SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Gold/Mining/Energy : Lundin Oil (LOILY, LOILB Sweden)
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Tommaso who wrote (514)3/8/1998 12:49:00 AM
From: Tomas  Read Replies (1) of 2742
 
Tommaso: I don't think Lundin's way of doing things means that he's not very confident of finding oil near the Falklands. Lundin probably doesn't know more about the chances than the British Geological Survey, and they believe there is a one in six chance of finding oil off the Falklands. A surpsrisingly high probability, the seismic results must be excellent! But of course, that also means there are five in six chances of not finding oil...

Sands never intended to keep more than 40-50% of their Falkland holding. They rarely keep more than 40-50% (like in Sudan). They tried farming out 50-60% of their Falkland interest for several months, and they were offered $15 million for a 50% stake. Declining oil prices didn't facilitate the negotiations... Sands didn't accept these offers, and that's why they now offer shareholders to purchase half of the Sodra Petroleum subsidiary instead.

Keep an eye on Desire Petroleum, they hope to raise funds in London as part of its Falkland plans. But their terms are not as attractive to investors as Sands/Sodras'.

Amerada Hess will drill the first well in May. If it shows indications of oil or gas in the area, then they will probably sooner or later make a big oil discovery. The geological similarities to the North Sea are quite strong (but the North Sea is smaller...)
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News