Red Emperor Resources (RMP) is an ASX and AIM listed natural resources exploration company
with interests in the frontier state of Puntland, Somalia and the Republic of
Georgia.

* In Puntland, Red Emperor holds a 20% working interest in two licences
encompassing the highly prospective Dharoor and Nugaal valleys. These two
exploration areas cover over 36,000km2. The first well in a two well
programme spudded with drilling also commenced on the second well in
January 2012 targeting 300mmbls and 375mmbbls of best estimate Prospective
Resources (100% basis). Site construction has commenced on the second well
with the setting of the 30 inch surface casing and the drilling of a 50
meter pilot hole in readiness for spudding following the completion of the
first well.

* In the Republic of Georgia, Red Emperor has a 20% working interest in
onshore blocks VIa and VIb, covering approx. 6,500km2. Joint Venture
partner Range Resources Limited (ASX: RRS | AIM: RRL) previously funded a
410km 2D seismic program with independent consultants RPS Energy
identifying 68 potential structures containing an estimated 2.045 billion
barrels of oilinplace (on a mean 100% basis) with the first (Mukhiani-1)
of two exploration wells having spudded in July in 2011. Re-interpreted
seismic supported by the Mukhiani-1 vertical seismic profiling has
identified new fault and stratigraphic trapping potential with the
possibility of a side track well to be drilled post additional seismic in
2H 2012.



As at 8th March 2012, the Company has 206,681,755 ordinary
shares in issue. The Company holds no shares in treasury and each share carries
one vote. This figure may be used by shareholders in the Company as the
denominator for calculations by which they will determine if they are required
to notify their interest in, or a change to their interest, under the
Disclosure and Transparency Rules.

Trades slowed

A lot of selling into the rise

Could be a placing announcement for RMP to fund Nugaal. ?

Suspension on ASX extended to Monday 27th or earlier news from Puntland.

Playing for time, tend to think now if a duster would it of been announced already.
May be good news, who knows.

I agree it would have, probably.

August 27, 2012
Horn Petroleum Provides an Update on Puntland Drilling

--------------------------------------------------------------------------------

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 27, 2012) - Horn Petroleum Corporation ("Horn" or the "Company") (TSX VENTURE:HRN) is pleased to provide an update on the drilling program ongoing in Puntland (Somalia).

The Shabeel North-1 well has reached a total depth of 3945 meters and has encountered metamorphic basement at a depth of 3919 meters. The well penetrated 149 meters of interbedded sands and shales of the Triassic Adigrat Formation with no oil or gas shows and only minor porosity exhibited on electric logs. Accordingly, the well is being plugged. As noted in a previous Puntland drilling update, the Upper Cretaceous Jesomma sands did exhibit porosity and hydrocarbon shows but produced only fresh water on a drill stem test. These sands are similar to the Jesomma sands encountered in the previously drilled Shabeel well in respect of log response and oil and gas shows. It has therefore been determined that additional testing of these zones in the previously drilled Shabeel well is also not warranted.

Based on the encouragement provided by the Shabeel wells, the Company and its partners, Range Resources and Red Emperor, plan to enter the next exploration period in both the Nugaal and Dharoor Valley Production Sharing Contracts ("PSC's) which carry a commitment to drill one well in each block within an additional 3 year term. The current operational plan would be to contract a seismic crew to acquire additional data in the Dharoor Valley block and to hold discussions with the Puntland Government to gain access regarding drill ready prospects in the Nugaal Valley block. The focus of the Dharoor seismic program will to delineate new structural prospects for the upcoming drilling campaign.

Keith Hill, Chairman of Horn, commented, "While we were disappointed that we were not able to flow oil from the first two exploration wells in our Puntland (Somalia) drilling campaign, we remain highly encouraged that all of the critical elements exist for oil accumulations, namely a working petroleum system, good quality reservoirs and thick seal rocks. We look forward to working with the Puntland government to move our exploration project to the next phase which will likely require us to focus on prospects in different areas of the basins. One should keep in perspective that it often takes a number of wells to find commercial hydrocarbons and we plan to continue our aggressive program to unlock the potential of this highly prospective region."

Horn holds a 60% working interest in the Dharoor and Nugaal Valley blocks and is the operator. The other partners in the blocks are Range Resources (20%) and Red Emperor (20%). Africa Oil Corporation holds an approximate 45% equity interest in Horn.

Horn Petroleum Corporation is a Canadian oil and gas company with assets in Puntland, Somalia. The Corporation holds a 60% interest and operatorship in the Dharoor and Nugaal blocks encompassing a Jurassic Rift Basin on trend and analogous to the large oil fields in Yemen. The Corporation's shares are listed on the TSX Venture Exchange under the symbol "HRN".

ON BEHALF OF THE BOARD

David Grellman, President and CEO

Puntland update from rmp

http://www.asx.com.au/asxpdf/20120827/pdf/42891txqc8xjc5.pdf

Not the end just yet then!

