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.

Hence RKH is my banker where i hold the most shares in at present.........2011 is RKH year.

i still hold here, but currently just a modest stake ...... however, also believe DES is in last chance saloon and unlikely to survive the shoot-out

Operations Update



Desire Petroleum plc (DES:AIM) the oil and gas company wholly focussed on the North Falkland Basin, wishes to provide the following operations update.

Dawn / Jacinta Spud

The Company is pleased to advise that the Dawn/Jacinta 25/5-1 well was spudded at 14.40 hrs (GMT) on 18th December 2010.

The well is located in Tranche I in which Desire has a 100% interest.

The well has targets at two levels. The Jacinta prospect is a Lower Cretaceous stratigraphic sand pinch out trap with a target depth of around 1,000 metres. The deeper Dawn prospect is a 3-way dip, fault bounded closure with a target depth of around 1,350 metres.

The total depth of the well is planned to be around 1,670 metres and is expected to take 30 days to complete.

Announcements will be made once logging is complete at each of the targets or as appropriate.

Ocean Guardian

After the Dawn/Jacinta well, it is planned that Rockhopper Exploration ("Rockhopper") will take the rig for 1 or 2 slots before the rig returns to Desire to drill a well at a location still to be decided. A further announcement will be made on the rig movements once details have been finalized.
3D Seismic ActivityThe 3D seismic vessel Polarcus Nadia has commenced operations on the new 3D seismic programme in the North Falkland Basin in a joint survey with Rockhopper. Operations are expected to be complete by the end of April 2011. The Desire part of the programme will result in full 3D seismic coverage over the prospective East Flank Play Fairway on Desire acreage. Desire estimates that only circa 40% of this play is currently covered by 3D data within the Desire operated licences. The new 3D seismic is required to identify and map the target sands in this play. The priority area, where operations have started, is in the north east of Tranche D.

The existing 3D survey will be reprocessed and merged with the new data to provide consistent, high quality 3D data over all of the play fairway on Desire acreage.

The final merged data are expected to be available for interpretation during Q3 2011.

For further information please contact:

Desire Petroleum plc 020 7436 0423

Stephen Phipps, Chairman

Dr Ian Duncan, Chief Executive Officer



Seymour Pierce Limited 020 7107 8000

Jonathan Wright/Stewart Dickson,

Corporate Finance

Richard Redmayne / Paul Jewell,

Corporate Broking



Buchanan Communications 020 7466 5000

Ben Romney

Tim Thompson

Chris McMahon

its a WIN WIN WIN for RKH.............. Desire fail RKH go up as get rig next, if Desire hit oil its WIN WIN WIN!!!

Am i missing some thing?......cynic?

Excellent !

.

Most interesting. The first well is exploration.

Now, if that one comes in on the Northern Lobe of Sea Lion, then you can start estimating Sea Lion is 700 million plus "recoverable" barrels in size, and all 100% owned.

In fact, if that one comes in good us rose tinted specs people might start to have evidence of a single Billion recoverable barrel size discovery in Sea Lion........


http://www.investegate.co.uk/Article.aspx?id=201012200700122383Y


Bring it on.

Mind you, I suppose its quite clever as the first drill is "outside" of the proposed discovery area and therefore has NO EFFECT on the present 170MMBO and potential upgrade back to 242 MMBO recoverable barrels.

In effect, if this one fails it has no impact on the company as its outside the defined Sea Lion discovery area, but if it comes in then the big figures get thrown around and Sea Lion is confirmed as an "elephant", real world class and possibly up to a billion recoverable barrels.

So its an astute move, on reflection to do the big upgrade no downgrade (big upside no downside) drill first, before the second one in the discovery area and therefore looking to upgrade whats already known.

http://www.proactiveinvestors.co.uk/companies/news/24152/broker-roundup-desire-petroleum-rockhopper-gulfsands-ggg-resources-african-eagle-telit-communications-24152.html


Broker Roundup: Desire Petroleum, Rockhopper, Gulfsands, GGG Resources, African Eagle, Telit Communications

Monday, December 20, 2010 by Jamie Ashcroft

As ever, oil exploration activity in the Falklands attracted analysts' attention this morning.

