Desire. Still here.
There’s a lot of emails requesting information on Desire Petroleums present true value post the Ninky well duster. The general consensus from the market is that a 7/8p intrinsic value is still inherent in the stock. However I would suggest that given the amount of data they now hold from the various failed drills down in the Falklands basin that a 10p minimum value is more realistic. After all information even from failures has a value. Exploration Oilers learn from it. The problem Desire have is that they DO NOT have sufficient funds to carry on drilling, the Desire plan is to shoot 3D seismic which hopefully shows oil anomalies thus allowing Desire to tap the market; unless they raise money from the city on the back of good seismic then it’s curtains.
They do still have in excess of $35 million dollars in funds. So although I see much better opportunity elsewhere. There’s 4 choices here for the company. 1/ Carry on. 2/Takeover. 3/Go bust. 4/Change the Board. Take your pick. But a drastic change of fortune is needed.
Viva!
Daniel
If the knowledge they have really has a value, another option would be to put the company into liquidation, and for the liquidator would then attempt to sell the knowledge to the highest bidder. In rough terms the cash in the bank is worth 3p to 4p per share. so even if the liquidator fails to sell the knowledge shareholders would be bound to get something. That is surely better than your option 3 …. Go bust.
Any thoughts on US Oil And Gas (USOP plus markets) .Massive potential,but depends how much faith you have in passive seismics .Drilling imminent .
Change the board, inept and aloof are two words that spring to mind.
No price is a good price for this stock, unless the management are booted out there have proven trac record of not giving a **** about shareholders, never seen such a bunch of cowboys prehaps one of the biggest jokes on AIM.
DES should pick up the blower and give ViaLogy a call. This has been said time and again on forums and yet still the DES BoD choose to do things the long winding road way.