Companies: DNX   

Exploration and production play Dana has launched a fully underwritten 2-for-11 share offer to existing shareholders plus a cash placing at 12.25p, with the aim of raising a total of £24m (net of £1.5m expenses). The money will be used to fund further appraisal and development of the eight discoveries made since 1998 from just 10 wells drilled, and to help with the costs of further exploration. This issue will reduce the need for the company to 'farm out' part of the ownership of its properties to other companies. At the moment Dana has production interests in the North Sea and western Siberia, which together contributed £7.4m in pre-tax profits on £29.9m turnover in the year to 31 December. Its offshore exploration interests are in the North Sea, the Faroe Islands, the Netherlands, Ghana, Kenya, Indonesia, Australia, and Mauritania, where it has licences next to the ones which have attracted attention in London due to the involvement of Fusion Oil and Gas. From Dresdner Kleinwort Wasserstein's expectation for £9.7m pre-tax this year and 1.09p of earnings, Dana trades at a prospective p/e of 11.7 (at a price of 12.75p), not bad for a company with a lot of potential.

Dana Petroleum	LSE	£944.54m	1087.00p	-48.00p
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Other company articles:
Dana wins North Sea blocks			14/11/2008
More North Sea cheer for Dana			12/05/2008
New oil find by Dana			23/04/2008
Dana finds new wells			15/08/2006
Spread-betting, by Vince Stanzione			24/08/2005