Falklands : Desire deal gives the Falklands that ‘feel good’ factor
Submitted by Falkland Islands News Network (Juanita Brock) 19.08.2008 (Article Archived on 02.09.2008)
The long wait discover Desire’s farm-in partner is over and after years of frustration the Company announced last week that it has signed a deal with the shipping and drilling firm Arcadia Petroleum.
Desire deal gives the Falklands that ‘feel good’ factor
An Editorial by J. Brock (FINN)
The long wait discover Desire’s farm-in partner is over and after years of frustration the Company announced last week that it has signed a deal with the shipping and drilling firm Arcadia Petroleum.
Arcadia, and a third party, Rockhopper Exploration, will cover the £10m or so it costs to drill a couple of wells, while Desire will retain 57.5 per cent of the site, which seismic shows has the potential to provide as much as 7.8tr cubic feet of gas.
The deal gives Desire the chance of getting at the gas at miniscule cost, avoiding the prospect of asking investors for more money. Desire shares on Friday were down 3.7t and are trading at 79.75
Islanders can now see the light at the long tunnel of waiting and there is renewed hope that business in all sectors will pick up. Locals who have invested in Desire Petroleum will see their money increase as the drilling gets underway. Natural gas will be a good find but Desire also has prospects that could contain crude and this makes it doubly important for a drill-ship or rig to begin working in the North Falkland Basin.
Thanks for hanging in there!
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