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http://www.timesofmalta.com/articles/view/20120906/local/Oil-well-is-likely-next-year.435757 A due diligence exercise on Genel Energy is under way and a final decision is expected soon, according to a government spokesman.

Nice to see someone mopping these up!

Malta Farm-Out Agreement with Genel Energy plc RNS Number : 6049K Mediterranean Oil & Gas Plc 23 August 2012    23rd August 2012     Mediterranean Oil & Gas Plc ("the Company", or "MOG") Farm-Out Agreement for Malta Area 4 PSC and Area of Mutual Interest Agreement for Libya, Tunisia and Malta Offshore Basins signed with Genel Energy Plc     The Board of Mediterranean Oil & Gas Plc (AIM: MOG) is pleased to announce that the Company's wholly owned subsidiary, Phoenicia Energy Company Limited ("PECL"), has entered into a conditional farm-out agreement with Genel Energy Plc ("Genel"), in relation to PECL's 100% interest in Area 4 Offshore Malta (the "Malta Transaction").  Highlights of the Malta Transaction:   ·      Genel to acquire 75% of PECL's interest in its Area 4 (Blocks 4, 5, 6 and 7) Offshore Malta Production Sharing Contract ("PSC") for the following consideration:   Ø US$10 million cash payment on completion of the Malta Transaction;   Ø 100% carry on the first exploration well, which is planned to be drilled to a minimum depth of 2,500 metres;   Ø 100% carry on the second exploration well up to a maximum of US$30 million gross expenditure;   Ø At PECL's option, should the costs of the second well exceed US$30 million, Genel to provide a financing arrangement to fund PECL's 25% share of any additional expenditure, at an interest rate equivalent to 3 Month Libor plus 400 bps.   ·      PECL is to remain as operator until completion of the first exploration well, at which time Genel can elect to become the operator, or at such later date as the parties may agree. Area of Mutual Interest Agreement In addition to the Malta Transaction, MOG has signed an Area of Mutual Interest agreement ("AMI") with Genel to cooperate in acquiring exploration and production assets in the offshore basins of Libya, Tunisia and Malta for a minimum term of three years. The equity in any asset acquired within the AMI will be shared on the basis of 20% to MOG and 80% to Genel. The MOG Board believes the Malta Transaction and the AMI with Genel delivers on the Company's key objectives regarding its Malta licence including:   ·     MOG will be fully funded on its share of the first and second exploration wells under the Malta PSC, through the exploration carry with Genel, and the optional standby financing arrangement provided by Genel;    ·     MOG will be working with an experienced partner and operator in Genel;   ·     MOG retains a significant ownership interest and exposure to the exploration upside in Area 4 Offshore Malta through its residual 25% interest;   ·   

http://www.medoilgas.com/resources/Investor%20Presentation%2016%20August%202012.pdf

I'm not and expect far more than 22p!

The ratification has prompted a massive upgrade from one City broker. Liberum Capital says the sign-off has removed the ‘major obstacle’ to the Ombrina Mare development. The broker has a ‘buy’ recommendation for MOG share. And analyst Andrew Whittock increases his target price to 22p from 9p as he brings the Ombrina Mare project back into his valuation. Whittock also says that the financing and development of the field should not be a problem. He emphasises that MOG still owns100 per cent of the project equity so it has a full range of options available for the financing – wither through debt, equity or farm-down.

Yes it's further positive news from the 3rd Aug and another step forward I think we just need final signoff and it's got to be sorted before the end of this month :-)

It will happen this month as the decree has to be ratified within 60 days Here is the source: http://www.quotidianoenergia.it/index.php

Final Go-ahead by the Senate. From the gas, the ILO, the ILO, passing for the hydro: all the rules on energy. Text in allegatoroma, August 3 - final go-ahead of the Senate to DL growth (QE 25/7). The house of Palazzo Madama has voted in fact the confidence of the DDL for the conversion of measure n. 83/2012 With 216 votes in favor, 33 against and 4 abstentions. The text, expected now in official, therefore remains as expected that dismissed the room (available on the site of QE). Many rules on energy, among those present at the outset in the text and then changed to Montecitorio and those inserted ex-novo

http://www.davy.ie/LR?id=5033 It has been reported that Decree DL 83/2012 has been voted through Italy's House of Deputies by a significant majority. The decree will now be referred to the Senate for approval. The decree is a package of growth incentives. Importantly, it updates on Italian offshore drilling legislation.

http://www.thisismoney.co.uk/money/markets/article-2178688/SMALL-CAPS-FOCUS-Mediterranean-Oil--Gas-boosted-Italys-industry-reforms.html

