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Farm out presentation link :

http://www.fogl.com/fogl/uploads/companypresentations/FOGL_FarmOutPresentation_March2012.pdf


Write up from MaxValue on what was said in the Conference Call about the Farm Out.


> They are already fully funded for the 2 wells. These wells will meet both Phase 1 and Phase 2 commitments.
> Currently they have a contingency on these wells of 30% (enough for 5/6 weeks).
> The farm out will provide a contingency of 120%.
> The farm in party (an international E&P) doesn't want to make an announcement due to an unrelated internal corporate issue they are dealing with.
> The deal is expected to complete in the next month or 2.
> FOGL are still talking to other parties as there was interest from a number of players.
> They choose this party as they are ready to proceed, had a good technical fit and is financially robust (others wanted to take operatorship or wanted a larger share).
> Depending on the results of the wells in the existing campaign (FOGL and BOR) the additional funds ($95m) maybe used on 3D seismic (1xNorth and 1xSouth) or on a 3rd well.
> The rig is due back in Norway by October so there is a window for a 3rd FOGL well.
> This is only an option at the moment.

GLA & DYOR

MV

Just to add some speculation from the rumour mills.

Tullow appears to be the favourite for the farm in, with Cairn a close second.

Will be interesting to see, if it goes ahead, who it is in the end.

Would prefer Andarco or another American company. That way Obama may get off the fence and support the UK.

can't see how fogl would fit with tlw nor why on earth they would be tempted ..... cne may be desperate for anything .... meanwhile goody gumdrops as bor drifts away

Edison update on FOGL 22nd March 2012. PDF can download on the link below

http://www.mediafire.com/?lxp8286btbd3rbj

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Bounce back from being oversold.

I would expect rumours from the BOR drill from around 9th of April - then it gets interesting.

Argies seem to be upsetting everyone at the moment - always a sign of a government desperately in trouble when they upset everyone else then cry how its all others fault, just like CFK is doing now......

http://en.mercopress.com/2012/03/24/us-relation-with-argentina-souring-congress-to-cut-special-trade-benefits

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http://www.irishtimes.com/newspaper/world/2012/0327/1224313954479.html

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http://epetitions.direct.gov.uk/petitions/31848

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Well, late next week is the first time there could be potential rumours as the drill bit could enter into the upper of the target zone at Darwin for BOR. Should be entering either late next week or early the week after, and so the fun begins.

From the Telegraph:

FALKLAND OIL AND GAS

Market cap: £206m

Described by one analyst as the “sleeping giant” of the frontier exploration companies on Aim, its giant Loligo prospect will be its first target

you might care to put that in the context of the rest of the article

The article is more to do with RKH and their immediate plans, which, as I expected, are not rushing along...........

FOGL has farm out interested and RKH........well, not - as I expected.

the article was actually entirely to do with the political threat from argentina, real or imagined ..... the insert listed the various FI oilies with a brief resume on each with market cap and prospects

Have a read of MRQ magazine...big article on the Falklands.

shall do ... i have it on my desk at the office ..... btw, i think the argentian so-called threat is little more than political shop-front window-dressing for the benefit of the argie voters ..... no way will argentina take up arms, but all this posturing has to be taken seriously and answered, dull and time-wasting as it is

Looks like they are getting ready for some major oil finds in the South... LOL ;)

http://www.telegraph.co.uk/news/9180967/Parachute-Regiment-to-return-to-Falklands-for-first-time-in-30-years.html

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Cairn have just completed some corporate action, buying Agora Oil and Gas.

Is it therefore Cairn who fill farm into FOGL's licenses ?

From the farmout RNS

............For corporate reasons unconnected with the proposed farmout, the counterparty is unable to execute the FOA/JOA at this time, but expects to be able to do so within the next two months and prior to the commencement of FOGL's drilling programme............


Given the Cairn purchase of Agora includes cash and shares then yes, that is a corporate reason for being unable to enter into the FOA/JOA until that purchase was completed. So I would suggest Cairn now moves to favourite to be the one to farm in.

http://www.thisislondon.co.uk/business/business-news/falklands-tycoon-laughs-off-argentine-threats-7618602.html

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