex has possibly 10Bn barrels in Bohai Bay.

Bohai Bay Reserves !!!!
http://www.chinadaily.com.cn/english/doc/2004-12/23/content_402814.htm


A very good interview with the CEO by a South Korean news website
http://www.korea-is-one.org/article.php3?id_article=1449

A Proven High Impact Oil & Gas Explorer Without the Froth

By Stephen Clayson
12 Jun 2005 at 01:45 PM EDT


LONDON (ResourceInvestor.com) -- Aminex plc [LSE:AEX] is that rarest
of things, a junior oil & gas prospector with a proven record of
exploration success and interesting new prospects in its portfolio,
plus a small production base to help sustain its current programme.
Most notably, the company is currently in prime position to gain
access to North Korea's highly prospective offshore exploration
acreage.

Provenance

Previously, Aminex has successfully developed hydrocarbon assets in
the former Soviet Union, the divestment of which began in 2001, when
the company sold its Russian interests to Lukoil for $38.5m, resulting
in a payout to shareholders of $7.5m. This was followed in 2004 by the
sale of the company's interests in Tatarstan, a Russian autonomous
internal republic, to Tatneft.

The company's Chief Executive, Brian Hall, says the decision to sell
out of Russia was partly a strategic one, in anticipation of a
deteriorating operating environment for western companies as their
presence declined in importance to the Russian authorities following
the rise of domestic players.

However, Aminex then ran into trouble in its next primary exploration
area, Romania, after drilling Nyuni-1, the country's first recent
offshore well in conjunction with what was at that time Romania's
state oil firm, Petrom. The latter proved a less than perfect partner,
flatly refusing to pay its full share of the costs of Nyuni-1, which
had in any case escalated beyond expectations due to technical
difficulties. Extensive legal wrangling ensued before Petrom, now
privatised, elected earlier this year to settle the dispute out of
court for a sum in excess of $4m.

The upshot today is that the settlement with Petrom, plus the
fortuitous disposal at the end of last year of an ageing and high cost
oil field in the US for a good price, has transformed Aminex's
financial position, and coupled with the recent placing of over 6m
worth of shares will allow it to move decidedly forward again in
Tanzania, and perhaps most interestingly, in North Korea.

North Korea

Aminex is now preparing to begin exploration in North Korean waters,
and hopes that its advantage as the sole foreign oil & gas company
active the country will allow it to make the first major discovery
there. The company's relationship with the North Korean government
charges it, under a 20 year agreement, with the creation of a
significant oil & gas sector in the country, to be achieved through
the establishment of a regulatory environment conducive to the
involvement of other foreign firms. In return for this, Aminex has the
right to choose the exploration acreage it deems most attractive for
itself.

Any output that might result from the agreement in the future would be
covered by a relatively conventional production sharing arrangement
that the company hopes will soon be finalised, and is described in
essence by Hall as 'fair to both parties' in its terms. Significantly,
Hall expects the production sharing arrangement to grant Aminex the
right to sell output at world prices, and envisages provisions for a
tax holiday and relief from customs duties.

Prospectivity for oil & gas off both the east and west coasts of North
Korea is widely accepted by geologists, but dealings with the pariah
state would likely be too daunting for many and are forbidden to
American companies, both of which partly explain how Aminex has been
able to secure such a potentially lucrative position in the country.

The company works closely with the North Korean cabinet minister
responsible for economic development, and finds the country's
administration to be both competent and sincere to deal with. North
Korea desperately needs to alleviate the dire domestic shortage of
hydrocarbon resources that coupled with a sanctions enforced lack of
trade and hence foreign exchange for imports limits it economically
and militarily, and seemingly realises that the most expeditious way
of doing this is via foreign expertise and investment in the sector.

There are obviously pitfalls to be encountered while operating in a
country as shrouded in secrecy and mystique as North Korea, but on the
whole, the political risk to Aminex of working there is arguably less
than that of most African, Latin American or Central Asian nations.
Indeed, Hall reports little hostility or consternation regarding
political risk from the array of City of London institutions that have
subscribed for shares in Aminex's recent placing.

Much time and effort has been expended by Aminex on the reprocessing
of existing North Korean seismic data, as a precursor to the shooting
of new seismic in order to follow up interesting areas. This could
plausibly be followed by the drilling of an initial exploration well
by the end of 2006.

Ultimately, Aminex will be looking to involve partners in its North
Korean endeavours, there being far too much prospective offshore
acreage off both coastlines for a single company of its size to
handle. The key benefit therefore of Aminex's perseverance in North
Korea over several years, which has culminated in the 20 year
development deal, is the access it hopes to gain to the country's most
attractive acreage, and hence the chance to reap the rewards of this
even as larger European or Asian players become involved.

Tanzania

In Tanzania, Aminex hopes to be able to drill a second exploration
well within 18 months or so. The company has reanalysed the results of
Nyuni-1, which suffered from inadequate flow rates, and come to the
conclusion that they are more encouraging than it had previously
thought. The source rock of the hydrocarbons that were encountered by
the well is now thought to be of Jurassic age, which indicates that
they may in fact be quite widespread, leaving open the possibility of
a substantial discovery in the area.

