Stocks and Shares Tips

[rex008]

Anyone know anything more upto date?

I gleefully bought a pile of these shares so I could bathe in their oily goodness and today they are lower than ever!

A lot can change in 2 hours!

DES 103.25 +5.25 (5.36%)

[StuartHopkin]

I gleefully bought a pile of these shares

Really? Wow.

Yeah I get bored easily

[StuartHopkin]

The share price by 4th Feb is anticipated to be a lot higher than it is at the minute, even by end of next week it is expected to be 130p - 140p.

I should have said something at the time maybe, didn't realise I had to look after you Hopkin, but this is just a ridiculous statement. If the share price was actually 'expected' to be anything next week, then that's where it would be now, because that's how markets work. I did look into this share myself, the price is based on pure speculation and the share is held in an unusually high proportion by private investors, i.e. punters. To top it off, the CEO sold a third of his shares (£200k's worth) on 10 feb, at a cheaper price than it is now, and a director and major shareholder sold another £2m worth. Not a good sign. Might as well hold on to them now though, it might work out in the end. GL

Thanks mate, I do need looking after most of the time.
Would it help explain things if I said it was one of those mornings I cant actually remember driving to work?
Yeah saw the CEO had sold a big pile.

Only bought them for a jape though so I wont be crying over any spilt oil.

[jack2off]

The share price by 4th Feb is anticipated to be a lot higher than it is at the minute, even by end of next week it is expected to be 130p - 140p.

I should have said something at the time maybe, didn't realise I had to look after you Hopkin, but this is just a ridiculous statement. If the share price was actually 'expected' to be anything next week, then that's where it would be now, because that's how markets work. I did look into this share myself, the price is based on pure speculation and the share is held in an unusually high proportion by private investors, i.e. punters. To top it off, the CEO sold a third of his shares (£200k's worth) on 10 feb, at a cheaper price than it is now, and a director and major shareholder sold another £2m worth. Not a good sign. Might as well hold on to them now though, it might work out in the end. GL

Thanks mate, I do need looking after most of the time.
Would it help explain things if I said it was one of those mornings I cant actually remember driving to work?
Yeah saw the CEO had sold a big pile.

Only bought them for a jape though so I wont be crying over any spilt oil.

This is the problem with people not really knowing the share market, did you know that Stephen Phipps sold 2m shares a few weeks ago? yet increased his share holding? people see that the director has sold 2m shares (of the 40m he owns) and so its all bad news. However if you do a little bit more digging you will see that the CEO and Stephen Phipps (phipps & co) sold shares to bankroll their purchase of share options they were awareded as company directors. So both sold shares....however, had increases their share holdings by taking up their share offers in a small window that they could do this without it being seen as insider trading.

[jack2off]

and the share price is being held back by shorters and the Argie situation unfortunately, baring in mind, apart from drilling the company has no real assests apart from cash in the bank and that hasnt changed. However and to quote the Cheif Exec "I urge share holders to hold tight next few months are going to be very interesting". Results due in a couple of weeks on first drill...anyone invested!! good luck!

[titaniumbean]

The share price by 4th Feb is anticipated to be a lot higher than it is at the minute, even by end of next week it is expected to be 130p - 140p.

didn't realise I had to look after you Hopkin,

it's Stu motherfking Hopcock of course you have to look after him!!!


Everyone check out the more +ev and more fun Deal or No Deal staking tooo

[Bongo]

If the directors were that confident wouldn't they have used their own money to buy the options? (or even borrowed money, as surely the shares, bought at a discount, should return more than the cost of the loan). In essence it seems they've just gone a freeroll to gain more shares without any extra exposure (assuming what you say is true and they used all the cash from sales to buy options).

[jack2off]

If the directors were that confident wouldn't they have used their own money to buy the options? (or even borrowed money, as surely the shares, bought at a discount, should return more than the cost of the loan). In essence it seems they've just gone a freeroll to gain more shares without any extra exposure (assuming what you say is true and they used all the cash from sales to buy options).

Well, these guys are on the rich list I believe, they're not short of a few quid. They purchased a company off a friend of mine for 22m, most of which was borrowed money. They buy up small businesses with big turnovers, mainly on borrowed money, and let that business pay off the loans, effectively freerolling that company for them.

Oil exploration is very risky, hence why this type of share can turn into a life changing amount of profit for a small investment. I'm not 100% sure of exact figures (this can be found easily on the website) but off the top of my head, out of the 300million + shares in play for desire, Stephen Phipps alone owns 40m ish, phipps and co as a company own 50m ish and then you have ann phipps, neve phipps, all own shares into the millions, Barclays bank own 15million. That is a hell of alot of money invested into a company with a very high risk. Now I know, no matter how rich I was, if my family owned over 150m worth of shares in a company with a very high risk....and I could increase my shareholding at no extra risk to myself or my family, I definitely would do. When they have invested so much money, why would they keep ploughing millions in? makes no sense. They may be rich but also they dont have an unlimited pot of money, sell 2m worth of shares to fund say 2.5m, great why not at no extra cost.

