As mentioned in last week's Sector Focus, while there's no drilling to look forward to in the Falkland Islands through the remainder of 2013, by the end of the year analysts should have a clearer idea of the geology of both the North & South Falkland Basins through extensive 3-D work, while both Borders & Southern (BOR) and Argos Resources (ARG) are hoping to attract suitable partners to help take their ventures forward.
Borders & Southern this week revealed a 28 per cent fall in its annual net loss to $1.28m (£842,000) which was largely the result of foreign exchange gains. With around $56m in cash, analysts point to the likelihood of at least one more substantial fundraising over the next two years. Borders also confirmed that the PGS (Petroleum Geo-Services) vessel Ramform Challenger has completed the 1,025 square kilometre 3D seismic programme in the South Falkland Basin, the results of which should be available in about three months. Meanwhile, Argos, in return for having acquired over 1,000 square kilometres of 3D seismic work within the PL001 licence area, received notification that the Falkland Islands government has extended the second term of the licence by one year, to 25 November 2016.
Argos has yet to drill a well, but it confirmed that "several potential counterparties" have already expressed an interest in coming in as partner on the company's acreage adjacent to Rockhopper's (RKH) huge Sea Lion discovery.