Despite the logistical difficulties of operating offshore Tanzania,
Hall feels that it is 'only a matter of time' before oil is discovered
there, in addition to the producing natural gas reserves that have
already been discovered in the vicinity by others. To this end, Aminex
will be shooting new seismic over the next few weeks in order to gain
a clearer understanding of the complex geology close to the site of
the Nyuni-1 well, which was drilled atop a tiny coral island in the
Indian Ocean. After interpretation, this should facilitate the
selection of a site for the second well.

The company also has a larger, onshore licence in Tanzania, for which
it is currently looking to bring in partners to help defray the
comparatively high expense of shooting seismic onshore, where
population and other obstacles pose problems not encountered offshore.
According to Hall, several established oil and gas firms may be
interested in a deal regarding shared exploration of this acreage.

Other Activities

Future involvement by Aminex is identified by Hall as a possibility in
Madagascar, Sudan, and in a cooperative venture with a company whose
technology liberates stranded natural gas, should suitable projects
become available.

Meanwhile, production is being largely maintained and some
expansionary investment made in Aminex's US interests, though there is
scant possibility of any extraordinary growth being derived from this
area of its business. The company's US operations provide a solid,
moderate revenue stream, but being in a mature hydrocarbon province do
not merit a core development focus when higher impact projects are
available.

From an Investment Perspective

Aminex has been devoid of the hype that has surrounded many companies
in the junior oil & gas sector in recent months, and ergo has been
much less affected by the recent share price boom, albeit followed by
a subsequent decline in many cases, that has been exhibited by others.

Indeed, lack of near term excitement has contributed to a significant
decline in Aminex's share price since October of last year, when it
stood at just over 17p shortly after the announcement that the 20 year
deal had been signed with the government of North Korea, and today the
shares are level at approximately 9p.

While the news that really gets the market excited, that of drilling,
is not due from Aminex until 2006, given the high prospectivity of its
ground in North Korea and Tanzania, and the likelihood that today's
prevailing buoyant oil price will remain so, at least in the medium
term, then in the same term, shares in the company may have a lot of
growth potential.

http://www.resourceinvestor.com/pebble.asp?relid=10516



http://www.kimsoft.com/korea/nk-oil.htm

North Korea has published three documents on its hydrocarbon reserves:

General Information on North Korean Oil Fields
East Sea (See of Japan) Reserves
West Sea (Yellow Sea) Reserves
These documents indicate oil reserves of 8-10 billion tons. This
information was released at Rajin-Sonbong seminars held in Japan and
reported by Sankei-Shinbun, a major Japanese newspaper. Jo-Chong-Ryon
(General Association of Koreans Resident in Japa n) has published a
lower figure of 6 billion tons.

A Japanese petroleum engineer has examined samples provided by North
Korea at a Rajin oilfield and determined the crude to be of high
grade. North Korea is looking to joint-venture with major oil
exploration companies to co-develop its hydrocarbon reserves as part
of the Rajin-Sonbong Free Trade Zone.

====================================================
http://www.rmfdevelopment.com/political/NorthKoreaOil.htm

North Korea has significant, but quite unmeasured reserves of offshore
oil. Many countries have lined up to help them extract it but little
oil drilling has yet to be done. The official DOE summary of North
Korean oil is probably out of date. The kimsoft.com estimate talks
about 10 billion tons. A ton contains 7.33 barrels of oil so 7.33 * 10
billion = 73 billion barrels. For a country about the size of
Pennsylvania, this counts as a lot.

====================================================

http://www.oilbarrel.com/home.html

Search news and articles on Aminex

15.06.2005
Pioneering Aminex Picks Its Spot In North Korea Where It Aims To Shoot
Seismic Later This Year
Aminex plc could be on the ground and shooting seismic in the
Democratic People's Republic of Korea as early as the end of this
year. The London and Dublin-listed company has submitted an
application for an exploration licence in the West Sea and hopes to
get approval in the next couple of months.

"We see it as an offshoot of the Bohai Bay in China, which has tens of
billions of barrels, so it's very prospective," said chief executive
Brian Hall. "The water depths are 50 to 80 metres, so it's nice
jack-up country, there are no terrible storm seasons and it's
reasonably good working conditions."

The signing of an exploration agreement with the secretive North
Korean regime - a member of US President George W Bush's infamous
"axis of evil" - will mark a real coup for the London-headquartered
oil junior. Hall reports that even the North Korean ambassador in
London is unsure how to respond when his foreign ministry asks why
Aminex is being afforded first-mover advantage and not a BP or Shell?
Hall told oilbarrel.com that he has advised the ambassador to ask
where were BP and Shell when the country was looking to develop its
oil industry?

That remark refers, of course, to the twenty-year petroleum agreement
between Aminex and the Democratic People's Republic of Korea, signed
in September 2004. That agreement aims to develop the impoverished
country's indigenous oil industry by drawing on the British firm's
technical and legal expertise. In return Aminex will receive a royalty
on hydrocarbons produced from any new drilling in the country and be
entitled to a carried interest in any new wells drilled by incoming
companies. Aminex was also granted the right to explore anywhere in
the country: it has picked the West Sea as its first choice. The
British firm later cemented its relationship with the DPRK by agreeing
to take a stake in Kobril, an international natural resource vehicle
controlled by the pariah regime.

Since then Aminex has worked hard to get to grips with the existing
seismic and well data covering the country and has helped draft a
model production sharing agreement.

"The PSA is simple and workable, about 20 pages long," said Hall.
"They've accepted it and the only changes now are cosmetic ones."

If Aminex's application for the West Sea acreage is accepted, then the
company will be the first to sign up to the new PSA terms. It would
hope to shoot seismic in the fourth quarter of this year, with
drilling pencilled in for the following year.

Aminex's survey of North Korea's prospective oil areas identified
three main basins: the West Sea, near China's Bohai Bay; the onshore
Pyongyang Basin, where there have been oil shows and surface seeps;
and the East Sea on the Japanese side.

"The East Sea has some quite interesting geology and, even though it's
1,200 miles away, it's not dissimilar to Sakhalin Island," commented
Hall, referring to the oil and gas rich Russian territory that has
attracted multi-billion dollar investments from the world's
supermajors. "It might be the longest shot but it might also be the
most interesting."

Elsewhere, the company is planning to shoot seismic over its acreage
in Tanzania in East Africa. The company will target the area near its
disappointing Nyuni-1 wildcat of 2004 and the acreage near to the
now-producing Songo Songo gas field. "It's almost unimaginable that
Songo Songo doesn't extend into our licence," said Hall. "We are going
to do a little bit of "closeology" and get in close to it."

The seismic shoot was due to be getting underway now but has been
delayed by the weather: it's now slated for the third or fourth
quarter. With two-and-a-half years left to run on its licence, and two
obligation wells still to drill, Aminex can't afford too many more
delays here.

The company's efforts in North Korea and Tanzania will be funded by a
6.6 million share placing now underway: the company has its
commitments from the institutions and the open offer to shareholders
closes on the 28th. Hall described this as a "vital shot in the arm".

Aminex is also set to enjoy a boost from its onshore Texan properties,
where the GU-35 well on the South Weslaco field recently hit
commercial amounts of gas. Aminex has a 25 per cent stake in the
project, which is operated by Stalker Energy. The well has yet to be
completed due to a shortage of completion units in the booming
resources sector of the Lone Star state but Aminex hopes to get it
completed by the end of the month. In total four development wells
will be drilled in Texas this year. This drilling programme should
replace the production lost by the disposal of the Vinton Dome
project, sold in December 2004 for US$5 million.

In the meantime, the company is keeping its eyes open for new
opportunities to add to its small but eclectic portfolio. It has
applications outstanding elsewhere in East Africa and is also keen on
Egypt.
-----------------------------------------------------------------------------------
http://www.oilbarrel.com/news/article.html?body=1&key=oilbarrel_en:1095897653&feed=oilbarrel_en&searchterm=aminex

http://www.oilbarrel.com/news/article.html?body=1&key=oilbarrel_en:1104973211&feed=oilbarrel_en&searchterm=aminex

http://www.oilbarrel.com/news/article.html?body=1&key=oilbarrel_en:1109120400&feed=oilbarrel_en&searchterm=aminex

http://www.oilbarrel.com/news/article.html?body=1&key=oilbarrel_en:1117504800&feed=oilbarrel_en&searchterm=aminex

http://www.oilbarrel.com/news/article.html?body=1&key=oilbarrel_en:1118802000&feed=oilbarrel_en&searchterm=aminex

Cheers,
PM

How prospective does N.Korea sound after reading this ....


Shell to invest $ 400 mm in Chinas Bohai Sea
24-07-02 Shell Exploration China will invest a total of $ 400 mm to develop offshore blocks in China's Bohai Sea, according to a Shell official. He said Shell has decided to start joint development of Blocks 26-2/28 -1 and 13-1 with CNOOC Ltd. following the completion of a one-year geological study of the blocks this month.

Shell and CNOOC Ltd. have identified 600 mm to 700 mm barrels of proven oil reserves and 1 tcf of proven natural gas reserves in the two blocks, which cover a total of 329 sq km. The two blocks are located in water depths of 20-30 meters.
The two companies will supply about 0.4 bn cm of natural gas a year to eastern China's Shandong province when production starts at the blocks, which are located 100 km north of Longkou city in Shandong province. He declined to say when production will start, however. In July, Shell has started conducting 3-D seismic surveys in another block in the Bohai Sea.

The surveys will cover 1,100 sq km at Block 11/26 and will be completed by the end of this year. Block 11/26 covers 3,190 sq km in the southern half of the Bohai Sea. The company also plans to drill two appraisal wells at the block in the last quarter of next year.
According to the contract, CNOOC has the option to participate in development and production once Shell makes an oil and gas find of commercial value in Block 11/26.

