The tiny Irish stock on the brink of landing 'the first' post-sanction oil deal in Iraq. Ref 'Fleet Street Letter' 12-04-04..

Dexter, glad to see you questioning your investment, as am I(PET is not 100% in the bag until we get that RNS), although with all this research I started to get a little attached to Petrel, although nothing 4 pounds+ a share would make me give up in a heartbeat! Although I'm afraid in this case I feel your thoughts may not warrant any premature panic. Where did you read that? Was it from the May 12th RNS? If so check the AGM statement from July 28th. As of the AGM statement July 28th and the slides 2004 (October 2004), they have stated that they have full financial backing for the projects (i.e Japanese trading company), the above is obviously from an RNS prior to the securement of Japanese funding. Whether or not the PET SP reaches 20 pounds+ is pretty immaterial to most people I think as after 4 pounds who will not be thinking of cashing out, to be honest IMHO I see an initial rise of about 4 pounds(probably over the first couple of days after the contract announcement), then a retracement to around 3 pounds on profit taking, remembering that alot of people have been in this since April (30 pence) and that a ten bagger+ is pretty hard to resist profit taking especially when you see others doing the same, after that it really depends on the scope of the contracts and what the major oil companies do(i.e take over bid,etc), as for your share dilution query I do believe you are wrong from the evidence we have, but of course, PET could go against what they have suggested on their website and their intent from the AGM and still issue more share, but I see this a unlikely when there is Japanese funding available. The Japanese are investing all over the place at the moment on the lookout for oil(China being the latest example), and if there is a chance that they can secure crude from Petrel, then I'm pretty sure they will not hesitate to approve whatever funding Petrel ask for. In the words of David Horgan from my previous e-mail "The best place to find oil is in an oil field" - The field they will be drilling have PROVEN oil reserves, so it is not a case of if, but really how much is there.

below is one of my replies from across the way(yesterday)to the latest de-ramper trying to separte people from their PET shares (amazing how many of them have popped up recently, wonder why????)

Hey Guys,

Just popped in to see if there was any news in the Saturday papers, guess not, see we have inherited yet another ramper going on about dilution, and trying to back it up with an old RNS, I know people like this get under your skin, having to deal with Simple Simon everyday was enough for all of us, until we pressed that magic filter button. Now "Sandbanks" another name for Simple Simon as we had all filtered him? hmm I wonder.

Anyway the best response for the endless de-rampers is instead at looking at an old RNS from before the Japanese funding was secured, lets take a look at the latest AGM statement from July 28th.

"Given the economics and geology of Iraqi oil, Petrel believes that funding should not be a problem. We are more concerned to avoid excessive or premature dilution."


Old news Vs. the latest AGM statement(not to mention the 2004 slides on their website with all the latest info), doesn't really take a seasoned veteran to figure out which one you read to speculate on the company's intentions."Funding should not be a problem" - The Japanese are searching for crude oil from where ever they can get it, do you really think they won't increase funding if PET manage to secure 1 or even 2 Risk sharing agreements.

Just a tiny bit of research and the de-rampers are shown the door, if you are gonna try to scare the PET holders you'll have to come up with something alot better than Share dilution, I've got a whole file on my computer full of PET research, as I'm sure have Dexter, bahouse, Bartyboy, Jojo, Citywhispers, Rutter, and all the others. So the challenge is out there - You'll have to come up with something alot better to part anyone from their PET shares prematurily. As I see it, 4 pounds a piece will get some of the shares away from some of the holders, perhaps next month!!!!


Tokyo

Sunday News, Couldn't find anything on PET on the inter-net, is anyone finds something in the papers please post here, I found this article about another of Dr. John Teeling's companies, found this paragraph which refers to PET whether it will have an effect on the SP tomorrow is anyone's guess, but it is atleast positive

"Teeling is no stranger to the region. Petrel Resources, of which he is chairman, is currently in the final stages of negotiations to secure a potentially lucrative licence to operate one or more oil fields in Iraq."

enjoy all

Tokyo


The Sunday Times - Business

http://www.timesonline.co.uk/article/0,,2095-1347242,00.html

November 07, 2004

Mining tycoon heads to Iran for gold prospects
Ciaran Hancock



JOHN TEELING, the entrepreneur who heads five quoted mineral exploration companies, is planning to prospect for gold in Iran through a company called Persian Gold. The Clontarf-based businessman recently raised 300,000 (429,000) from more than 50 private investors to fund the first phase of the project.
Teeling has secured a one-year licence on a 1,250 sq mile field near the town of Takestan, northwest of the capital Tehran. A team of nine geologists will begin sampling at the site on November 20 for six weeks. The samples will be analysed by Omac Laboratories in Loughrea, Co Galway, with the results expected by next February.



