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.
•
Most prospects in 2,000 – 4,500 feet water depth (610 – 1372m)

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

•
Falklands weather is similar to West of Shetland

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

•
Anchored semi-submersible or drillship for exploration drilling

•
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/

Never mind granting options to directors isn't it time for a progess report?

There must be some reasonable expectation that the SP could increase by 50% pa compound over next 3 years. Let's say he hits half way between 10% and 50%. That makes an SP of 125.50 (as it was yesterday) X 1.30 ^3 = 275p. Having started at 40 p at IPO in October '04, that gives me a compound return of 34.5% over the 6.5 years to April 2011. That'll help buy me pension for sure.

Personally I would not be surprised to see the SP somewhere between 10 and 15 within my lifetime, if they find half what they hope for.

;) Looking Good

Going on steadily!

Through 151.5 and northbound.

Falkland Oil and Gas Limited
28 April 2008



28 April 2008





FALKLAND OIL AND GAS LIMITED



Appointment of Nominated Adviser and Corporate Broker



The Board of Falkland Oil and Gas Limited, the oil and gas exploration company
focused on its extensive licence areas to the South and East of the Falkland
Islands, is pleased to announce the appointment with immediate effect of Oriel
Securities Limited as Nominated Adviser and Corporate Broker.

Anyone know who bought the 10mil Global shares

Was it RAB? What do shareholders make of RAB increasing their sharehoding to 39%?

Halifax its 44% not 39%

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/04/30/cxmktrep130.xml


Falklands Oil & Gas (FOGL), which is the closest of all the Falkland Islands prospectors to starting drilling, added 5 to 135p after Global Petroleum, an Australian investment group, sold an 11pc stake to hedge fund RAB Capital.

Market sources said that Global Petroleum had been looking to offload the shares for some time as it needs the cash.

RAB now owns nearly 44pc of FOGL. Under the City's takeover code, RAB would be obliged to make a bid but as FOGL is registered in the Falkland Islands, the normal rules do not apply.

Yes it was RAB, taking their take to 43% which according to The Daily Telegraph would mean that ordinarily they would now have to make a bid for the whole of the company, but as FOGL is registered in The Falklands, this rule does not apply.
It also appears Global Petroleum sold due to need of money.

My personal thoughts are that RAB will play a wait/see game re the first actual drilling results.

According to RNS RAB situations fund own 39.41%?

I agree greekman situation looking interesting think I may top up. If BHP/BLT has any drilling success they may well want to take over the whole show.

Hi, Halifax,

I was taking the figures from The Daily Telegraph, but I agree the figure shown on the RNS is 39.41% which is most probably right.
Whichever figure is correct, it's still a tad more than I hold.

;))

Falklands Oil & Gas (FOGL), which is the closest of all the Falkland Islands prospectors to starting drilling, added 5 to 135p after Global Petroleum, an Australian investment group, sold an 11pc stake to hedge fund RAB Capital.

Market sources said that Global Petroleum had been looking to offload the shares for some time as it needs the cash.

RAB now owns nearly 44pc of FOGL. Under the City's takeover code, RAB would be obliged to make a bid but as FOGL is registered in the Falkland Islands, the normal rules do not apply.

RNS Number : 3839U
Falkland Oil and Gas Limited
14 May 2008



Wednesday 14 May 2008




Falkland Oil and Gas Limited

('FOGL' or 'the Company')




Annual General Meeting


FOGL, the oil and gas exploration company focused on its extensive licence areas to the South and East of the Falkland Islands, will hold its Annual General Meeting today. At the meeting Richard Liddell, Chairman, will make the following remarks:

'2007 was a year of significant progress. We undertook additional exploration activity to further de-risk the project; this work confirmed the high potential of the assets. In aggregate, our ten top ranked prospects have the potential to contain hydrocarbon resources in excess of 10 billion barrels oil equivalent.

'The farm-in deal secured in October 2007 with BHP Billiton includes a commitment to drill a minimum of two exploration wells. BHP Billiton has extensive deepwater drilling expertise and the deal added credibility to the exploration assets and was a crucial step in moving towards a drilling campaign next year.

'Preparation work for the drilling programme is in progress. BHP Billiton is currently reviewing a number of options to secure a suitable rig and focusing on the selection of the best prospects for drilling. An environmental impact assessment has been initiated, together with other planning activities that will be required before drilling can commence. Planning for site surveys is also underway and these are expected to be carried out in the second half of 2008.

'In conclusion, FOGL is poised to enter the exploration drilling phase with a material licence equity interest in what may well be a significant new petroleum region in the South Atlantic. We believe this is probably one of the most exciting high impact exploration projects currently being undertaken anywhere in the world.

'We hope to commence exploration drilling in 2009, the next year promises to be a very exciting one for FOGL. The rewards for success could be substantial, given the large resource volumes of the prospects being targeted.'

http://moneyam.uk-wire.com/cgi-bin/articles/200805191418077835U.html

http://www.fogl.com/operations/documents/ProgressReport18April2008.pdf

Firm plan for S. Atlantic in 2009

Falkland Oil and Gas shareholders have been told of firm plans for drilling in the South Atlantic next year after the completion of pre-drill survey work.

At the companys annual meeting today, chairman Richard Liddell was due to tell shareholders that drilling will go ahead next year on prospects lying to the south and east of the islands which are thought to contain in the region of 10 Bn boe, in partnership with BHP Billiton which is currently looking at rig options and the best drilling prospects.

Preparation work for the drilling programme is in progress. BHP Billiton is currently reviewing a number of options to secure a suitable rig and focusing on the selection of the best prospects for drilling, Liddell was due to say. An environmental impact assessment has been initiated, together with other planning activities that will be required before drilling can commence.

Planning for drill site surveys is underway, which are due to take place in the second half this year.

Signalling his belief that the South Atlantic is set to become a major new petroleum province, Liddell concludes: With exploration drilling expected to commence in 2009, the next year promises to be a very exciting one for FOGL. The rewards for success could be substantial, given the large resource volumes of the prospects being targeted.

FOGL agreed a farm-in deal with BHP Billiton October last year, with BHP committed to drilling two South Atlantic wells.

Drilling Start Date:
Exploration drilling is expected to commence in 2009.

Objective: Drilling in deep water has become common place over the last 10-15 years. Well proven technologies exist to handle the water depths and ocean conditions present in our licence areas.
Nevertheless, great care is required to drill a well safely and efficiently. As a consequence a significant amount of time and effort will be spent on forward planning to ensure a successful outcome is achieved.
The selection of the optimum drilling rig is based not only on water depth, metocean conditions and safety standards, but also on the anticipated downhole' conditions.
A thorough well prognosis leads to a detailed well design which incorporates an assessment of the likely pressure and temperature regimes that are expected to be encountered.

Preparation for drilling will also require considerable logistics planning. Some drilling units are capable of drilling one or more wells from supplies stored on the vessel.
Others require more support from a shore base and supply boats would then be required to ferry provisions and drilling equipment offshore. Suitable helicopter support will also be required.

Some drilling equipment (long lead items), such as well-heads, will have to be ordered up to a year in advance. BHP Billiton's record in deep water drilling is excellent and we are fortunate to have such a highly competent operator in control of drilling operations.

The well plan, rig details, site surveys and environmental impact assessment must then be submitted to the government authorities for final approval.

confess that though i made a useful and quick buck on BOR a week or so ago, i really do think that all these blue sky companies in the falklands region are riding for a fall, and a very significant one at that ...... there is just no substance at all to support the price levels at which the sp's currently stand