North Korea offers to dump nuclear weapons if US normalises ties

http://sg.news.yahoo.com/050727/1/3ts1u.html

North Korea offered to dismantle its nuclear weapons if the United States normalises relations and pledges not to topple the regime on the second day of talks aimed at ending its atomic drive.

The Stalinist state said it was willing to allow any disposal of its weapons to be verified but did not say if this meant International Atomic Energy Agency (IAEA) inspectors could return to the country, according to a source.

The inspectors were thrown out of North Korea in December 2002 after the United States accused the North of running a uranium enrichment program, sparking the three-year standoff.

"In the word-for-word agreement, the DPRK pledges to liquidate its nuclear weapons and nuclear weapons program verifiably if the DPRK and the US normalise relations, build trust and remove the nuclear threat," North Korea's chief delegate Kim Kye-gwan told the talks, according to a source in attendance.

"In return, the United States vows to drop its policy to topple the DPRK system and vows to establish a legal and institutional system for peaceful coexistence," Kim said.

In a keynote address, Kim also spoke of how to compensate the North for economic loss caused by denuclearisation, said the source, who was talking to a small group of reporters.

The Democratic Peoples' Republic of Korea (DPRK) is the North's official name.

The North has long urged Washington to establish diplomatic relations and provide assurances of non-aggression if the deadlock is to be broken. While the US has said it recognises the North Korea's sovereignty and has no intention of attacking it, it has made no commitment to normalising relations.

Impoverished North Korea is anxious to normalise ties in order to access international funds and aid, such as loans from the World Bank, and aid from US allies such as South Korea and Japan, analysts said.

Establishing diplomatic relations with Washington could also signal a greenlight to foreign investors that they can safely pour money in the country.

So far, the main protaganists have adopted a less confrontational tone than in the previous three rounds and China is looking to build on the momentum of two lengthy bilateral contacts between North Korea and the United States.

Chief US envoy Christopher Hill told reporters late Tuesday he had "good discussions" with Kim on the first day of the talks that also involve China, Japan, Russia and South Korea.

"It was very businesslike. We avoided any rhetoric. It was an effort to get all the issues on the table, to make sure we know what is important to each of us, so it was positive in that sense," he said.

The two sides discussed the US proposal put forward in June 2004 that required North Korea to give an up-front pledge to dismantle all its plutonium- and uranium-based weapons programs before receiving any energy or other assistance.

North Korea at the time rejected the US offer and instead wanted a step-by-step approach to dismantling its atomic arms program. This remains a key sticking point.

In an effort to reach a breakthrough, South Korea has offered to provide the North with 500,000 tonnes of rice and some 2,000 megawatts of electricity if it abandons its nuclear ambitions.

Seoul further suggested Wednesday a joint communique should be issued at the conclusion of the talks.

In it, North Korea would pledge to dismantle its nuclear programs while the other nations would promise to normalise ties and offer security guarantees and economic cooperation, said a South Korean government official.

North Korea abandoned the six-party talks last year, complaining of a hostile US policy, and has since claimed it already possesses nuclear weapons.

But a softer US approach, coupled with a threat to take the issue to the United Nations, enticed it back to the negotiating table. Delegates at the talks say the atmosphere is much better than before.

S.Korea offers to trade electricity for nukes


Last Updated(Beijing Time):2005-07-13 09:38


South Korea is willing to provide electricity aid directly to the Democratic People's Republic of Korea (DPRK) if the latter agrees to drop its nuclear program, said South Korean Unification Minister Chung Dong-young on Tuesday.

In a televised press conference held on late Tuesday afternoon, Chung unveiled the main contents of the so-called "important proposal" that South Korea made to the DPRK at an inter-Korean vice-ministerial talks held in late May in an effort to help resolve the nuclear issue on the Korean peninsula.

Chung said if the DPRK agrees to dismantle its nuclear program,South Korea is willing to "provide 2 million kilowatt of electricity annually" to the DPRK by building inter-Korean borderpower line.

Coincidentally with the resolution of the nuclear issue on the Korean peninsula, South Korea will complete construction of the power line "in three years."

Chung told reporters he already explained the proposal to the DPRK's top leader Kim Jong Il when they met in Pyongyang in mid-June.

Local media also reported the US side gave positive reaction when Chung was in Washington to brief the US leadership of his meeting with Kim and the "important proposal" in early July.

In exchange for the power provision, the proposal calls for ending a suspended project to build two light-water reactors in the DPRK, Chung said.

Under a 1994 agreement with the United States, the DPRK was promised two light-water reactors in return for freezing its nuclear facilities. The Korean Peninsula Energy Development Organization (KEDO), a US-led consortium, had worked toward implementing the 4.6 billion-US-dollar project before suspending it in 2003 amid a tension over the nuclear issue on the Korean peninsula.

As a member of the KEDO, South Korea has invested 1.12 billion dollars into the suspended light reactor project.

"In case of the resumption of the light reactor project, it needs South Korea to spend an additional 2.4 billion dollars. The cost for our direct power supply plan will be less than that," Chung explained.

