IGas is a leading onshore hydrocarbon producer in the United Kingdom, with almost a decade of experience, delivering natural gas and crude oil to Britain’s energy market. They hold licences to extract hydrocarbons across the north of Wales and the north of England covering an area of approximately 1,455 sq km. Independent analysis has confirmed that the company has an estimated net Contingent Recoverable Resource to 1,811Bcf of gas.

But what I find exciting about this company is that:
They also have the potential to explore shale gas. They have identified a significant potential shale resource within their acreage, which is estimated (on an unrisked basis) to comprise up to 4.5 trillion cubic feet of gas.

The government last week lifted an 18-month ban on fracking, the controversial method used to extract shale gas. The British Geological Survey is expected to publish research next month that will vastly increase the estimate of Britain's potential shale gas resources.

Exxon Mobil has entered talks to buy a stake in the Bowland shale project in Lancashire, owned by IGas. It is believed that Shell, Total of France, and Norway’s Statoil are also considering bids.

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Another 2.5% today, not gone unnoticed lol.

Why the drop today, bounce into black, tax breaks to come in march ???

DC: only just seen you pic lol!! - didn't seem to show itself last time I logged in.

I think the drop is just a pull-back, as would be expected after the very dramatic rise at the start of the week.

This was issued today: 'Jefferies raises price target to 105p from 85p; rating buy'.
Longer term though, this should be a multi-bagger for those prepared to hang around.

An after thought for the pic. lol

Just seen this upgrade, too:
'Canaccord Genuity raises target price to 105p from 100p; rating buy' - not a big increase but nevertheless...

Close on a 10% rise today, good going.

Saturday, December 22, 2012
Weekly oil news summary including IGas, Gulfsands Petroleum, Petro Matad and Sound Oil






Once again IGas (LON:IGAS) was in focus this week and its shares jumped almost 14% amid speculation that major internationals were lining up farm-in offers for its British shale gas projects.

US goliath ExxonMobil is leading the chase ahead of other interested parties including Shell, Statoil and Total, according to a report in the Sunday Times.

It comes after the UK government lifted a ban on fracking – or hydraulic fracture stimulation – a week earlier, paving the way for a new potential energy boom in the north west of England.

IGas is positioned to be among the early movers following its shale discovery in Cheshire, within the Bowland shale play, almost a year ago.

Malcolm Graham-Wood, oil analyst at VSA Capital, told Proactive that the prospect of Exxon potentially coming in was the "most exciting" aspect of the news.

"Not just because because it's the mighty Exxon but because it’s got the expertise of buying into shale in America pretty early," he said.

Maybe getting a bit ahead of it's self?

Just out of auction @105.25 +9.1%

It will pull back, for sure. But it's one to buy into for the longer term, in my view.

I thought it would pull back - instead, this look ready to explode!

Here's some info from an RNS issued 20 December, which I didn't get around to posting at the time:

IGas Energy bounced into the black in the six months to the end of September with underlying pre-tax profits of £8.2m against a loss of £1.1m a year ago.

The group reports revenues of £33.4m against nil last time and underlying operating profits of £12.7m compared with a loss of £1.3m previously.

Chief executive Andrew Austin said: "We are pleased to announce a positive set of results, with growth in reserves, material cash flow and strengthening of the balance sheet. "The lifting of the restrictions on fracking also means that we are now able to advance our shale assets."

Happy new year Toya and well done on this one.

Thanks Dreamcatcher - Happy New year to you too!

Skinny: I find myself humming that nursery rhyme quite often these days lol :)

RNS issued yesterday, just so you know:

"IGas notes the press speculation this morning around a potential equity fundraising. The Board keeps all forms of financing under review and will update the market in due course."

IGas have today announced their proposed placing of up to 24.3m shares at 95p, representing approximately 15 per cent of the Company's existing issued share capital. It is expected that trading in the Placing Shares will commence on 18 January 2013.

For the full RNS and background details click on the link below:
IGas Proposed Placing of up to 24.3m Shares

Always believe in rumours lol! (see earlier post)

A 20% drop today then.

RESULTS OF PLACING

IGas Energy plc announces the placing of 24,330,730 new ordinary shares at a placing price of 95 pence per share

IGas Energy plc ("IGas" or the "Company") is pleased to announce the successful completion of the placing announced earlier today (the "Placing"). A total of 24,330,730 new ordinary shares (the "Placing Shares") have been placed at a price of 95 pence per Placing Share (the "Placing Price"), with new and existing institutional investors. Based on the Placing Price and the number of Placing Shares, the gross proceeds of the Placing will be £23.1 million. The Placing Shares being issued represent approximately 15 per cent of the expected enlarged issued ordinary share capital of the Company.

The Placing Shares will, when issued, be credited as fully paid and will rank pari passu in all respects with the existing ordinary shares of 10 pence each in the capital of the Company, including the right to receive all dividends and other distributions declared, made or paid on or in respect of such shares after the date of issue of the Placing Shares.

The Company has made an application for admission of the Placing Shares to trading on AIM, a market operated by the London Stock Exchange plc ("Admission"). It is expected that Admission will take place and that trading in the Placing Shares will commence at 8.00 a.m. on or around 18 January 2013.

how to duff up the PIs ands laugh all the way to the bank

IGas Energy has completed its acquisition of PR Singleton from Providence Resources.

Chief executive Andrew Austin said: "The acquisition of PR Singleton Limited plays an important role in further consolidating our position as a leading onshore oil and gas company across Britain, giving us a material increase in reserves and production."

IGas Energy plc ("IGas" or the "Company") is pleased to announce the arrangement of a five year, USD 165 million senior secured bond issue. The bond issue will carry a fixed interest rate of 10% p.a. and semi-annual amortisation of 2.5% of the initial loan amount. The purpose of the bond issue is to refinance the Company's existing debt and for general corporate purposes.