Oil prices extended a record rally toward $90 a barrel today as weakness in the dollar, tight fuel inventories and geopolitical concerns drew a wave of investor buying.

Even with a price so unbelievably high, Sefton Resources still managed to close down!

Oil's climb of about 13 percent since last week has renewed concerns that soaring energy costs could hinder world economic growth and raised a red flag for OPEC, which may call an early formal meeting to discuss output.

U.S. crude oil futures settled up $2.07 to $89.47 a barrel, before rising further to $89.78 in electronic activity, marking its fifth record in as many trading days. London Brent crude rose $1.47 to $84.60.

"This is a market that is watching the dollar weakness very closely and as long as the dollar remains weak and stockpiles at the market's delivery point in Oklahoma remain low, this market will keep heading north," said Jim Ritterbusch, president of Ritterbusch and Associates.

Though U.S. oil prices hit a nominal peak, they remain below the inflation-adjusted monthly average high of $101.70 hit in April 1980, a year after the Iranian revolution.

Dealers said Thursday's gains were tied to all-time weakness in the U.S. dollar -- a factor that has supported all dollar-denominated commodities -- alongside tight energy inventories and robust world demand.

The dollar fell to a record low against a basket of currencies on Thursday, weighed down by soft U.S. economic data and sluggish corporate earnings. U.S. oil inventories, meanwhile, are running about 4 percent below a year ago, while gasoline and distillate stocks in the world's biggest energy consumer are about 7 percent below last year, according to the latest government data.

Stockpiles of crude at Cushing, Oklahoma, the delivery point for oil traded on the New York Mercantile Exchange, are running 19 percent below last year.

The risk of Turkish military action against Kurdish rebels in northern Iraq was also underpinning oil's gains, dealers said, dimming the prospects of a recovery of Iraqi oil exports from the region and raising the spectre that other supplies from the Middle East could also be disrupted.

FUND BUYING

The factors, coming against the backdrop of continued strong energy demand growth from China and other emerging economies, have attracted the interest of funds seeking alternatives to markets battered by the global credit crunch.

"New money is not going into bonds and is looking for other alternative investments," said Michael Metz, chief investment strategist at Oppenheimer. "(Investors) want participation in areas that are sort of immune to the currency and interest rates problems and commodities is one of them."

The administration of President George W. Bush has said oil prices are too high and pose a problem for low-income families. The U.S. economy is already facing head winds from the meltdown in the subprime mortgage market.

Thursday's gains were tempered by the possibility that the Organization of Petroleum Exporting Countries could boost crude oil output to cool the red hot market.

Nigeria's energy minister told Reuters on Wednesday that the group, which has already agreed to hike output by 500,000 barrels per day starting in November, could call another formal meeting nearly three weeks ahead of schedule.

But on Thursday an Iranian official insisted there was no need for OPEC to boost production further.

"Geopolitics is the reason behind very high oil prices," said the official from OPEC's No. 2 producer.

The rally in oil and other commodities has accelerated this month as central banks pumped money into financial markets to keep them operating smoothly through a global credit squeeze.

Morning all! Well, Hardman have seen for themselves first hand whats going on over there at Sefton Resources and the way I read it, we're a little short on appreciation of the work they have been doing, the work they needed to have done and the work they have completed! I guess when when the news machine starts churning, there will be quite a bit to tell! About time this started making it's way back up to 6p now ready for some serious forward momentum. God knows we've been waiting long enough for Jim's reward!

Good Morning. It's interesting Hardman are not committing themselves on any figures yet, maybe because of last year but they may not be far away with last years valuation when drilling starts

Im surprised and encouraged that Hardman had a site visit why not just view their Web Site to see a few pipes and tanks I think we may get quite a favourable report from them once the drilling starts.

Yep, I think they like Sefton a lot.

And we do SECRUOSER when we get Jim's reward What was it the long term shareholders shall be rewarded,,, xmas will do for me -)

By this xmas, I hope we will have been rewarded. This will be the 3rd xmas i've held these shares, so 3rd time lucky?

In last 15 mins of trading a small spate of buys and sp @6 narrow spread,news coming?

Wow, was almost at b/e for about 2 minutes there. LOL

I should have kept QUIET!!!!

Nice bit of buying today before the mad rush.

Sefton Resources Rig/Steaming Status report




RNS Number:2720G
Sefton Resources Inc
24 October 2007


Sefton Resources Inc. ("Sefton" or the "Company")

Rig and Steaming Status report

Sefton Resources Inc reports that its wholly owned subsidiary TEG USA has
completed all connections to the steam generator including: gas supply line,
water supply line, electrical connections, and pressurised air supply. The fires
reported in California are in proximity to Sefton's properties but currently are
not a direct threat to the operations at Tapia and Eureka. Due to logistics and
as a precaution, the final function-testing of the steam generator has been
slightly delayed until any possible risk from the fires is reduced. TEG
anticipates conducting an initial start-up of the steam generator at that time.
Once TEG and Clayton are satisfied that all systems are functioning properly,
TEG will order out a service rig to the Yule7 well to pull the down-hole pump
and install the steam injection packer in the well. Sefton will inform
shareholders when steaming at Yule 7 has commenced.

As far as the drill rig is concerned this is still currently drilling the final
section of a hole for its current operator. Chief Executive, Jim Ellerton said
'We just have to continue to be patient while waiting for this rig to drill our
planned Hartje 16 and 17 wells. The problem is that there are many variables
over which the driller has no control and therefore there are no penalty clauses
for delays in these contracts. We are very hopeful that the rig will be with us
shortly and will announce its arrival and commence drilling when this occurs'.

Am prepared to wait SECRUOSER m/ms quick to take us down , wont be getting any of mine yet

Yep, cynical move hoping for sellers, but can only buy 10k online for 5.75p.

Steamer all connected up and ready for final test but waiting for possible risk from nearby bush fires to receed - sensible decision, and won't take very long as Arnie and now Pres. Bush are on the case.

Drill 'on final section' , 'very hopeful that the rig will be rig us shortly' - sounds a bit more positive and certain than before regarding when we will get the rig.

Yes top marks to the management for keeping us informed

Yep, this is a massive improvement in terms of communication.

Try this map, aldwickk:

http://maps.google.com/maps/ms?ie=UTF8&hl=en&om=1&msa=0&msid=110975786704419377282.00043d17488896182acd3&ll=34.468071,-118.429871&spn=0.283049,0.480652&z=11&source=embed

It shows where the fires are, where the road closures are etc around Castaic and Sefton's properties. Look for Tapia Canyon Road.

Ok, thanks.

Bit more action on the sp again today. The stirrings of a dormant stock about to burst into life perhaps.

Nearest fire 'Buckweed' now 100% contained apparently.

Smaller 'Ranch' fire on the other side of Castaic 70% contained as of 8 hours ago.

So any risk to Sefton appears to be diminishing fast.