However, the South Korean proposal also raised concern that it will lead to shortage of power in South Korea. The envisioned supply is to reduce the peak-season power reserve rate of South Korea from the current 12 percent, or 6.67 million kilowatts, to around 8 percent.

Chung dismissed such concerns, insisting that the dedication ofadditional atomic power plants in South Korea in the coming years would help the nation maintain its current power reserve rate beyond 2008.

"As soon as the upcoming six-party talks in Beijing produce an agreement on the North (DPRK)'s dismantlement of its nuclear programs, South Korea will start construction of cross-border power line linking Gyeonggi Province's Yangju and the North Korean(DPRK) capital Pyongyang," Chung further explained.

Chung stressed that the timing for beginning of the power supply will be strictly linked to the DPRK's implementation of thenuclear dismantlement.

He estimated that the 200-kilometer-long power supply line between Yangju and Pyongyang would cost about 500 billion won (485million dollars), with an additional 1 trillion won (961.5 milliondollars) to be needed for the construction of power transformer facilities.

The South Korean minister also said there should be progress inthe fourth round of six-party talks.

In a meeting of the National Security Council (NSC) held earlier Tuesday which was presided over by South Korean President Roh Moo-hyun, participants agreed to disclose the content of the "important proposal," as the DPRK had already agreed to rejoin the six-party nuclear talks in the last week of July.

The recent nuclear issue on the Korean peninsula erupted in October 2002. In order to peacefully solve the nuclear issue, China, the DPRK, the United States, Russia, South Korea and Japan have convened three rounds of six-party nuclear talks in Beijing.

However, the fourth round of the multilateral talks failed to be convened as the DPRK refused to attend the talks, citing US hostile policy.

The DPRK announced it would suspend participation in the six-party nuclear talks indefinitely in February.

A recent remark made by the DPRK's top leader Kim Jong Il that "the DPRK is willing to rejoin the six-party talks even in July, if the US respects and recognizes it" brightened the outlook of the multilateral talks.

As it stands, Aminex could do deals with China, India, Pakistan, Russia etc, but if the DPRK nuke their nukes, USA, UK, Europe etc will all be interested in exploring in DPRK for oil and gas, especially those US oil companies where Bush and family are directors .... but they all have to go through Aminex to get anything, and Aminex get a cut of all production, so if DPRK sort it out, Aminex will be in prime position to benefit, and will be tipped as a buy everywhere ....


=====================================================
U.S., N. Korea hold longest session yet


Published: Friday, Jul. 29, 2005

BEIJING (AP) The top U.S. envoy held his longest meeting yet Thursday with his North Korean counterpart and said he hoped they would soon be able to draft a joint document that would signal some progress in talks aimed at curbing the Norths nuclear ambitions.

Such a document of agreed principles would indicate a new level of dialogue between the two countries and came amid renewed promises for progress in the negotiations, which on Friday will become the longest round of nuclear talks between the U.S. and North Korea in more than a decade.

U.S. Assistant Secretary of State Christopher Hill and others have stressed that they do not expect any breakthroughs. We have a long way to go still, he said. Theres certainly some points of agreement, but there continues to be points of disagreement.

Thursdays bilateral meeting held as part of six-nation talks was a maybe the first time both sides talked so deeply, so concretely and for such a long time, said Deputy Foreign Minister Alexander Alexeyev, the chief Russian delegate.

=======================================

North Korea, US seek to bridge gap on nuclear crisis
(Reuters)

29 July 2005



BEIJING - Six-party talks aimed at ending the crisis over North Koreas nuclear weapons ambitions are to stretch into the weekend, China announced on Friday, as Washington and Pyongyang struggled to bridge their differences.


The negotiations, which resumed on Tuesday after a 13-month hiatus, have seen the parties retreat to familiar territory, with North Korea demanding aid and security guarantees before scrapping its nuclear programmes and the United States insisting it scuttle those programmes first.

There is agreement among the six parties to have another top delegates meeting tomorrow and to seriously discuss how to take this forward, South Korean deputy chief delegate Cho Tae-yong. told reporters in Beijing.

It is too early to be packing or drawing conclusions.

It was unclear what if any progress had been achieved so far, but this round has already lasted longer than the previous three and has seen unprecedentedly frequent one-on-one contacts between Washington and Pyongyang, the two main protagonists.

The talks, which this time are open-ended, also involve South Korea, Russia, Japan and the host nation, China. The six met for a plenary session in the afternoon that lasted just half an hour.

Chinas Xinhua news agency said the Americans and North Koreans held two bilaterals on Friday and would hold another on Saturday, which would be their sixth this week.

The discussions we had yesterday involved our ideas on how to get to the denuclearisation of the Korean peninsula and their ideas, US chief negotiator Christopher Hill told reporters before the start of Friday discussions.

Im not saying they were identical ... but we heard some of their ideas which very much correspond to some of the ideas that we have, he said as he left his hotel.