As this is a greenfield site, with little previous data available, Teeling said the project was high-risk. The company has used satellite technology to identify potential deposits and plans to use new technology to mine the site. Its still very early days, we wont know what weve got until the sampling has been completed but were hopeful, said Teeling.

Iran is rich in natural resources although gold exploration has been minimal over the past 25 years, due in part to trade sanctions imposed by America. The country holds 10% of the worlds proven oil reserves and also has the second-largest natural gas reserves after Russia. The countrys government is now keen to attract western investment into other sectors.

The National Geoscience Database of Iran, a government agency, lists 25 gold-mining deposits on its website. A number of big mining companies, including Rio Tinto and and BHP Billiton, are active in the area although American companies are excluded due to US trade sanctions.

Registered in London, Persian Gold was formed about 12 months ago. There are currently 12m shares in issue and the recent fundraising, which was oversubscribed, valued the stock at 10p each. The company has three directors: Teeling, his son Jack, and James Finn, a long-time business associate of the entrepreneur.

Teeling is no stranger to the region. Petrel Resources, of which he is chairman, is currently in the final stages of negotiations to secure a potentially lucrative licence to operate one or more oil fields in Iraq. He also heads African Gold, African Diamonds, Minco and Pan Andean Resources. All of these are listed on the Alternative Investment Market in London.

Tokyo,
Afternoon,looking back i think the bit about placings is on PETs website in the chairmans statement, and yes it would have been before the Japanese funding, my mistake.Is the Japanese funding only if it is risk sharing ?,only it does get a bit confusing!!, remember i do live in Norfolk!!.
Dexter

Message 39 of 48
Subject: PET, JKX
Date: 01/11/2004 22:15 GMT Standard Time
From: Aknightmight
MsgId: 539537:1540



100% Rating: 22 of 22 members liked this post. Do you? Yes/No




Read what you so wish into the following news; but i doubt such an advertisment will be lost on holders of PET stock. lf you visit the website of the National Petroleum news on www.petroretail.net/npn/ you will observe an advert for "high paying jobs in lraq"in the oil industry . The same advertisment aimed at American oil workers appears on the website www.oil career.ca ,,,,,So obviously lraqi oil contracts are in the bag for someone .Albeit Pet were not alone in thier bids for all three lucrative lraqi contracts on offer ,as both a Turkish and American company tendered bids, i fell the odds lie strongly in Pets favour . .ln fact being a gambling man, and despite, PET merely being a fledgling stock , i would put my money on it being PET. What with there have recently been in non stop talks with various governments , banks , institutions ,venture capitalists and MOST IMPORTANTLY other oil majors , to arrange neccassary monies ,it would seem the raising of the said capital was the only issue the lraqis deemed relavent to addressing .An RNS MUST be iminenent. Surely. ,,,,,,Behind the scenes of course much bigger oil players whose identity would be politically embarrassing for the newly formed lraqi Government if they were revealed call the tune . And the rest dance to it . So be it . Have no doubt the USA will extract the megabucks from the ground here but i see nothing but trouble in this deal in the immediate future . BIG TROUBLE. A Pandoras box has been opened here . ln terms of mere personal survival i put lraq on a parity with places like the Congo so exactly whom is going to be seen to run the show ???. . To make matters worse one of the oil wells in question is smack in the middle of Sunni muslims territory whearas the lraqi regime is of shi'tte origin . Furthermore what with there being a dearth of highly qualified petrochemical engineers , senior geloists of neccassary standing and oil personnel on every level , i pose the question "What sane person would seek employment in lraq ? Well ? Would you ? ,,,,,,,,,But i have a sneeking feeling the USA has already decided that oil is coming out of the ground no matter what . ,,,,,,,,,,,,,,That much was decided a long time ago , Re; Pet ,,,Qui sait ? ,,,,,,Who knows . ? ,,l envisage Pet energing as some kind of quasi holding company for the real players . No more .No less. ln time trade will shape attitudes and even later in time,,and then only perhaps , the REAL owners of PET will reveal them selves.Probably of USA origin ,, Did you know the USA is ruled basically by 16 families ? .. .But thats a different story . lts not time for shareholders in PET to break open the first growth Haut Brion champagane but its a step on the road to Global brand recognition ,{ As always i declare i have a very token holding of a mere 2000 shares }.Being a strictly percentages man and having bought cheaply, i sold my entire holding between 138p and 141p.. And bought a few upon retracement to 80p level ,,,,For the ride ,,,,,,,Not a stock to hold overweight in my opinion unless for the lomger term . ,,,Shorterm -A real roller coaster ride ...,,,,and a day traders dream ! ,,,,,but for many i fear a nightmare waiting to happen . Longterm - inevitable megabucks for those with a little patience ,,,,,,...Oh Regarding regualatory issues . Under normal circumstances ,l agree , companies must make it known to the LSE of any financial instutions /individuals/instruments having a 3% holding or more in their company .But under certain clauses of the same act that seemingly neccassary and telling information is not required. ln addition via quite complicated fiscal instruments and use of subsidiaries there are numerous ways in which companies evade this issue. Otherwise Benhams wouls be listed in JKXs books . , ,,,,,hmmm Benhams . Now theres a story , ,,,,,,,ooooOOooo im not going down that road . ,,,,,,,,,,,,,,,,,,lncidentally and the main reason for my mail ! Extremely good news on the horizon for my all time favorite stock -JKX !!!!!!!!! ,,,,i topped up yet again last week '@ 110p ,,,THATS a an absolute giveaway !!! !! lts potential is ten times that meagre price and as it stands is worth nearer 130p ! But as i have always said JKX is a story waiting to unfurl . l am as confident now as when i first bought this stock at 17p .!! ,l remeber the first time i bought this tiny minnow called JKX who everyone had heard of for all the wrong reasons; and now l note with interest JKX has juste entered the top 100 stocks tracked by funds under management ,,,,,,,,,and a huge 16.7% wedge of stock was aquired by NP ( hmm ,,lol i wonder why ? lol ,,> lts all down to two things . JKX's Russian concessions are on a parity with BP s concessions . 3D Seismic data more than indicates this simple fact. And lets not forget BP has for an age gradually rid itself of its once much heralded highly productive North Sea assets {in which Woods Mckenzie recently deemed " oil exploration a pure waste of time"} so as to invest in far more productive sites in the Russias.Lord Brown was not wrong . Juste look at BP s accounts !!!!!! ,,,The Russias accounted for most of BP profit . Little wonder they now eye up those of JKX .The purchase of a productive licence in the North sea is perhpas a strong stimulus to immediate cash flow but have but a limited productive period; and hence such license holders use such monies to promote thier exploration dreams ( TLW, SEY , MLR are typical examples ) ,,,,,,But the real gem in the JKX crown lays in its Black sea shelf concessions .NOW ! PUT very very simply and succinctly ;According to the accepted theory of oil formation ,organic matter living in the oceans sinks to the bottom and then decays under anoxic/euxinic conditions to form crude oil . Now in my opinion the black sea which to all intents and purposes is closed of to the worlds oceans by the Dardanelles and as such forms the perfect type region for euxinic environments. l have studied all data i can regarding the Black sea shelf .And i happen to believe they will replicate the huge strikes in the Alberta sands and the like . Little wonder Romania and The Ukraine are at this moment before the world court for arbitration over who owns what in the Black sea. Each party want a bigger share than the other --Obviously-- lts called greed . .{ l hedged my bets and bought RPT who have the Romanian interest while JKX the Ukranian side. Also RPT didnt spend 55 million on a refinery linked to both western/eastern flowing pipes for no logical reason -Furthermore if you research RPT the recent massive 20 million + institional buys and directors buys cannot fail to make you think "what is going on here ? ,,,,". ) This place which the National Geographic called "the new north sea " is going to be the making of both these companies .Both will be FTSE constituents within a year . As always i declare an interest in both companies bought over a period of time at differing s/ps ,,,, JKX 55,600 ,,,,,RPT 22,500


