Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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) -- Ignore unavailable to you. Want to Upgrade?

To: Tomas who wrote (1379)	11/4/1999 5:57:00 PM
From: Tomas	Respond to of 2742

The Falklands: "Chicken" posted this on the Hemscott Information Exchange today: I recieved an e-mail from the Falklands government earlier today over the rumour of a rig on its way, reply below: The Falkland Islands Government is not aware of a drilling rig coming to the Islands yet. It is expected that it will be well into 2000 and possibly 2001 before more drilling takes place in Falkland waters. However, if oil prices stay up companies may want to continue with the exploration programme sooner. Best regards Phyl Rendell Director of Mineral Resources, Falkland Islands Government Complete post: infoex.hemscott.com

To: Tomas who wrote (1379)	11/8/1999 4:58:00 PM
From: Tomas	Read Replies (1) \| Respond to of 2742

Falkland Islands - Further exploration? From Westmount Energy From "Westmount Energy, Preliminary Results For The Year Ended 30 June 1999" RNS, 8 November Although the analysis of the results from the first six wells drilled in the North Falkland Basin, in two of which Desire had an interest, is not yet complete, Desire has stated that it is already clear that considerable quantities of good quality oil have been generated in the source rocks of the basin. An extensive, thick, lacustrine source rock, of Cretaceous age, has been encountered in Tranches A, B, C and F and, based upon seismic correlation, also appears to be present in Tranches D, I and L. The development of the North Falkland Basin was characterised by relative quiescence, such that the source rock is, in most areas, its own seal. This has resulted in the containment of most of the oil generated below the shallow reservoir rocks, penetrated by all six wells, although some oil has migrated into these reservoirs in Tranches A and B, albeit not in commercial quantities. It is likely that the potentially large volumes of oil generated may, however, have migrated somewhere beneath the source rock seal and the next anticipated round of exploration drilling in the North Falkland Basin will concentrate on identifying reservoirs and traps beneath the seal. Desire's current effort in Tranches C, D, F, I and L is focused on this. The conclusion of the first round of drilling in the North Falkland Basin in late 1998 coincided with the dramatic fall in the oil price which at that time led to the departure of the drilling rig, the "Borgny Dolphin". Although the oil price has recovered in recent months, it will be some time before the industry is ready to return to drill in the North Falkland Basin because of the high costs involved. However, two factors may enhance the prospect of drilling should the oil price remain firm. First, it is the intention of the Falkland Islands and Argentine Governments to licence new exploration areas west of the Falklands in the "Area of Special Co-operation" and, secondly, major drilling activity is planned offshore Brazil next year. These factors are likely to renew interest in the North Falkland Basin and to provide access to drilling rigs within reasonable distance and, hence, at more reasonable cost. Desire has completed a detailed analysis of the new seismic data acquired on Tranches I and L and has received the preliminary results of a technical study of the North Falkland basin performed by Robertson Research International Limited which has confirmed the richness of the oil source rock encountered by all of the six wells drilled to date. Desire is currently studying where this oil may have accumulated with a view to identifying further drilling locations and it intends to prepare farm out brochures for Tranches C, D, F, I and L and actively to seek new partners for further exploration in the North Falkland Basin.