Long haul

Hill has expressed a desire to put together a joint document setting out agreed principles that would form the basis for negotiating an eventual agreement. Joint statements have failed to materialise at three previous rounds.

A Japanese delegate said the six parties would start drafting such a document on Saturday, to be spearheaded by China.

The delegate said talks were likely to go on past Saturday, echoing Hills remarks that he was prepared for a long haul.

Well keep at it as long as its useful to keep at it.

But White House spokesman Scott McClellan said the United States would not negotiate a bilateral deal with North Korea. That approach was tried and it failed, McClellan said, a reference to the Clinton administrations efforts to resolve the nuclear crisis in the 1990s.

All sides are committed in principle to a nuclear-free peninsula. The crux of the disagreement is over timing, whether Pyongyang should receive security guarantees and aid before it moves to scrap its weapons programmes, as it insists, or if it should move first, as Washington wants.

Its not a matter of who goes first; its a matter of a strategic commitment that the goal of a nuclear-free Korean Peninsula is embraced by all, US Secretary of State Condoleezza Rice said.

The question is do the North Koreans embrace that goal as well?, Rice told PBS television.

Big offshore oil in Bohai Bay ....


Another large offshore oil field at Bohai Bay starts production
06-09-04 Following Bohai Penglai 19-3 Oil Field, China's largest offshore oil field, Caofeidian 11-1/11-2 Oil Field, another large offshore oil field with a reserve of hundreds of million tons of oil, was put into production on September 2.
The two oil fields are jointly exploited by investors from China and the US. Caofeidian Oil Field is co-developed by Kerr-McGee, one of the world's largest oil and gas developer in the US and China National Offshore Oil Corporation, one of China's largest oil company.

With four years development, this oil field with an annual capacity of 2 mm tons of oil was set up on western shore of Bohai Bay. After the trial production on July 18, 11-1-A5H oil well of Caofeidian can produce hundreds of million bpd of oil currently, which breaks record.
By far, the most significant achievement in oil development at Bohai Bay is still Penglai 19-3 Oil Field. This oil field has a 600 mm-ton oil reserve. It is China's largest offshore oilfield been exploited. Currently the first phase project was put into production in 2002. It has 22 oil wells, and the annual capacity reaches 1.5 mm tons of oil.

Big money too ....

Phillips China Inc. to Invest US$ 2 Billion for Penglai Offshore Oilfield
Phillips China Inc. will invest 2 billion U.S. dollars for the development of Penglai oilfield in the Bohai Bay with its Chinese partner, China National Offshore Oil Corporation Limited (CNOOC).


Phillips China Inc. will invest 2 billion U.S. dollars for the development of Penglai oilfield in the Bohai Bay with its Chinese partner, China National Offshore Oil Corporation Limited (CNOOC).

Phillips is among the earliest foreign oil companies to develop China's offshore oil. In 1999, Phillips discovered China's largest-ever offshore oilfield, Penglai 19-3 located in the Bohai Bay.

The oilfield will be developed in two phases, with phase one scheduled to produce crude in 2002.

How big ?

Construction of China's Largest Offshore Oilfield Launched

Construction of the first phase of Penglai 19-3 Oilfield, the largest offshore oilfield in China, has commenced in the southern Bohai Sea.

The oilfield, with reserves of 600 million tons, is believed to be the second-largest complete oilfield after the famous Daqing Oilfield, which was discovered in 1959 in northeast China.

The Penglai 19-3 Oilfield covers an area of 50 square kilometers, and lies at a depth of between 900 and 1,400 meters near Longkou coastline in Shandong Province. It has an oil layer of 150 meters deep on average.

It was jointly prospected by the China National Offshore Oil Corporation and the Phillips Oil Corporation of the United States in 1999.

The two sides signed a contract on construction of the project on March 15 this year. The Chinese side takes 51 percent of the stake, with the remainder held by the United States.

By the end of 2002, 24 oil wells are expected to start production, with a combined annual output of 2.5 million tons. The field's annual output is expected to reach 8.5 million tons by 2005. By then, the output of the Bohai Oilfield as a while will top 20 million tons, making it China's largest offshore crude producer.

China's oil reserves total 94 billion tons, with most located on land. The country began to seek overseas cooperation for offshore oil development in 1979, as the output of many onshore oilfields had begun to decline.

LNGL, one of Aminex's partners

http://www.lnglimited.com.au/

Huge oil profits go for exploration

By Elliot Blair Smith, USA TODAY
With oil trading near $60 a barrel, U.S. energy companies are reporting huge profits this week and heralding global searches for new supplies after years of investing in stock buybacks rather than oil stocks.
But renewed exploration is tied to remote and risky areas of the world amid greater competition for those potential resources, energy analysts say. The upshot: High prices are probably here to stay for a while.

Energy traders on the New York Mercantile Exchange have bid oil futures above $61 a barrel through most of next year. Futures quotes do not dip below Wednesday's $59.11 a barrel for September delivery until June 2008, by which time new supplies in Africa and the Gulf of Mexico are expected to be available.