Italy Seeks $18 Billion Investment Ditching Offshore Ban: Energy 2012-07-18 23:00:01.4 GMT By Ladka Bauerova and Chiara Vasarri July 19 (Bloomberg) -- Mario Monti’s government is trying to attract as much as $18 billion in investment to Italy by relaxing a ban on offshore oil and natural-gas exploration imposed by Silvio Berlusconi after the 2010 Gulf of Mexico spill. The premier, who must jump-start the economy to help stem Italy’s debt crisis, last month ruled that companies such as Eni SpA, Edison SpA and Royal Dutch Shell Plc can resume shallow- water projects within 12 kilometers (7 miles) of the coast they were forced to abandon in 2010. The decree needs Parliamentary approval and the lower house is set to debate it July 23. Monti is brushing aside opposition from environmental lobbyists to get more crude and gas flowing to the energy-poor nation while helping Shell, Europe’s largest oil company, pay off its investment. Offshore output could double within a few years, attracting 15 billion euros ($18 billion) in spending, Economic Development Minister Corrado Passera said. It also may reduce Italy’s energy bill by 6 billion euros, he said. “The Italian government is strongly committed to resume the domestic oil and gas production,” said Nicolo Sartori, an energy and defense analyst at Rome’s Institute for International Affairs. “The resumption of exploration activities won’t represent a game changer, but it will ease a situation of high dependence on imports and high prices.” Spokesmen for Eni, Italy’s largest oil company, and Edison SpA declined to comment before the legislation is decided. A Shell spokesman wasn’t immediately available. Italy imports about 90 percent of its domestic oil and gas demand and is fighting to regain investor confidence as the financial crisis threatens to cut off market funding to the euro area’s third-biggest economy. Sicily Insolvent? Monti yesterday had a meeting with Italian President Giorgio Napolitano to discuss Sicily’s financial position after expressing concern that the region might be insolvent. Italian consumers burned 71.3 billion cubic meters of gas in 2011, ranking ahead of all European nations by that measure except for the U.K. and Germany, according to a BP Plc survey. The decree would allow existing offshore projects to start again, without allowing new ones. It’s enmeshed in the Monti government’s broader legislation to spark economic growth, making it more difficult to be shot down by the chamber of deputies next week or later in the Senate, which must approve the decree by Aug. 25 or it will expire. “It’s perfectly achievable,” said Brian O’Cathain, Chief Executive Officer of Petroceltic International Plc, which drills for hydrocarbons in Italy. “There’s an

Mediterranean Oil and Gas (MOG) on Wednesday published a second-quarter production update. The company continued to build on the production volumes in the second quarter. The offshore Guendalina gas field, in which the company has a 20% interest, achieved production of 10.93 million standard cubic metres (mscm) in the second quarter, in line with the company's expectations. This represents net production by the company of 120 mscm per day. Onshore Italy gas fields achieved production of 2.38 mscm in the second quarter, representing a net production to the company of 26 mscm per day. "Generation of positive free cash flow on €4.2 million [£3.3 million] revenue indicates [the] high profitability margin from Guendalina field and the Italian fields generally," pointed out analysts at FoxDavies. "We now wait for the development drilling programme to further grow output from the producing fields."

Golden cross on chart and Malta news early Q3. Broker valuation of 13.9p on current producing asset alone!! No need to ramp

The directors of Mediterranean Oil & Gas (AIM: MOG) and Rubicon Diversified Investments Plc (AIM: RUBI) will be presenting: Thursday the 19th July 2012, Chesterfield Mayfair Hotel, 35 Charles Street, Mayfair, W1J 5EB (Charles Suite) The presentations will start at 6:00pm and finish at approx 8:00pm. After the presentations are complete the directors will also be available to take questions during a free canapé and wine reception. Details on the presenting companies can be found below. http://www.proactiveinvestors.co.uk/register/event_details/156

http://www.proactiveinvestors.co.uk/companies/stocktube/1223/mediterranean-oil-gas-says-the-transformation-and-development-continues-1223.html

liberum starts coverage with buy rating and price target 13.9p A revitalised MOG is now back on its feet and looks ready to embark on a growth path. The share price reflects the value of Guendalina but almost ignores other Italian and Maltese assets and assumes Ombrina Mare is never developed. We believe that is too pessimistic and initiate coverage with a 13.9p PT and Buy recommendation. n The Italian ban on offshore drilling in 2010 scuppered MOG’s plans to develop its main asset – the 100% owned Ombrina Mare oil field – and undermined market confidence in the company. After a difficult 18 months, the outlook now looks brighter following last year’s restructuring, the commencement of production at the Guendalina field and the appointment of new management. n Looking forward, MOG is a full cycle E&P company with a strong position in Italy and no debt. We believe the management team has extensive experience of international E&P activities that belies the current market capitalisation. With the capacity and ability to manage more assets, we expect the team to move down an ambitious path to deliver significant growth within and beyond Italy. n The current portfolio looks like first base. Guendalina cash flow can be reinvested in new ventures; a farm out of the Malta exploration licence later this year could be used to access other opportunities; and when Italian drilling restrictions fall back in line with the rest of the world, Ombrina Mare offers the currency to consider many other options. n The share price is close to our value of just the Italian producing fileds and appears to ignore the value in the Ombrina Mare project and in prospective resources in Italy, Malta and France. We have set our Price Target at 13.9p, reflecting the value of Italian production, a likely farmout value for Malta and just the book value of Ombrina Mare. Conventional EMV analysis would value prospective resources at 21p and this, we believe, should become a realistic target when the new management team has demonstrated a track record. BUY