Dana Petroleum Plc (DNX)

NO TA ON THIS THREAD PLEASE

With the AGM only three weeks away now and the usual "close to the chest" approach being followed prior to revealing their drilling plans at the AGM, it is interesting to see the following comment: http://www.upstreamonline.com/live/article178252.ece

UK-based producer Dana Petroleum said it plans to invest $130 million in Egypt this year.  "It's considered our largest investment," Stuart Paton, the company's technical and commercial director, told Reuterswithout giving details of how the money would be spent.  "That is about 35% of our total group investment internationally. We have about 25% of our production here in Egypt," Paton added.

In addition to the earlier wells in the Gulf of Suez (South October and South East July), there are other wells planned in that area but, perhaps more importantly, there are also two wells planned on West El Burullus [offshore from the Nile Delta] where they made a decent gas find in June 2008 on the KES-CC1 prospect. Pre-drill KES-CC1 was reckoned at 375bcf and, IIRC, the well was considered to be indicative of rather better than that (though was constrained by equipment). They have a further 1.5 TCF of potential targets in the pliocene, close to KES-CC1 and there is a deeper horizon that has potential....... so, the WEB wells in Egypt have the potential to be very interesting in coming months.

But that's not all! The long-awaited Tornado prospect off Shetland is also now only a few months from getting drilled (and that is considered to be 90-100mn bbls pre-drill) and the Trolla prospect in the Norwegian North Sea isn't far behind  - and that is reckoned to be 240mn bbls P50 pre-drill. Trolla is due to spud in August: http://www.investegate.co.uk/Article.aspx?id=200903300700166771P and the Eitri well (also in Norway on Jotun) spudded last month.