Simmons & Co. energy consultant William Herbert says, "We're in a new era for oil prices because this industry has suffered from a significant lack of reinvestment for the last 20 to 30 years." His firm predicts global demand will top 86 million barrels a day by the end of this year, exceeding supply by 2 million to 4 million barrels, a trend it likens in research materials to a "runaway train ... barreling toward a brick wall."

For now, energy companies are enjoying windfall profits. ExxonMobil today reported second-quarter earnings of more than $7.5 billion, a 32% gain. Wednesday, ConocoPhillips reported a 51% spike in second-quarter profit to $3.1 billion; Kerr-McGee's earnings more than tripled to $371 million; Amerada Hess' profits rose 3.8% to $299 million. (Related: ExxonMobil profit up on oil prices)

However, the companies revealed that the search for oil is taking them deeper into uncertain territory:

ConocoPhillips earned about $148 million in the quarter from its 12.6% stake in Russia's Lukoil at a time when some companies are backing away from Russia due to a legal framework there some perceive as anti-business, says IHS Energy Vice President Peter Stark.

Kerr-McGee attributed its higher quarterly sales volumes to new production in China's Bohai Bay and the deepwater Red Hawk field in the Gulf of Mexico.

Amerada Hess is buying energy licenses in Russia's Volga-Urals region with exploration also underway in Gabon, Peru, and near Malaysia and Thailand.

In addition, tiny Murphy Oil said Wednesday that its quarterly exploration expenses rose 72% to $40 million due to energy searches in the Congo and Malaysia. Start-up Kosmos Energy, backed by $300 million in Wall Street capital, is partnering with Pioneer Natural Resources to explore oil and gas ventures from Morocco to Angola. And earlier this week, energy giant BP said it will launch 35 major projects in the next five years, expecting oil to remain above $40 a barrel.

Analyst Herbert says most of these ventures share the risky profile of being undertaken in "harsher environments" and "relatively inhospitable countries" compared with mature existing oil reserves.

"There's just not that many corners of the world left to go drill holes in anymore," affirms PFC Energy analyst Seth Kleinman, who says the exploration activity underway will be accompanied by a consolidation wave in a struggle of the fittest. "One sure way of adding to your reserves," he says, "is to buy them. And companies are sitting on top of a lot of cash right now."

More on Bohai Bay ....

China
Bohai Bay
China's Bohai Bay is Kerr-McGee's newest core area, with eight discoveries to date and continued exploration activities. We operate four adjoining blocks in China's Bohai Bay, totaling 1.7 million gross acres.

China represented 3% of our 2004 reserves and 3% of our 2004 production. Production from two fields in block 04/36 began in July 2004, and at year-end 2004, peak production ranged from 40,000 to 45,000 barrels per day. Kerr-McGee is operator with 40% interest.

The hub-and-spoke development in 75 feet of water includes a floating production, storage and offloading (FPSO) facility and two fixed platforms for dry wellheads some 50 miles from shore.

The FPSO, with a capacity of up to 80,000 barrels of oil per day, and related infrastructure allows for the timely, cost-efficient development of future discoveries. The double-hulled vessel stores oil in 10 main tanks and has storage capacity of 1 million barrels for offloading to shuttle tankers.

Read a feature story about production in China's Bohai Bay in Endeavors Magazine.
http://www.kerr-mcgee.com/SiteObjects/files/endvr_story_2004_3q_bohai_bay_pdf.pdf

South China Sea
In early 2005, Kerr-McGee and China National Offshore Oil Corporation (CNOOC) signed a production sharing contract for block 43/11, covering 2.4 million undeveloped acres in the South China Sea, in water depths from 5,000 to more than 10,000 feet. This contract more than doubles Kerr-McGees China acreage and will allow the company to leverage its deepwater expertise and build on its long-standing relationship with CNOOC to explore for additional energy resources in China.

http://www.kerr-mcgee.com/businesses/oilgas/ogassets/bus_og_ bohaibay.htm

Also ....

http://www.kerr-mcgee.com/SiteObjects/files/kmg_location_chi na.pdf

I have been reading the Aminex thread with great interest. I have held shares in this Company for 18 years or so (from the days it used to be called Eglinton Oil & Gas). No matter what has happened to the oil price over the last two decades this company has always managed to not make any money.
Two things have continuously improved over the years - the directors renumeration and the quality and size of the annual reports (all gloss and very little substance).
In the meantime the share price has gone down from 660p in 1987 to the current 9p !!!!
As Gordon Gekko might say not only is this share a dog but a dog with fleas.
Be careful with this one - there are numerous better oil exploration companies you can spend your money on.

sm,

I guess you spend too much time looking at the past, not at the future, like the prospects in DPRK and Tanzania, the broker certainly does not share your negative opinion, neither does oilbarrel.com and resourceinvestor.com, and Lemming Investor are looking at Aminex right now, and they won't be negative either.

If you were in back then you would have got a nice cut of the money they dished out when they sold the Russian areas ???? does that now make all your stock 'free' ????

