5 August 2015

Borders & Southern declares delay

16/03/2012 Ben Jaglom

Falklands-focused Borders & Southern (BOR) has reported that its Darwin East well will see delays of between four to five weeks.

The AIM 50 constituent announced that while operations are 'on-going' and the drilling has gone 'according to design' progress has been stalled due to what it describes as 'technical issues associated with rig equipment'. As a result it expects 'another 4 to 5 weeks of activity on the well' which lies off of the coast of the Falklands.

The news comes on the same day that Argentine foreign  minister Hector Timerman described the actions of UK oil exploration companies in the region as 'illegal' adding that the Argentinian government would seek legal action against those involved.

While AIM heavyweight Rockhopper (RKH) has so far been the only company to discover commercial quantities of oil, both Borders & Southern and Falkland Oil & Gas (FOGL) are still in the exploration phase.

It is difficult to ascertain to what extent the Argentinian government will seek to pursue claims against companies such as Rockhopper, and at the time of writing a military conflict looks a possibility, albeit an unlikely one.

Investors are advised to keep a close eye on developmentS between Argentina and AIM-quoted Falklands explorers, although it is worth noting the UK is expected to fully protect companies such as Rockhopper and Falkland Oil and Gas.

At 69.75p shares in Borders & Southern retain our speculative buy rating with the delay doing little to damage its long-term prospects.

Tags: AIM 50, Drilling in the Falklands, Potential conflict in the Falkla, Tensions in the Falklands

Superb investment toolkit for private investors

SharePad is the new web-based service from ShareScope. Easier to use and more powerful. Perfect for tablets, Macs and Windows PC. Covers ALL your investment requirements.

Growth Company Investor: free trial

Since 2008, our share tips outperformed the benchmark by 281%. Take a free trial and get access to our recommendations today. Start free trial now.

Directors' Pay on AIM 2015

The most comprehensive review of AIM directors' pay available, and this year includes a record sample of 1000+ AIM-quoted companies. The full report is available to order for £385 + VAT. Click here for more info

 

Latest small-cap and growth company news

Daily coverage of small-cap company stocks on London's junior markets AIM and PLUS, breaking news, stock research and latest share price information for investors. Full sector coverage with all the latest news on smaller listed companies, updated several times a day with financial reports, trading statements and links to further web resources.

Popular News

Latest News

Quartix has enjoyed a strong start to life as a public company

Quartix focuses on US growth as earnings and profits soar 29/07/2015

Andy Walters, chief executive of telematics firm Quartix, has confirmed that the company will continue to focus on the fast-growth US market in the coming year as it reported improved earnings and profits. 

Petards Group shares nudge upwards as company hits targets  28/07/2015

Shares in Petards Group, a supplier of security technology, saw its shares rise by 2 per cent this morning as it confirmed that it is likely to hit its targets for the half-year to the end of June as a result of a switch to higher-margin products.

Earthport announces plan for Asian expansion  28/07/2015

AIM-listed financial technology firm Earthport confirmed this morning that it is to launch a new Asian headquarters in Singapore, with the aim of capitalising on the growth of South East Asia. 

Vast Resources sets its sights on Romania following fundraising  27/07/2015

AIM-listed resources company Vast Resources intends to use the £1.26 million it has raised from investors for a combination of corporate expenses and to expand its Romanian operations. 

SPARK Ventures raises £17 million and teams up with Gresham House for future growth  27/07/2015

AIM-listed SPARK Ventures, a company that invests in early-stage technology and digital information businesses, has announced that it has raised £17 million via a placing of new shares and an asset swap.

Nektan expects to beat forecasts when full-year results are released in September  20/07/2015

Online gaming technology firm Nektan Plc expects that its full-year results to the end of June 2015 will show a loss of around £5.5 million, which the company claims is 'better than expected'. 

More News