Desire abandons first Falklands well

6th Apr 2010 15:48

AIM-quoted Desire Petroleum has abandoned its first offshore well in the Falkland Islands although it says that it has discovered gas. More analysis of the Liz 14/19-1 well in the North Falkland Basin is required but it appears that the two separate gas discoveries are likely to be poor quality. There were also some signs of oil but they don't appear to be commercial. More sandstone was encountered than expected. Desire has three months to assess the data and try to work out where better reservoir targets may be situated. AIM-quoted Rockhopper Exploration will now drill two more wells in the North Falkland Basin.