Falklands : Media Reports Falklands' Liz Prospect Unviable
Submitted by Falkland Islands News Network (Juanita Brock) 28.03.2010 (Article Archived on 11.04.2010)
Over the weekend readers were greeted with press reports from the Sunday Times and Reuters that the Liz Prospect – an exploratory well drilled by Desire Petroleum – was unviable.
MEDIA REPORTS LIZ PROSPECT UNVIABLE
By J. Brock (FINN)
Over the weekend readers were greeted with press reports from the Sunday Times and Reuters that the Liz Prospect – an exploratory well drilled by Desire Petroleum – was unviable. The Sunday times article began the spate of negative reporting with the headline ‘Falklands oil fever cools as Desire Petroleum well flops’ and Reuters with ‘Desire Petroleum finds Falklands oil unviable.’
“THE first well drilled off the Falkland Islands in 12 years has struck oil — but not enough to be commercially viable,” writes the Times correspondent, Danny Fortson, while reporting by Paul Sandle of Reuters says that “Oil explorer Desire Petroleum (DES.L) will report that oil discovered in test drilling off the Falkland Islands is not commercially viable.”
The reports go on to say that Desire is expected to say that the well drilled at its Liz prospect was “technically successful”, meaning it found oil, but that it is “non-commercial”, meaning that there was not enough oil to justify developing the field.
It’s important to note here that no official announcement has been made by Desire Petroleum but possibilities are that sources within the industry provided some of the media with information about what Desire Petroleum’s announcement will say but even this is uncertain.
According to the media reports an announcement will be made on Monday morning.