Dragon Oil plcs principal production and exploration interests are located in the Cheleken Contract Area in the Caspian Sea, offshore Turkmenistan. The Cheleken Contract Area covers approximately 950 sq.kms and comprises two offshore oil and gas fields, Dzheitun (LAM) & Dzhygalybeg (Zhdanov), in water depths of 10 to 37 metres.

            Red = 25 day moving average.           Green = 200 day moving average.

Annual Report and Accounts 2012

http://www.rns-pdf.londonstockexchange.com/rns/9322A_-2013-3-26.pdf

Ex dividend 3 April 12.8p payment 3 May

Dragon Oil unveils increase in output
Tue 02 Apr 2013


Dragon Oil unveils increase in output LONDON (SHARECAST) - Dragon Oil on Tuesday announced an increase in production in the first quarter as it completed wells at the Dzheitune (Lam) prospect, offshore Turkmenistan.

Production for three months to March 31st 2013, averaged 71,800 barrels of oil per day (bopd), up from 70,600 for the same period a year earlier.

Average production for March was 74,000 bopd compared to 72,000 bopd the previous year.

During the period, the company completed the Dzheitune (Lam) 28/178 and 28/179 wells which tested for initial production rates of 1,653 bopd and 1,975 bopd respectively.

The first well is currently stabilised and producing at a rate of 2,065 bopd while the latter is producing at a rate of 2,218 bopd.

Shares rose 1.54% to 660p at 12:00 Tuesday.

They are just printing cash.

£8 my 6m target

Interim Management Statement

Key highlights

· The average gross production rate in 1Q 2013 was approximately 71,800 barrels of oil per day ("bopd");

· March average gross production was approximately 74,000 bopd with the month's exit rate at about 76,400 bopd;

· Two new development wells were put into production during the first quarter of 2013;

· Installation of the Dzhygaybeg (Zhdanov) A platform is in progress;

· Tendering process for the construction of the Gas Treatment Plant has commenced;

· Capital expenditure on infrastructure and drilling was approximately US$57 million in 1Q 2013;

· The Group reached an agreement to secure a reliable marketing route for all its anticipated export entitlement production from the Cheleken Contract Area until 31 December 2014; and

· The drilling of the Hammamet West-3 exploration well commenced in early April 2013 offshore Tunisia in the Bargou Exploration Permit.




http://www.moneyam.com/action/news/showArticle?id=4579515

Dragon Oil cranking it up
By John Harrington April 23 2013, 8:06am 'The delivery of the Caspian Driller is anticipated in mid-2013 and we plan to complete up to two wells using this rig in the second half of the year,' the company revealed."The delivery of the Caspian Driller is anticipated in mid-2013 and we plan to complete up to two wells using this rig in the second half of the year," the company revealed.

Production is steadily ramping up at Dragon Oil (LON:DGO), the international oil and gas exploration, development and production company revealed in a first quarter trading statement.

The average gross production rate in the first quarter of 2013 was around 71,800 barrels of oil per day (bopd), up from 70,600 bopd in the corresponding quarter of 2012.

Two new development wells were put into production during the quarter, resulting in average gross production cranking up to 74,000 bopd in March. By the end of the quarter, daily production was up to around 76,400 barrels.

With Brent crude averaging about US$112.60 per barrel during the first quarter of 2013, the average provisional realised crude oil price during the quarter was around US$92 a barrel (bbl), down from US$107/bbl the year before.

The group said capital expenditure on infrastructure and drilling in the first three months of the year totalled around US$457mln. The infrastructure spend in 2013 is expected to amount to around US$200mln, with about US$300mln to be spent on drilling.

At the end of the quarter, cash and cash equivalents and term deposits stood at US$1,579mln, versus US$1,737mln at the end of 2012.

Other highlights of the year so far include an agreement to secure a reliable marketing route for all its anticipated export entitlement production from the Cheleken contract area until 31 December 2014, and the commencement in early April 2013 of drilling of the Hammamet West-3 exploration well, offshore Tunisia in the Bargou exploration permit.

Dr Abdul Jaleel Al Khalifa, Dragon Oil’s chief executive officer, revealed that initial results from the drilling in the Bargou permit are expected towards the end of the second quarter of 2013, with more detailed analysis to follow.

“Drilling activity is expected to pick up in the second half of the year with the arrival of the two platform rigs secured for drilling in the Dzhygalybeg (Zhdanov) field and the Caspian Driller jack-up rig.

“In Iraqi Block 9, the joint management committee and the partners agreed to conduct the necessary work to enable the drilling of an early well - this reflects the confidence in the existing geological data for the block," he added.

For 2013, the board has indicated that growth in production will be towards the lower end of its medium-term guidance range of 10-15% on average per year.

The board of Dragon Oil has recommended a final dividend for 2012 of 15 cents, unchanged from the interim dividend.

Shares in Dragon Oil rose 1% to 610.5p in early trading.

Sold my holding - in at 520 out at 634.

bought many years ago, No intention to sell below £10.

Did not have a large holding, have my fingers in other big pies. Well done ahoj.

Interesting chart, operating profit up 20%. Anybody following these?

Took the plunge yesterday went long @ 573.85 stop to entry.

Looks interesting but resistance at 610p.

MACD looking very healthy.

Tempting.

I'd be happy with 600p gf.

Well yep these quick return small target trades are a positive thing in this present market. Its like the counter attack in football.

Positive trading to suit the times.

Im all for that.

Stop to target 600p

StockMarketWire.com

Dragon Oil has confirmed an oil find in the Block 9 exploration well, 'Faihaa-1', located in northern Basra, Iraq.

Preliminary tests of the Faihaa-1 Mishrif formation resulted in a flow rate of around 2,000 barrels of 20 API oil per day on a 32/64-inch choke.

