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Gold/Mining/Energy : Lundin Oil (LOILY, LOILB Sweden) -- Ignore unavailable to you. Want to Upgrade?

To: J. Kerr who wrote (580)	5/22/1998 8:33:00 AM
From: Tomas	Respond to of 2742

Sodra sharply higher on Falklands oil hopes ahead of AIM listing July 1 LONDON (AFX) - Sodra Petroleum AB shares were sharply higher in Stockholm on hopes for its Falkland Islands oil exploration acreage and as at least one London dealer bought stock aggressively ahead of a duel listing on AIM on July 1, dealers said. At 1:00 PM in Stockholm, Sodra shares were up 5.70 skr at 14.50, a rise of 65 pct on the day, and 96 pct over the past week. Sodra owns Tranche F offshore the Falklands which is far closer to the area where Amerada Hess Corp this week reported discovering hydrocarbons ...than acreag... owned by London listed Desire Petroleum PLC, Greenwhich Resources PLC and Westmount Energy Ltd, one industry commentator noted. The Swedes are due to start exploration drilling in the South Atlantic this year. In London, bear raider Simon Cawkwell (aka Evil Knievel) was among those expressing some scepticism about the valuations being given to Desire in particular but Cawkwell has not taken a short position because he believes the stock has momentum and could go anywhere. tjzw/slm/rjm

To: J. Kerr who wrote (580)	5/25/1998 5:12:00 PM
From: Tomas	Respond to of 2742

Looking back at Desire in the Falklands (Sunday Business, London, May 24) WHEN today's younger market hands have become old market has-beens and are reminiscing on the Great Bull Market of the late Nineties, the name Desire Petroleum will no doubt feature strongly... ... This Gloucester based company was formed to explore for oil and gas off the Falklands. Since the shares were floated on London's Alternative Investment Market in mid-April at 125p (valuing the company at œ59m) the price has jumped -well - to 415p. just last week the price surged again after rumours that oil giant Amerada Hess, drilling next door to part of Desire's acreage,in the South Atlantic, had hit the black stuff. The British company confirmed Amerada had "encountered hydrocarbon shows", but warned it was much to early to tell whether commercially extractable quantities might exist in the region. Market professionals took one look at the "warning" and pushed the shares to a high of 495p. The excitement quickly spread to Greenwich Resources, which owns almost 14% of Desire and whose shares added 16p to 36.5p, and to Westmount Energy, with 14.5% of Desire. Its shares gained l00p to 245 p. Even the Fleming Mercantile Investment trust joined in the fun. Its 3.3% holding helped its own quote up from 457p to 471p last week. Whether Desire remains a worthwhile investment after this extraordinary run is anyone's guess. It might be a classic "bubble" stock; it might be going to œ10 or beyond if and when the Falklands are shown to be an exploration dream come true. No one knows - certainly not the directors of the company, or any of the analysts who are paid to assess such situations. Amateur investors might, however; take into account that when Desire was floated on AIM by SG Securities (Strauss Turnbull of old) the placing was restricted to institutions and a tight circle of professional investors. Some of the City's best known individual punters (including one or two fund managers, on a "PA" basis) are in this one at ground level. They are presumed to be taking their profits gradually as the price continues to rise, and it has only been during the last few days that members of the wider investing public have begun to appear on the share register. Desire is, of course, just the latest example of the frenzy which has gripped London's second and third liners. While the FTSE 100 has continued to drift sideways, all the lower cap indicies have struck fresh highs, powered by a wave of speculative money chasing an increasing flow of takeover stories. hemscott.co.uk

To: J. Kerr who wrote (580)	5/27/1998 7:21:00 AM
From: Tomas	Respond to of 2742

The Times, May 27: Renewed speculative buying continued to drive Desire Petroleum higher. The shares finished 30p higher at 445p amid growing hopes that the group has struck it rich off the Falkland Islands. Some brokers suggest that the company is sitting on enough oil to value assets at a conservative œ42 a share. __________________________________________________ Do they still believe Desire is drilling off the Falklands?? Incredible. Desire's well is scheduled for June. œ42... = a market capitalization exceeding US$3 billion! Today Desire is worth 1/10 of that, and Sodra only US$100 million. Sodra owns 100% of their tranche (2.2 billion potential barrels). Desire only has 25% of a total of 2.7 billion potential barrels. Something is fundamentally wrong! If Sodra went up 500% it would still be cheaper than Desire!