Desire Petroleum
Encyclopedia
Desire Petroleum plc is an oil
and gas
exploration company headquartered in Malvern
, United Kingdom
. It owns offshore exploration and production licences in the North Falkland Basin in the waters north of the Falkland Islands
. Desire's core focus is to prove the North Falkland Basin as a new hydrocarbon province.
It is listed on the Alternative Investment Market
of the London Stock Exchange
.
, a former geologist for Royal Dutch Shell
. The company is named after Desire
, the ship, captained by John Davis
, which discovered the Falkland Islands in 1592. In 1998 the company was floated on the Alternative Investment Market
.
Desire Petroleum were awarded licences for drilling
in the Falklands in 1997, and test drilling was carried out in 1998. Oil was not found in commercial quantities, and the price of oil, until 2007-8 was not high enough to make it viable, and exploration companies left the area. A 3D seismic survey
was acquired in 2004 which showed great oil potential.
(of Salisbury
, Wiltshire
) and Falkland Oil & Gas Ltd, in the North Falkland Basin. In the northern section of the basin this covers the prospects of Rachel, Kath, Pam, Ann, Anna, Liz, South Orca, Ninky, Beth, Jayne and Helen. In the southern section are Dawn, Alpha, Kate, Ruth and Barbara.
The first well was categorised as a gas discovery, with one other gas event and two sets of oil shows encountered. Stock market disappointment that the first well was not an immediate commercial discovery of oil led to an immediate slump in share price, though Desire continue to analyse the data gathered in order to assist with the remainder of the drilling programme.
The second well, drilling for partner company Rockhopper Exploration, was an oil discovery which further confirmed the geological model for the North Falkland Basin for Desire and Rockhopper's remaining prospects.
The drilling programme is anticipated to run to ten exploration wells.
Petroleum
Petroleum or crude oil is a naturally occurring, flammable liquid consisting of a complex mixture of hydrocarbons of various molecular weights and other liquid organic compounds, that are found in geologic formations beneath the Earth's surface. Petroleum is recovered mostly through oil drilling...
and gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
exploration company headquartered in Malvern
Malvern, Worcestershire
Malvern is a town and civil parish in Worcestershire, England, governed by Malvern Town Council. As of the 2001 census it has a population of 28,749, and includes the historical settlement and commercial centre of Great Malvern on the steep eastern flank of the Malvern Hills, and the former...
, United Kingdom
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
. It owns offshore exploration and production licences in the North Falkland Basin in the waters north of the Falkland Islands
Falkland Islands
The Falkland Islands are an archipelago in the South Atlantic Ocean, located about from the coast of mainland South America. The archipelago consists of East Falkland, West Falkland and 776 lesser islands. The capital, Stanley, is on East Falkland...
. Desire's core focus is to prove the North Falkland Basin as a new hydrocarbon province.
It is listed on the Alternative Investment Market
Alternative Investment Market
AIM is a sub-market of the London Stock Exchange, allowing smaller companies to float shares with a more flexible regulatory system than is applicable to the main market....
of the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
.
History
Desire Petroleum was founded in 1996 by Dr Colin PhippsColin Phipps
Dr Colin Barry Phipps was a British petroleum geologist and formerly a Labour Party politician.-Early life:He was born in Swansea....
, a former geologist for Royal Dutch Shell
Royal Dutch Shell
Royal Dutch Shell plc , commonly known as Shell, is a global oil and gas company headquartered in The Hague, Netherlands and with its registered office in London, United Kingdom. It is the fifth-largest company in the world according to a composite measure by Forbes magazine and one of the six...
. The company is named after Desire
Coat of arms of the Falkland Islands
The coat of arms of the Falkland Islands was granted to the Falkland Islands on September 29, 1948.The ship represents the Desire, the vessel in which the English sea-captain, John Davis, is reputed to have discovered the Falkland Islands in 1592....
, the ship, captained by John Davis
John Davis (English explorer)
John Davis , was one of the chief English navigators and explorers under Elizabeth I, especially in Polar regions and in the Far East.-Early life:...
, which discovered the Falkland Islands in 1592. In 1998 the company was floated on the Alternative Investment Market
Alternative Investment Market
AIM is a sub-market of the London Stock Exchange, allowing smaller companies to float shares with a more flexible regulatory system than is applicable to the main market....
.
Desire Petroleum were awarded licences for drilling
Oil well
An oil well is a general term for any boring through the earth's surface that is designed to find and acquire petroleum oil hydrocarbons. Usually some natural gas is produced along with the oil. A well that is designed to produce mainly or only gas may be termed a gas well.-History:The earliest...
in the Falklands in 1997, and test drilling was carried out in 1998. Oil was not found in commercial quantities, and the price of oil, until 2007-8 was not high enough to make it viable, and exploration companies left the area. A 3D seismic survey
Reflection seismology
Reflection seismology is a method of exploration geophysics that uses the principles of seismology to estimate the properties of the Earth's subsurface from reflected seismic waves. The method requires a controlled seismic source of energy, such as dynamite/Tovex, a specialized air gun or a...
was acquired in 2004 which showed great oil potential.
2010-11 drilling programme
In February 2010 Desire began a programme of exploratory drilling, with costs shared by farming out drilling slots to Rockhopper ExplorationRockhopper Exploration
Rockhopper Exploration PLC is an oil and gas exploration company headquartered in Salisbury, Wiltshire, United Kingdom. It owns offshore exploration and production licences in the North Falkland Basin in the waters north of the Falkland Islands....
(of Salisbury
Salisbury
Salisbury is a cathedral city in Wiltshire, England and the only city in the county. It is the second largest settlement in the county...
, Wiltshire
Wiltshire
Wiltshire is a ceremonial county in South West England. It is landlocked and borders the counties of Dorset, Somerset, Hampshire, Gloucestershire, Oxfordshire and Berkshire. It contains the unitary authority of Swindon and covers...
) and Falkland Oil & Gas Ltd, in the North Falkland Basin. In the northern section of the basin this covers the prospects of Rachel, Kath, Pam, Ann, Anna, Liz, South Orca, Ninky, Beth, Jayne and Helen. In the southern section are Dawn, Alpha, Kate, Ruth and Barbara.
The first well was categorised as a gas discovery, with one other gas event and two sets of oil shows encountered. Stock market disappointment that the first well was not an immediate commercial discovery of oil led to an immediate slump in share price, though Desire continue to analyse the data gathered in order to assist with the remainder of the drilling programme.
The second well, drilling for partner company Rockhopper Exploration, was an oil discovery which further confirmed the geological model for the North Falkland Basin for Desire and Rockhopper's remaining prospects.
The drilling programme is anticipated to run to ten exploration wells.