With separate updates Desire Petroleum (LON:DES) and Rockhopper Exploration (LON:RKH) gave investors details of their next moves in the North Falklands basin.

Desire has now spudded the next exploration well in the faraway oil frontier, the Dawn/Jacinta 25/5-1 well.

With the drilling results due in a month's time, investors will be hoping that the new year will bring new fortunes for the oil explorer that has raised hopes but ultimately disappointed in recent weeks.

David Farrell, oil and gas analyst at Evolution Securities, gives the well a slim chance of success.

One previous well has been drilled in this area (Ernest) by Rockhopper and was found to be dry and we have the Dawn/Jacinta prospects having just a 6-8% chance of success, Farrell said in a note to clients.

He adds: We are sceptical on the chances of the Dawn/Jacinta well and therefore keep our Reduce (rating) on Desire.

Meanwhile, Rockhopper told investors that it has taken up two additional drilling slots on the Ocean Guardian rigs schedule.

The two wells were originally pencilled in under a contract between Desire and the rigs owners Diamond Offshore Drilling. Rockhopper is also in discussion to add another 2 well slots to the programme.

Consequently Rockhopper expects to drill the next well in January, after Desire has finished drilling Dawn/Jacinta.

David Farrell also commented on Rockhopper, emphasising that the explorers valuation is supported by its earlier discovery in the basin.

Rockhoppers share price is underpinned by the Sea Lion discovery and we like the companys leverage to a fully funded E&A campaign in 2011, Farrell said in a note to clients.

Westhouse Securities analyst David Hart also comented on the news.

"The updated drilling schedule for the Ocean Guardian is good news for Rockhopper, as it will accelerate its planned exploration and appraisal activity on Sea Lion," Hart said.

The analyst rates Rockhopper as a 'buy'.

Edison O&G sector report.

http://www.edisoninvestmentresearch.co.uk/sectorreports/OilGas201210Review.pdf

.

StockMarketWire.com
Rockhopper Exploration shares moved up 14p after it agreed to take up two optional drilling slots under the original rig contract between Desire Petroleum and Diamond Offshore Drilling, owners of the Ocean Guardian drilling rig.

The Falklands explorer plans a significant drilling programme in the North Basin during 2011 with the next exploration well expected to spud next month.

CEO Sam Moody said: "We are delighted to have secured the use of the Ocean Guardian for a further two wells and are in discussions to secure further drilling slots.

"We expect to undertake a significant drilling programme during 2011, including a number of appraisal and exploration wells designed to refine our understanding of our northern licences."

Oriel Securities commented that the next well is expected to target the northern lobe of the Sea Lion fan system, which lies outside the proposed Sea Lion discovery area.

"If successful the northern lobe has the potential to largely de-risk the P10 upside case for Sea Lion (669mmb). In addition the well will target a deeper fan which covers an area of 42sq km which has the potential to be a material target given the P10 estimate for the shallower targets assumes a real extent of 55sq km.

"Our risked NAV currently stands at 496p/sh, which includes the current P50 estimate for Sea Lion risked at 66% CoS.

"We retain our BUY recommendation and note that if the P10 upside case can be proven this could be worth over 1600p/sh."

P10 price looks rather attractive Harry!

Its a tally ho chav....come on the Rock!!!!!!

I concur chav. Of course, brokers have been known to get it wrong, but I am prepared to be seduced for the time being!

wake up guys! ... are Oriel house brokers? .... also. RKH haven't even starting drilling yet, let alone found anything (additional)

still out at mo as my limit buy didn't get triggered and as cyners says end of jan before drilling so it looks like the 290's have gone and will have to hope for low 3's. Besides have spent profit on xel so time for that to come good and get back in.,.

Oh great! Thanks Cynic. My dream shattered already. Didn't last long and I will say your bedside manner is a bit rough! ;o)

i was a pupil of dennis skinner aka the beast of bolsover

Dennis Skinner could be very witty with his one liners , but never contributed anything of substance to the debate.

like the boy said, though value like beauty is in the eye of the beholder