Did you know also, that they have 14 wells and are currently only drilling 1, If this one finds nothing at all (unlikely based on reports) there are 13 other wells to drill. Also, the next company to take the rig is Rockhopper, desire own 7.5% of their first 2 wells. the amount of money raised, spent, invested, 200k for a rig etc etc....to send a rig 8000 miles for a 1/10 chance is unheard of, thats why they announced the source rock they found is the 2nd richest in the world and why (and is quoted) the first well is as good as 50/50 for a gas or oil find.

[StuartHopkin]

I prefer Mr Jack2Off's outlook to Mr TennantsExtra's

[Bongo]

My point was the directors were freerolling so you can't really take their actions as a vote of confidence. You now seem to say they have been freerolling all along, so fair play to them mbn etc etc.

It seems your friend has done well out of the thing at least.

[Doobs]

No wonder half the people on my table had shares in this bit of hype at my GUKPT table at the weekend.  James speaks a whole lot of sense, as he is clearly not talking through his pocket.  If the company share price was expected to be £3 or £4 in the next couple of weeks, then it would be £3 or £4 now.

Anybody who has said, in all seriousness, that this company whose assets are a bit of cash and a licence to try and find oil is bigger than Cairn should have been laughed off the board.  His credibility is absolutely shot.

If you really want a serious investment discussion on Desire or Falkland Oil and gas, go to fool.co.uk as somebody has said.  ADVFN is pretty much full of rampers and idiots.

There is a very good article on the falklands oil prospects here from a respected oil investing expert http://www.fool.co.uk/news/investing/investing-strategy/2010/02/24/oil-investing-the-falklands.aspx  Basically there is a chance of oil, but it isn't a certainty and conditions could be difficult

cheers

[jack2off]

No wonder half the people on my table had shares in this bit of hype at my GUKPT table at the weekend.  James speaks a whole lot of sense, as he is clearly not talking through his pocket.  If the company share price was expected to be £3 or £4 in the next couple of weeks, then it would be £3 or £4 now.

Anybody who has said, in all seriousness, that this company whose assets are a bit of cash and a licence to try and find oil is bigger than Cairn should have been laughed off the board.  His credibility is absolutely shot.

If you really want a serious investment discussion on Desire or Falkland Oil and gas, go to fool.co.uk as somebody has said.  ADVFN is pretty much full of rampers and idiots.

There is a very good article on the falklands oil prospects here from a respected oil investing expert http://www.fool.co.uk/news/investing/investing-strategy/2010/02/24/oil-investing-the-falklands.aspx  Basically there is a chance of oil, but it isn't a certainty and conditions could be difficult

cheers

LOL, are you a deramper? All oil exploration is high risk, nobody denies that, and why wouldnt the market price be held back when there is talk of war again? It was pretty much the only thing (war) that would hold this share price back, as anticipation on them striking and increasing over 1000% overnight forces a share price up.

For example, GKH was 9p a few weeks back, they struck oil, share price then hit over 90p over night. If Des strike recoverable oil in the first well, based on what they think is there the share price on recoverable oil at x million barrells works out betweek £6 and £11. They are not pie in the sky figures, they are calculated figures at oil around $80 a barrell. Thats also based one one strike.

Shelldrilled in 1998, 6 wells, oil shows in 5 of them, however as oil crashed whilst they were drilling from $30 a b to $10 a barrell, it was not commercially viable for them to continue.  The first well is anticipated at between 600m and 2.7 b barrells of oil (not including gas) this is bigger than anything found in the north sea for a long long time.

Also, all this war talk, fall out over who owns falklands, a group of tiny worthless islands 8000 miles away....do you think we lost 300 service men for pride or do you think there may be a reason for it?

good luck!! I'm in deep and have topped up this week at 96p, good to see them today at £1.09 although my average price is still in the 40p (approx).  and my information doesnt come from adfv, iii, fool.com or any rumour forum, it comes direct from the owners of the company, who do not give out false or inside information, just basic facts. I hope anyone who has took a punt on these how big or small holds their nerve as its a volitile share yet im confident we will all be smiling at the end of it!! the facts if you care to look are in black and white on the internet on desire website and most companies are now advising desire as a hold or strong buy!!

[Josedinho]

I'm invested in this and i know it's a risk. It's just deciding whether the reward is worth the risk and i decided it was for me.
Not gonna get rid now.

[paulhouk03]

i have invested because i am a donkey

[jack2off]

I'm invested in this and i know it's a risk. It's just deciding whether the reward is worth the risk and i decided it was for me.
Not gonna get rid now.

Rewards are DEFINITELY worth the risk on this one!!!!