Bowleven (BUY, £5.50), (LON:BLVN, 291.75p, ▼ 1.68%) announced the results of testing activities at the Sapele-1ST appraisal well drilling in the Douala Basin, offshore Cameroon. Drill stem testing was performed within the Deep Omicron interval at Sapele-1ST: Stabilised flow rate of 3,101 boepd produced on test at Sapele-1ST; High quality light oil (39.2 degree API) produced on test; and oil quality and gas-oil ratio comparable to that encountered at the original Sapele-1 w ell. The principal objective of Sapele-1ST was to appraise the Deep Omicron oil discovery encountered in the Sapele-1 exploration well and was conducted over a 71 metre perforated interval. Due to the stratigraphic nature of the Omicron discoveries further analysis and appraisal is required to delineate the fields and to assess the implications for resource estimates and potential development options for these discoveries. The productivity demonstrated by the Deep Omicron test at Sapele-1ST is a key step forward. In addition, a testing programme is ongoing at Sapele-2, drilled to appraise both the Lower and Deep Omicron discoveries, and the results from this will be integral to this process. Leni Gas & Oil plc (LON:LGO, 2.85p, ► 0.0%) announced resumption of production from the Eugene Island-184 ("EI-184") platform in the Gulf of Mexico. Production operations were resumed safely on 3 June 2011 at the EI-184 facilities following the transfer of operatorship to Marlin Energy LLP ("Marlin") as previously announced in late May. All previously active wells (A1, A3, A4, A5 and A8) were returned to production and operational reporting to the Joint Venture partners has now been resumed. During the initial five day ramp up period; gross physical production has averaged 1,199 mcfpd and 402 bopd (609 boepd). Once downtime is accounted for, this equates to an average daily rate of approximately 922 boepd. LGO holds a 7.25% working interest in the EI-184 field . Early indications are that production has been re-established at higher than pre-shut down levels, however, stabilised rates are not yet available and some flush production after a 60 day shut-in period would be expected. PetroLatina (LON:PELE, 27.50p,▼ 1.35%) announced its audited final results for the year ended 31 December 2010. Operational Highlights: 3 new wells drilled (Querubin-1, Chuira-1, Colon-3ST); Completed the Zoe-1 exploration well which is currently producing at a stable rate of 42 bopd of 23 degree API oil; Gross production for the year increased by 35% to 660,137 (2009: 489,159) bbls, at an average daily gross production rate of 1,809 (2009: 1,340) bopd; Net production for the year increased by 25.5% to 292,694 (2009: 233,285) bbls, at an average daily net production rate of 802 (2009: 639) bopd; Petrophysical and field performance studies and resulting reservoir simulation exercises commissioned on the Los Angeles and Santa Lucia fields; High resolution seismic reinterpretation commissioned from Arcis Seismic Solutions on the Colon field; and seismic reprocessing, fault orientation and density analysis and formation fluid study commissioned from Landocean Energy Services Inc. on the Chuira discovery. Financial Highlights: Revenues increased by 46% to US$20.1m (2009: US$13.8m); Gross underlying profits (before depreciation and impairment charges) increased to US$10.8m (2009: US$10.1m); Underlying EBITDA generation of US$3.1m (2009: US$5.25m); Loss after tax of US$27.6m (2009: US$12.5m); Cash and cash equivalents (including term deposits) of US$10m (2009: US$4.9m); and successfully raised, in aggregate, US$25m in new equity fr om management, existing shareholders and senior lenders; and entered into a Senior Secured Debt Facility of up to US$75m with Macquarie Bank Limited. Miners at Australia's BHP Billiton Mitsubishi Alliance, the world's biggest exporter of metallurgical coal, voted on Wednesday to strike, likely early next week. Coal miners have complained about different pay levels for union workers and non-union contractors and are worried over job security, according to the union. The strike would hit BHP Billiton just as Australia's coal mining sector, which supplies nearly two-thirds of the world's traded steel-making coal and more than 10% of the country's goods exports, was getting back on its feet after heavy Southern Hemisphere summer rains forced several mines to declare force majeure on exports. The drop in coal production, equivalent to 15%of annual output, has curbed economic growth and exacerbated a worldwide shortfall of coal. OPEC news: The news of the inability of OPEC to agree to any increase in production quotas will on balance and in the short term most likely lead to an increase in crude oil prices. Oilfield Service companies stock performances are highly correlated with crude oil price developments. Consequently we believe that most oilfield service stock will see a share price bounce in the near term although we caution that any sustained high level of prices may see economic/energy demand destruction and consequently have a somewhat negative impact over the medium term. Despite near/medium term uncertainties we continue to believe that the long term fundamentals- energy demand, oil/gas industry capital expenditure levels and oil prices expectations- for the oil field service comp anies are positive. Key positive recommendations: Hunting, Kentz, Petrofac, RSI, Wood Group, Schoeller Bleckmann and Newpark Resources

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