oil flows from the top 2 sections at waraga, page-17

xmagx posted this about 4 weeks ago:-

Uganda oil lifts UK firm’s stock price
Wednesday, 7th June, 2006

By Emmy Olaki
and Agencies

The latest news of a possible major Ugandan oil find by Tullow Oil and Hardman Resources has added to its soaring share value on the London stock market.

The company’s shares have already risen by more than 350% over the past two years, with pre-tax profits rising from just £16m (sh56b) in 2001 to £179m (sh626b) last year. The company is now regarded as one of Europe’s biggest independent oil and gas explorers.

Last week, the UK-based company announced that data from its Mputa prospect had confirmed that it contained oil. However, investors will have to wait until the results of a later study to find out whether it is a commercially-viable resource.

According to The Independent’s expert, Michael Jivkov, “If it is and contains between 250 and 300 million barrels of oil, construction of an export pipeline will probably follow.”

Analysts believe Mputa could add as much as 65 US cents a share to Tullow’s valuation if the oil reserves are good. Tullow has a 50% interest in three oil exploration licences in Uganda.

Other companies exploring in Uganda are Heritage Oil and Gas and Neptune, which was licensed and hopes to start operations this year.

Uganda still has one unlicensed exploration block, but energy ministry sources say interest from companies around the world has been building following discoveries on Lake Albert.

Tullow’s big new fields of exploration for gas and oil are in Africa and Asia and the company already has assets in Angola, Gabon, Cote d’Ivoire, Equatorial Guinea and Mauritania.

http://www.newvision.co.ug/D/8/220/502599


Tullow has about 647 million shares compared to HDR having about 749.5 million.
If a reasonable find at Mputa adds US$0.65/share to Tullow, it should add US$0.58/share or A$0.78/share to HDR. Some of this may already be factored in.

Complex