THIS NEWS WILL CERTAINLY MAKE THE SHARES INCREASE WHEN IT IS ANNOUNCED.


In March 2003, First African Oil Corporation, a wholly owned subsidiary of
Circle signed a two year exclusive reconnaissance licence with the Government
of Namibia covering approximately 146,000 km2, an area more than half the size
of the UK. The Licence is one of the largest in Africa and the Namibian
Government holds a 10% carried interest. Within this concession area, and with
the benefit of a valuable dataset of previously acquired technical information,
Circle believes there is potential to produce significant quantities of
valuable hydrocarbons. An aerogravity survey was carried out during the summer
at a cost of 415,000 and initial results of the survey are very encouraging.
The final report on this programme is due within the next few weeks.

dexter,
Funny you should say that, Im popping down later for a quick one. Ive had a good week so far(makes a change!!). I really cant understand what is going on with cop,If its rising on waiting of news whats it going to if positive news is announced? Its like another pet but not as risky imho.Thought seo would of had a small rise.
wilbs

Some of us, half & half..... Sold some recently but holding my nerve with the rest..... Hanging on for the ride.......

Should have realised - MMs are stockpiling, you can tell by the way the trades are being reported. Can only mean one thing.....

Wonder when it will all end though? What topps will be?

Ive not sold any yet,gonna ride it out as long as I can,If sp drops then ill sell.What will tomorrow bring????????????????????
wilbs

That was my plan, Wilbs. But kept putting it off until it took a slight drop the other day. If I'd waited 3 hours I would've seen it go up another 5p! In future, will follow my instincts. But all profit from here so must think on the positive side......

Tomorrow? Just waiting for news so will probably drift higher or stay flat. can't see people bailing out now at this stage when an RNS is due, can you?

I dont think people will be bailing out either, maybe just top slicing. I have set a stop loss at 46p. I will still come out good. An RNS must be iniment otherwise there is no explaination of the recent sp move?
wilbs

Unknown territory, Wilbs. Just IMHO: I think news will be merely re: a major farm-in partner. Hardly likely to strike oil for a while yet, are they? All oil and gas cos are in favour akin to dot.com days - and look what happened to them, in the end! For now, we are all riding the crest of the wave. Might be best to consider bailing out (maybe leave a few in for the very long term) AS SOON AS whatever is announced - is announced? I dn't know? I do like the co and the people in charge though. Top people.

marcusantonius,
I agree with what you are saying 100% but all the recent spec in the press is great for cop. Speculation of the chinese being a farm in partner will be great for us share holders. Look how the sp has performed lately? It will only take an RNS for news and what will the sp go to? Its been rising for no reason but even a little bit of news is what everyone has been waiting for, the sp must go north somewhat. Maybe not to 100p but80p-90p? I will hold out unless my stoploss kicks in.
Great company with lots of potential but I dont hold for long term. I am in for a quick profit and move on to the next.Why hold on when there are more opps waiting to be had?
Comments would be appreciated.
All IMHO

wilbs

Still think there will be a minor set back (profit-taking) if no news for a fortnight or so.....?

What other opps, Wilbs? Must be a goodun to rank on a par with COP!

hold onto your hats guys!!

Circle Oil in $50m Africa drilling deal with Chinese group
By James Boxell
Published: January 28 2005 02:00 | Last updated: January 28 2005 02:00

Circle Oil, the Aim-traded exploration group, will today end weeks of market speculation about a significant deal by unveiling a $50m-plus alliance in Africa with a Chinese state-owned energy group.


Circle only joined Aim in October, but its shares have more than doubled in the past month.

The company was forced to put out an announcement this week saying it was in the "final stages of negotiation with potential partners to exploit current licences".

Such extreme share price rises by tiny companies with unproven assets has led to fears that the UK independent oil sector - driven by record crude prices - is showing signs of irrational exuberance similar to that shown by the dotcom industry in the 1990s. Circle shares - which floated at 20p - rose a further 5p to 54p yesterday.

