New Projects and good prospects. will be the winner in 2004. IMO
25p in early 2004

chinapete

I'm not one to hold a trade if it goes wrong. To hold a loser is to be a loser in this game. This just happens to be a bigger loser than most. Bummer, but such is life.

It may come good again, but the trade was made on the expectation of a good well, which certainly didn't materialise. At that point I bail and move on. There are thousands of other potentals out there to make any loss back. If PCI recovers I may get back in, but no point at present IMO.

As I said earlier, I've been in the oil business for 24 years and it amazes me they did not test the thing after a frac job if they knew that is the standard method in the area. It looks a badly managed job to me.

Cheers,
Al

Hi Big Al: Grateful you take a look at the news release from BUR this week concerning 'abnormally high formation pressures', if you have not already done so. Given you are in the Oil Industry what does this mean exactly? Thanks John

johngtudor

I did see that a day or two back. It says they need specialist testing equipment due to the high pressures. If they didn't expect them that high, they may only have ordered a fairly standard kit. For example this might be rated to 10k psi, but the pressures encountered during drilling might have been higher and they need a 15k psi, say. Just my guess, but shouldn't be too wide of the mark.

From a technical standpoint, I can't see it means much one way or the other - at least they have something to test!!!!!! ;-))

Thanks Big Al. City Analysts say a successful drill here will mean at least 80p to the SP! SO worth waiting for although it will probably be a few months before the new kit arrives. Still Burren are doing very well and actually have 'black gold' ozzing out of the ground in ever larger amounts by the day! jgt

Big Al - appreciate the info to date and your stand - but most of us put too much in to walk away :-) - summer madness!
BLR is also currently waiting for drilling news, conversely this is c2p - perhaps a better managed company? Expectations not so high, so if they do or dont hit it wont be such a bummer!

oh shit...down to 10p....bought at 17p...hoping it would go to 25p...what is the bad news?

Petroceltic slumps on Tunisian setback
Published: 16:35 Friday 03 December 2004 By Graeme Davies

Shares in Anglo-Irish oil exploration company Petroceltic International slumped by 40% today on bad drilling news from Tunisia.

Drilling at Petroceltic's Sidi Toui 3 well encountered oil shows at various depths but when the company initiated an open hole test over the past 24 hours nothing was recovered.

Oil and gas was encountered elsewhere in the same drilling session, at a shallower depth but the company had to release the rig it was using to another company under a commitment which meant it could not test the well further.

A company spokesman said the news was 'a disappointment' but did not affect the prospects for the licence but simply reflected the wrong choice of area to drill in. The Sidi Toui 3 well is in a well known oil producing area of Tunisia. Petroceltic has a 7,500 square kilometre exploration licence in the area.

Petroceltic (PCI) shares shed 6.5p to 9.5p valuing the company at 45 million.
Petroceltic is not totally reliant on the success of the Tunisian drilling, although a total failure would be very disappointing. It also has interests in Algeria, Italy and Ireland and still has $25 million (12.93) in the bank.

johng - no worries. Like I say, difficult to know for sure without being there, but this sounds the scenario.

m100 - best of luck, but beware summer madness! ;-))

Thanks Azhar for the news above...think I got to sell on Monday before it falls further

hyleo

Just popped in, although not a current holder (bets on PET!). My advice is: don't sell on Monday. Its only one well, after all; they might have found something but there rig was taken away! They have plenty more opportunities; once they are moving on to the next drill the price will have recovered. Plenty of cash in the bank; no great overheads; plenty of interests. Better average down; unless you know a quicker and better bet; alternatively, hold and sell on recovery.

Eric

I agree EW.

Im not in on PCI but have been waching for a while. Im going to do some research this weekend and may think about buying while the price is low. A great buying chance. Im also on PET. Great posts by yourself. Just got fingernails left.

wilbs

ewrobson...some sanity amongst the gloom and doom...many thanks for an excellent post.

Hi, I didn't put too much into this, got too much in pet, but will hold expecting recovery in PCI, don't want to panic and sell at a loss (bought at 17p) then see them rise, after all, how much further can they fall? LOL.

Chris

HI ALL

IT LOOKS LIKE PCI HAS BEEN GIONG SIDWAYS FOR SOME TIME, BUT LOOK AT THE LAST CANDLE ON THE CHART BEFORE BUYING. I'M NOT SAYING THAT PCI ISN'T WORTH CONSIDERING. IT MAY JUST NEED SMOME COUTION. TO BUY AT THE LOWER PRICE IS ALWAYS GOOD. KEEP YOUR EYE ON THE NEWS & THE CHARTS!

GOOD LUCK ALL

EDDIE

eddie...i guess we could all see what the last candle would look like!..pci will recover as Friday's panic was an over reaction (but was expected considering the months of expectations built up)...many thought it had to be positive news (including myself) so pretty understandable that many punters in for a quick buck rushed for the door...i guess the bigger guys (instns) know the future potential pci holds and they'll no doubt be picking up the pieces and this bargin price...but anything could happen and know one knows...only if we had.

Eddie - My own view of charts is that they are pseudo-science and rather less useful than examining the entrails of a ritually sacrificed goat. But don't let me put you off, my own methods aren't working very well at the moment.

Could go either way tomorrow - which isn't much help. Any buying at the start might start a little rally, but I'm not expecting much. IMO more losses and a gradual drift down more likely. Also expect the big buyers to hold off until they are sure it has bottomed.

Resigned to being in them up to the hilt for months, but a recovery to 13p might be on the cards over time, in which case old china gracefully takes his money and puts it into something safer, like a company trying to open a chain of off-licences in Saudi Arabia, having learned yet another lesson the hard way.

chinapete - learn the lesson! It'll make you better! ;-))

eddie - most traders would take that chart as an out-and-out short!

My two penneth is that Big Al is right and I think there is still further to fall before consolidation and eventual a rise.