Exploration of the Falkland Islands is turning into one of the biggest oil and gas stories in years. The resource potential of the Falklands is estimated to be massive, potentially tens of billions of barrels of oil, but this is true wildcat drilling in an isolated frontier, and the explorers could easily come up dry or with discoveries that are too small to be commercial given their remoteness. If the conditions and remoteness didn't create enough challenges, Argentina is once again making increasingly assertive claims of sovereignty over the islands, which it calls "Las Malvinas".
NEWS UPDATES
Drilling success is starting to vindicate the millions invested in Falklands oil.
Rockhopper Exploration raises £206m despite scaling back resource estimate
Falkland Oil & Gas defers drilling as Desire Petroleum begins second well
Argos Resources plans to drill its first Falklands well late next year
Rockhopper Exploration's second Falklands well comes up dry
Argos Resources plans Aim float to fund exploration of acreage near Rockhopper's Sea Lion discovery.
Toroa well comes up dry as FOGL and partner BHP Billiton continue to search for a rig to drill their larger, deeper water prospects.
FOGL's shares are up 46% on our tip. Should you take profit, or hold on for more?
Rockhopper's discovery reignites oil fever for all Falklands oil stocks.
Shares surge as Rockhopper's Sea Lion well discovers oil-bearing structures extending 53m over multiple zones, with good reservoir characteristics.
Falklands shares plummet as Liz well disappoints for Desire Petroleum. We assess what's next.
Desire Petroleum has announced that it has started drilling the Liz exploration well in the North Falkland basin. This well is drilling to an estimated depth of 3,500m and drilling operations are expected to take around 30 days.
BACKGROUND TO OIL AND GAS EXPLORATION IN THE FALKLANDS
You can read up on the background to oil exploration in the Falklands by following the links below:
The background to the Falkland Islands oil rush, the original drilling campaign 10 years ago, the oil and gas basins and the four Aim explorers: Desire Petroleum, Rockhopper Exploration, Falkland Oil & Gas and Borders & Southern:
The views of broker Richard Rose of Oriel Securities:
How exploration of the Falkland Islands fits into the bigger picture of global oil and gas exploration:
Why we like the investment prospects of Falkland Oil & Gas:
Why Falkland Islands Holdings is set to profit whatever the outcome of the exploration campaign:
