Companies: BLR   

While its shares languish 80% below their 52-week high, Black Rock is primed to drill two or three exploration wells this year, having found partners for two of its licences in Western Australia. Managing director and founder John Scott has been doing the rounds in London talking to investors and advisers about the developments, which follow a frustrating period of little progress since the company moved up from Ofex to Aim last April. Now he professes himself happy with the situation, after it and fully listed partner Dana found two other investors for licence WA 226-P in the shallow waters offshore Western Australia in addition to Black Rock alone finding a partner for onshore licence EP373. The former is 13%-owned, is said to hold about 110 million barrels recoverable in its primary prospect, requires one more partner to commence drilling, and will probably result in Black Rock holding 7/8% but with no cost responsibility. 30% holder Origin is apparently keen to start drilling in mid-2002. The latter licence requires a bit more work before drilling is possible, but Scott reckons that attracting Aussie tiddler Longreach in for a 10% stake will make finding others much easier. The largest structure here is estimated to hold 62 million barrels recoverable and drilling will be possible this year if further partners are found. At such a low price, the shares are well worth betting on, and could recover even before drilling commences.