Of the 'numerous better oil exploration companies', how many have a deal that gives them revenue on every single drop of oil or gas from AN ENTIRE COUNTRY ???? a country with an estimated 73 BILLION BARRELS OF OIL BENEATH IT ???? then add gas ! .... How many have around 10m in the bank to explore such a country with ???? How many have already been pumped and dumped many times, leaving no P.I willing to risk putting money into them (PET, OILQ, ROS, etc) Aminex has never had that, but no doubt it will when the rampers hear Aminex are drilling in DPRK next year, and Tanzania, and possibly Egypt too, so I suggest buying at 8p and holding until they hit paydirt in DPRK, maybe trading on the inevitable pump n dumps, rather than buying at the much higher prices they will create.


Read the brokers note, just register for free access here ....

http://www.edisoninvestmentresearch.co.uk/members/register.html

An extract below ....

Valuation
We have calculated the company's net asset value, on a fully diluted basis, is 8.2p excluding the cash settlement from Petrom, and 10.6p including the Petrom cash settlement. This means the current share price includes little value for Tanzania, North Korea, and the other areas Aminex is pursuing" (that was from before the placing and open offer raised 5m)

Outlook
Aminex is pursuing a number of exciting prospects in various parts of the world, any one of which is a potential company maker, the share price is underpinned by the 8.2p NAV, most of which is attributable to it's hydrocarbon reserves in the US. This ignores the managements track record for creating value from remote and risky projects, and the recent cash settlement with Petrom.

DPRK Petroleum Resources
The country does not currently have proven hydrocarbon resources. Nevertheless, there are thought to be seven potential oil and gas basins in the country: Pyongyang Basin, West Sea Bay Basin, East Sea Basin, Onchon Basin, Kyongson Basin, Anju Basin, and Kilju Basin. The West Sea Bay Basin could be an extension of China's Bohai Bay. The West Sea Bay and Anju Basins are currently considered the most prospective areas, with the former basin estimated to contain 5 to 40 BILLION BARRELS OF OIL IN PLACE, in the West Sea Bay Basin, eleven exploration wells were drilled in the 80's, two of which flowed light crude oil under limited test.

Cheers,
PM

I appreciate all the research that you have put in to this. Without my prior knowledge of the Board of this company I would have suggested that everyone should pile in. However this board has managed to make an awful lot of money and assets disappear in value. The money 'dished out' from the russian projects was negligible. Every year since 1988 I have read of potential blockbusting deals in this or that part of the world. However nothing ever seems to come of it that affects the share price in a positive way.
Of course I still have my shares and, heaven forbid, should this be the time that something spectacular happens, then I will stand to benefit. However past experience suggests caution.
I also note that the share price has done nothing at all recently despite the oil price being so high. Just about every other oil exploration stock is doing OK so why not any action at all with the Aminex share price !!

SM,

Aminex only produce a small amount of hydrocarbon, other companies that produce a lot more hydrocarbon would obviously go up a lot more, with the rising oil price. Also companies that are actively drilling, like NOP will be from this/next weekend, will also go up on blue sky potential, but Aminex won't be drilling again until next year probably, so the blue sky potential effect is not happening to Aminex.

As the broker says, Tanzania, DPRK and Egypt are not in the price, and the price is supported by the NAV of the hydrocarbons they are producing in Texas, so therfore the price should at least not go any lower, and the best place to buy a stock is when it has no further to fall, also an MCap similar to PET is a joke for a company already producing hydrocarbons, and that must be seen as value to prospective shareholders, especially with the changes in Texas going on at the moment, that will replace the lost revenue from Vinton Dome, and we have the cash from Vinton Dome to boot.

One oil strike in Tanzania or DPRK next year, and where do you think the MCap will be then ? certainly nowhere close to 7m that's for sure.

I have belief mainly in the West Sea Bay Basin, it has already been shown to have oil, but the new technologies that Aminex have at their disposal, will undoubtedly provide better targetting of that oil, and if there is a continuation of Bohai Bay into West Sea Bay Basin, that would be a huge find for a 7m company.

Before we get that far, I expect the DPRK nuclear issue to go away, talks are going very well, and China has just(today !) presented a draft agreement, which USA and Russia are pleased with, and are backing. Once that is sorted, big oil companies won't be sitting around, they will be applying for acreage in DPRK, and some will become Aminex's partners in the areas Aminex has already cherry picked, ie the BEST areas, and where do you think the MCap will be then ? again, nowhere near 7m.

Aminex is still very unheard of by invesors, but that will change, once they get moving in DPRK. Don't forget, they are still looking at the 20 years worth of data provided by the DPRK, but they will be aquiring acreage, under their own designed profit sharing agreement with DPRK, very soon, and they could also be doing their own seismic before XMas, so what do you think will happen to the MCap then ? again, nowhere near 7m.

Cheers,
PM

PM
Thanks for the info.
I sincerely hope you are correct.
Indeed, assuming St Gobain get their act together and make a proper offer for BPB (thus allowing me to sell my shares and reinvest elsewhere) I will have a nibble at some more Aminex to average down from 660p.
That's a promise.
Regards
Mono