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I think shorts are presently being toasted into submission.

Lets hope that the weather eases up in time for the weekend :) Fingers crossed

still a trick in the tail here.l believe. Furthermore i believe 99% of shorters were very cold on XEL

Excellent news as you do not give 4 million away unless they are 100% sure that this baby will flow and thats why I re topped up yesterday as I was very confident that it will, technology as changed so much over 10 year period and they have the top guys in to do the job.

The price should run away this afternoon especially when Toronto opens.just need some good weather.

marky - you haven't got that quite right - the cancellation clause was increased to $4m, but from what level i do not know

I think what Marky was getting at is that they wont need to cancel, thereby eliminating the possibility of paying out $4m?

cynic the extension of the LOI to 15th jan 2011 means that in the event of XEL terminating the agreement, presumably if the flow tests fail, then an extra $4m would have to be paid by XEL.

So either the board are total idiots signing a letter of intent for such a large some and counting there chickens before they hatch or they a very confident that this will flow to the desired rate.

marginally semantic argument, but yes XEL will have to shell out $4m in compensation if they cancel, but not an additional $4m ...... my guess is that unless the test is an unmitigated disaster, XEL will indeed commit to the rig ..... however, given the bits we know (do i know a bit more?), there is certainly a significant amount of oil present .... it seems to be its viscosity - i.e. its ability to flow freely and without further stimulation - that is being checked

on the other hand, it could be argued that if XEL know there is significant oil present, why do they not commit now?

cynic you are correct the termination penalty has been increased from $2.5 to $4m.Perhaps the reason for not signing the contract is to do with having to produce a $30m guarantee?

dunno guv ..... perhaps big share placement on back of a significantly enhanced sp on the back of the first part of the equation being confirmed positively

Just a reminder theres a small lump of shares coming on line on the 17th:
Further to the announcement in relation to the draw down on the Standby Equity Distribution Agreement issued on 13 December 2010, the Company announces that it has now received approval of the share issue by the TSX Venture Exchange and it has therefore made an application for the admission to AIM ("Admission") of 2,351,916 ordinary shares of no par value in the capital of the Company (the "New Ordinary Shares"). The New Ordinary Shares shall rank pari passu with the Company's existing issued ordinary shares of no par value (Ordinary Shares) and dealings are expected to commence on 17 December 2010. Following Admission, the Company's enlarged issued share capital will comprise 158,453,998 Ordinary Shares with one voting right per share. There are no shares held in treasury. The total number of voting rights in the Company is therefore 158,453,998. This figure of 158,453,998 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA's Disclosure and Transparency Rules.

Thats the finance taken care of then.,.

talking of the numberof shares in issue / Surely if XEL hold a tad in excess of 8 million shares in escrow then there is approx 150 million shares net in play/..and not approx 158 million.{ inc newly issued ).../ d'accord BB

Very quiet on here today :|
Good luck everyone for next week.

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Market Opening times over the holiday period :

Friday 24 December 2010 Markets close from 12.30
Monday 27 December 2010* Closed all day
Tuesday 28 December 2010* Closed all day
Wednesday 29 December 2010 Normal business day
Thursday 30 December 2010 Normal business day
Friday 31 December 2010 Markets close from 12.30
Monday 3 January 2011* Closed all day
Tuesday 4 January 2011 Normal business day

Considering the speculation regarding the Betty Knutsen (who again appears to be out of AIS range and perhaps back at the rig).

From III/AFN



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Looks like a serious attempt to do the flow test will occur this week.

Wave heights are on until Saturday :

http://www.windfinder.com/forecast/viking_platform_northsea


And a flotilla of ships is on site at the Ocean Nomad, estimated that by Monday morning the following may all be there :

NSO Fortune, Havila Fortune, Vos Sentinal, Maersk Finder, Betty Knutsen.