Kuwait Energy and Dragon - which have a 70% and 30% interest respectively - will conduct more detailed testing on Mishrif towards the end of the year.

Dragon chief executive Dr Abdul Jaleel Al Khalifa said: "We are pleased to report along with our operating partner Kuwait Energy an oil discovery in the first target, the Mishrif formation, in Block 9, Iraq. This represents the first significant success in Dragon Oil's exploration portfolio. Drilling continues towards the second target, which will be tested later this year, and we look forward to a full evaluation of the discovery and the drawing up of a block appraisal plan by the consortium."

Drilling and Production Update

· Gross production in 2014 averaged 78,790 barrels of oil per day (bopd), a 6.8% increase over the corresponding 2013 level;

· Average gross production in December 2014 reached 89,680 bopd;

· Exit rate of 92,008 bopd achieved.

Dragon Oil plc (Ticker: DGO) today publishes an update on the drilling activity in Cheleken Contract Area, Turkmenistan, and its exploration assets in the fourth quarter of 2014 and production numbers for 2014 and December 2014.

Turkmenistan
Since the previous quarterly drilling update on 10 October 2014, Dragon Oil has completed four wells in the Dzheitune (Lam) field.
In 2014, Dragon Oil completed a total of 14 development and appraisal wells: 13 in the Dzheitune (Lam) field and one in the Dzhygalybeg (Zhdanov) field.

The Neptune rig is currently drilling the Dzheitune (Lam) C/198 development well; the Elima jack-up rig is drilling the Dzheitune (Lam) 13/199 well and Land Rig 2 is drilling the Dzhygalybeg (Zhdanov) A/102 well.

Four drilling rigs are now operational in the Cheleken Contract Area with the Caspian Driller expected to commence operations later in 1Q 2015.

Iraq
In December 2014, the consortium of Dragon Oil (30%) and Kuwait Energy (70% and operator) reported their second oil reservoir discovery at Block 9 in Iraq. The successful discovery was at the consortium's second target, the Yamama formation at 4,000 meters, in the exploration well Faihaa-1. Preliminary tests of the Faihaa-1 Yamama formation resulted in the oil flow rates of around 5,000 and 8,000 bopd of 35 API crude on 32"/64" and 64"/64" chokes, respectively.

The consortium's strategy is to accelerate the evaluation of the Faihaa-1 discovery by drilling two appraisal wells in 2015 in order to fast track the development.

Production
The average Cheleken gross field production for 2014 was approximately 78,790 bopd (2012: 73,750 bopd), representing an increase of 6.8% over the corresponding period in 2013. The average production for December 2014 was 89,680 bopd (December 2013: 72,900 bopd). The exit rate in 2014 was 92,008 bopd (2013: 74,812 bopd).

The Trading Statement is due for publication on 20 January 2015.

StockMarketWire.com
Dragon Oil's daily production averaged 78,790 barrels of oil per day in 2014 - up from 73,750 bopd in 2013.

Average daily production rate for December was approximately 89,680 bopd with the exit rate of 92,008 bopd.

Fourteen development wells, including two sidetracks, were completed during the year and four drilling rigs are on site in the Cheleken Contract Area.

Key corporate highlights:
· Reserves replacement of 60% achieved, which is attributable to ongoing drilling operations and well performance;

· 2014 year-end oil and condensate 2P reserves amount to 663 (2013: 675) million barrels;

· Gas reserves (1.3 TCF) and contingent gas resources (1.3 TCF) amount to 2.6 TCF;

· 2C contingent oil resources of 198 million barrels and 2C contingent gas resources of 56 Bscf net to Dragon Oil on a working interest basis in the Mishrif formation in Block 9, Iraq.

Key financial highlights:
· Capital expenditure on infrastructure, drilling and exploration assets amounted to US$677 million for 2014 (2013: US$331 million);

· Group's cash balance (net of abandonment and decommissioning funds) as at 31 December 2014 was US$1,975 million (31 December 2013: US$1,924 million).

Chief executive Dr Abdul Jaleel Al Khalifa said: "In 2014, we completed 14 development and appraisal wells and commenced drilling in the Dzhygalybeg (Zhdanov) field. We grew average gross production in the Cheleken Contract Area by 6.8% - slower than we had hoped to grow it at the beginning of 2014, because in 1H 2014 we drilled fewer wells than originally planned. Drilling accelerated in the second half and well results were solid.

"In December, we reached an agreement with two buyers to export our entitlement share of the crude oil production using two routes. We achieved diversification in export routes and negotiated a better price for our crude.

"On the exploration front, we had excellent results in Block 9 in Iraq: together with our partner, Kuwait Energy, we made two oil reservoir discoveries in both targeted formations. In partnership with a major European utility company, we won two exploration perimeters in Algeria, a country rich in hydrocarbon opportunities.

"On the other hand, the exploration well in the Philippines did not discover hydrocarbons and we are assessing the remaining prospectivity of the block. We also looked at bidding to acquire an E&P company, but subsequently decided against this transaction as the oil price plummeted. We will continue to search for the right fit value-creative development asset."

Merrill Lynch note :
"Dragon Oil (Buy, PO 620p/sh)
Despite a challenging start to 2014, Dragon Oil has since continued to impress with drilling intensity and flow rates on its key Turkmenistan field. The company delivered a very strong end to 2014, exceeding exit production guidance, reaching 92 kbd (guidance 87-90kbd), with a YE15 exit rate of 100kbd, which is expected to be sustained for greater than 5 years. Meanwhile, Dragon Oil offers investors one of the strongest balance sheets in the sector (greater than 50% of balance sheet is cash), which offers scope for either opportunistic M&A deals, or share buybacks."