Minus 43% today.

wow - been away for a month or 2 then this - glad sold out before i left - what happened - anyone have headline data only?! is it worth buying back in at this sp or lower? gla

Heavens to murgatroyd gibby, has someone given you the kiss of life - thought you had departed this world. You obviously haven't been helping PL and his gang or you would have known how dire this is. Glad to see you back.

The rns as a lot of investors have noticed just plugged without the abandoned , interesting.

lol 3ms - still around :-)) and thanks for the welcome back - i hope all good with you - i better have a word in pl's ear then :-((! cheers have a good evening

indeed dc - your last word says it all - 'interesting' have a good evening

Welcome back g.

g, The company is only valued now to the cash it has. Interesting to see the news from GB of where he thinks this company is going. I guess they could bring forward the Nugaal drill as the site is ready. Can see this dropping some more perhaps then bobbing along till some form of news. Dont know about Georgia,need news.

thanks dc - i'm holding fire here - would not be surprised to see 3p range here quite soon gl

aceisme
Re: S1 & SN geology data - FAO Goonerboy
Fri Aug 31, 2012 5:47 am
I don't usually do this, but I thought this was a good post on HC by Masher. Hope he/she does not mind me posting it here.

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

I've been wracking my brain and rereading the RNS's over and over again to see where I went wrong and why I didn't derisk at 50p or even at 34p after the SP went down to 25p because of the capital raising and climbed again to 34p.
I remember I was considering selling all my shares because of the euro woes and the price had climbed back upto 34p from 25p after the placing.

The following are the reasons why I didn't sell:-

For a start I was under the impression that they had enough information about the area they were drilling and that this was probably the best position to start their drilling campaign.

We were first informed
1) of the 40m gross pay and 12m - 20m net pay.
2) we were given the porosity figures
3) we were told that they have encountered hydrocarbons at the early stage of the drill which is a bonus and expectations are of a larger find further down.
4) we were told of a working hydrocarbon system.
5) we were told by the brokers that the whole area is now derisked and they have consequently reduced their risk factors to calculate the SP.
6) all the boxes were ticked based on RNS's not just rumours.

Then the SP started drifting down from 50p which seemed OK because the SP had climbed from 10p to 50p and it seemed like some people were taking profits.

Then were told of the placing at 32p by then our SP was roughly 40p and I remembered the previous placing in the 20's were the SP didn't retrace to that price and just kept on climbing. So I didn't take any chances and I held on.

Then we were told that the S1 had reached the basement and only encountered a further 3m of net pay which is not worth testing. Because of this the vaguely worded RNS the SP went down to 15p to 20p
Should I have sold here???

This is were things start to get foggy and don't add up.

1) they don't test the 12m to 20m net pay because they haven't got the equipment

2) we are told that they have been drilling the edge of the basin

3) larger finds should be encountered nearer the centre of the basin

4) PL and GB buy shares in their respective companies ( this did send alarm bells ringing in my mind because I think PL is a crafty bloke) to suggest that those people selling have come to the wrong assumptions.
5) the next drill at SN will go ahead which is only 3.5km away so near to S1? Are they that happy about the log results that they don't even want to wait for the testing equipment and start drilling just down the road?
Add to that they are only going to drill to revised depth of 2400m and not any further down.
My assumption here was that this was to save money so they can do a third drill and further prove up the the whole area and sell it off.

6)GB announces in an RNS that RMP does not have an obligation but it has a choice whether it wants to participate in the 2nd drill and having looked at the log results etc etc. He is pleased to announce that RMP will have no hesitation in participating in the 2nd drill.
So everything seems to be in order.

These things are not adding up.
You drill for 3months and not know that you haven't got the required testing equipment?
You don't send for the testing equipment and do the testing first at a minimal cost but you go and drill nearby at a huge cost not knowing whether you have water or oil 3.5km away.
You drill to the revised depth and change your mind again and drill to the original TD and beyond on the nearby SN.
HRN do a further placing between the first and second drill with warrants attached most of the AOI allocation was taken up but not all of it there by reducing their share of HRN from 51% to c47%. Nevertheless they did take up a substantial amount.
Neither the warrants from the first tranche nor the second have qualified to be exercised.
That's odd because if they have been playing with the information then they could have got at least the first tranche exercised.
Now they have no money left.
Why mention oil or water before doing the testing on the SN gross find.
Why re-revise and drill at a huge cost to TD and beyond yet not go to test S1 at a minimal cost.
I just cannot believe the series of events that have brought RRS and RMP to it's hand and knees.
I am prepared to believe that PL and GB are amateurs at this oil and gas business but KH has got years and years of experience plus all the Knowhow of AOI at his presence. Why does he seem like a headless chicken in all this?

No it just doesn't add up.
........................................................
Food for thought!

up 8% this morning, not dead yet