3Legs Resources

Press: 16.11.11: -54.25, (81.75) Press: 3Legs Resources fell after announcing lower than expected flow rates at a well in the Baltic basin of... read more

Press: 16.11.11: -54.25, (81.75) Press: 3Legs Resources fell after announcing lower than expected flow rates at a well in the Baltic basin of Poland. The company and partner ConocoPhillips suspended tests at the prospect ?for an extended period of several months? due to high costs and subzero temperatures. Chaired by Tim Eggar, a former Conservative minister for Industry and Energy, 3Legs floated on Aim in June. Since July, the stock has lost two-thirds of its value, in spite of a more promising report in September from its first well at the site. ?If reopened, we expect the companies to come back with simpler, cheaper test equipment in the spring once temperatures are above freezing,? said Jefferies, which managed 3Legs? flotation. It maintained ?buy? advice, arguing: ?We believe the Polish Baltic basin continues to exhibit positive characteristics that could allow for successful shale exploitation. We believe it is not unreasonable for it to take more than the two well results we have available to date to determine optimal completion design.? Source - Financial Times