Circle is understood to have signed a deal with China Shine, which will see the private Chinese group take a 72 per cent interest in the vehicle that owns Circle's onshore exploration licence in Namibia.

China Shine will spend at least $50m on drilling three exploration wells in the 40m acre concession area, although Circle is pinning its hopes on further drilling by the Chinese company.

Occidental Petroleum, the US oil group, previously owned the Namibian concession but pulled out in the 1990s after failing to find oil.

Circle believes advances in technology and deeper drilling will give it a greater chance of success.

China Shine's investment in Namibia comes as Chinese state-owned oil groups are scouring the world to secure oil assets.

It will not pay Circle for the stake, but the Aim-listed group will maintain an 18 per cent stake in the field and will not invest any of its own money in exploration drilling.


http://news.ft.com/cms/s/4b119b1c-70d2-11d9-b572-00000e2511c8.html

wilbs

Found this over the other side.
Lets hope we are in for a good day!!
Good luck all.


Circle Oil Plc, through its wholly owned subsidiary First African Oil Corporation, and China Shine H F are pleased to announce that the companies have signed an agreement whereby the China Shine will earn a 72% interest in Circle Oils Namibian licence . Circle Oil Plc currently holds a 90% interest in this licence and NAMCOR, the National Petroleum Corporation of Namibia (Pty) Ltd holds the remaining 10%.

China Shine is estimating a budget of over US$1 billion for the Namibian project and expects that the minimum earn-in commitment outlined above will cost approximately US$50 million. The additional funds will be spent on exploration, development and infrastructure upon successfully completing the initial farm-in requirements.

This agreement forms the cornerstone of a long term strategic alliance between Circle Oil Plc and China Shine with regard to oil and gas exploration and development in Namibia and other substantial areas currently under evaluation by Circle Oil Plc.

China Shine must drill no less than three wells to depths of between 5,000 meters and 7,000 meters to test prospects delineated during previous exploration programmes and acquire no less than 3,000 line kilometres of 2D seismic data.

Mr David Hough, Chief Executive, Circle Oil Plc, added that Circle Oil is delighted with this agreement; cementing a relationship with a major partner with financial and technical ability. The Company is confident that the project will deliver long term growth and substantial shareholder value.

Mr John Mc Keon, Director of Business Development and Marketing, Circle Oil Plc. said that this agreement takes Circle Oil Plc into the next phase of its development with a strategic financial and technical partner. It forms the basis of a strong long term alliance with the China Shine in the exploration of Circle Oils extensive 40,000,000 acre concession in Namibia. Furthermore, we look forward to working together to complete the drilling programme and assist them in their long term plans for extensive oil and gas development.


wilbs

Thats me out. Up 74% so I had a good run. Onto the next one now.
Good luck to all that still hold.

wilbs

This is a real fallout...down 17p this morning to 41p only...i'm bailing out too

Why is everone bailing out its not as though the news wasn't expected. China is desperate for oil. Massive investment and an 18% return for just holding the licences. Plus many more licences held.

I think everyone took a good profit just as I did. The news was prob in the sp as it rose on hype of the news. If it drops alot lower then there is a great buying opp.All IMHO
wilbs

If it slides below 30p then may be tempted but on very "dodgy ground" (pardon the pun!) at the moment. SP was obviously way ahead of itself, a backtrack was so obvious, in hindsight! Still think COP is an excellent long termer (a yr plus?) though. But we're not going to see meteoric rises again, not for a good while, i don't think (IMO).....

.....creeping back up slightly. Interesting. Maybe Bankone undertones are right? Think we'll see what it ends up at, at close - that'll give a clearer indication, I thuink.

I don't believe there is any difference to yesterday only stronger in the knowledge that the Chineese are in on this one and they can't half work fast.
Took a small profit and bought back in at 40p so watching with interest today. I think it may end back up at 50p or so +/- 1p. Good luck DYOR

I wouldn't go in at this price. Will take time to settle and see a sustainable sp. Without additional news, expect sp to drift downwards in the short term.....