Good time to post this recent article? :)
http://www.fool.co.uk/investing/2015/11 ... t-to-soar/Meanwhile, UK Oil & Gas (LSE: UKOG) has bucked the trend in the last year, with its shares soaring by 165% as a result of a major oil discovery in the UK. Although there was some confusion regarding the size of the potential find, to me UKOG remains a company with strong long-term prospects to increase its oil production from the four sites in which it currently has an interest.
Clearly, smaller oil companies may be at a disadvantage versus their larger peers when it comes to financing, since they lack the size, scale and diversity of a number of their peers. However, with UKOG having raised £6m via a placement in June of this year to contribute to £8m in cash and receivables as of its half year results, it appears to be sufficiently well financed to progress with its strategy over the medium term. Furthermore, as at its half year results it also had £9.6m of undrawn debt facilities which can be accessed if they are needed.
Clearly, the full potential of the company’s asset base is not yet known and the value of such assets is likely to be relatively volatile simply because of an uncertain outlook for the oil sector. However, with UKOG being up 15% today and having a relatively bright future outlook, less risk averse investors may wish to consider its purchase for the long term.