100% Rating: 22 of 22 members liked this post. Do you? Yes/No

Sorry should have edited that post unless we have some JKX holders like me, i rate the poster as he is a top man at a city broker.

aldwickk - very interesting post I've added JKX to my watchlist, perhaps something to research & look at after PET.

Interesting story on ABC news about Interim government imposing marital law in an effort to quell the insurgents, perhaps peace may come a little quicker now.

Tokyo

http://abcnews.go.com/International/wireStory?id=233204

Iraqi Interim Government Declares Martial Law
Reuters

Nov 7, 2004 BAGHDAD (Reuters) - Iraq's interim government declared a state of emergency for 60 days on Sunday to quell violence gripping the country ahead of January elections.

The state of emergency, equivalent to martial law, would apply throughout Iraq except the Kurdish north, a spokesman for interim Prime Minister Iyad Allawi said.

"We have decided to declare a state of emergency in all areas of Iraq, with the exception of the region of Kurdistan for a period of 60 days," spokesman Thaer al-Naqib told reporters.

He said the decision was intended to crush insurgents behind relentless bombings, killings and kidnappings ahead of elections scheduled for the end of January but threatened by the violence.


The announcement came ahead of a widely expected U.S. offensive against the Sunni Muslim cities of Falluja and Ramadi, which the government says are nerve centers of an insurgency they say is led by foreign militants and Saddam Hussein loyalists.

Naqib did not say how the law would be applied, but said the government would not allow rebels to derail the political process.

"The prime minister will give details in a news conference tomorrow," he said.

Iraq passed the National Safety Law giving the government the power to impose a state of emergency in early July but it was not immediately implemented.

It was one of the first pieces of legislation passed by the interim government after it took over sovereignty from the U.S.-led occupation authority at the end of June.

Emergency laws have been in place in neighboring Syria for more than 40 years and in Egypt since 1981, drawing criticism from human rights groups who say the region's leaders have abused the legislation to curb freedoms.

Iraq's law gives the government the right to impose curfews, set up checkpoints, and search and detain subjects, provided they have a valid reason and present suspects before a judge within 24 hours.

The period of martial law can be extended with the written approval of Allawi and a presidential council at 30-day intervals, but would automatically expire if not extended.

aldwick, ty for that, enthusiasm bubbling there methinks!
Its also posted at advfn

This may be of interest. off US gov. site

Shows how big this oilfield is in Kirkuk. Termed 'supergiant' with 5 Billion Barrels in reserve! Relevant? I hope!

Sorry guys this is the link for above!!!!!!!

He is a very busy man, John Teeling.

I reckon he will pull this off, sooner rather than later.

May be buy in time looking at the price.

SP down 6.50 today, does anyone know why????

The SP has taken a beating today, as a few panic sells have driven down the price, but it looks like it is again more a case of the MM's taking advantage of the situation as Sells do not heavily out weigh the buys. Check out PET's website and you will see that the slides 2004, have been updated for some reason, check out slide 6

The Iraqi Ministry of Oil (Projects Division or SCOP) pre-qualified and encouraged Petrel to tender for its three oil field development projects under cash contract-
Each oil field will produce over 100,000 barrels production daily and over 60mmcfd of gas
KHURMALA Dome and the HAMRIN Field Development are effectively Green Field sites with pre-drilled wells.No existing production or infrastructure in these fields.
Subba / Luhais development is reconstruction of a badly damaged oil field.
Petrel is finalising negotiations on KHURMALA and HAMRIN.
Ideally Petrel would convert to a risk-sharing arrangement as soon as legally possible. Deeper targets offer scope for greatly increased reserves.
Full project financing for crude oil uplifts offered by international conglomerate.


then check out slides 11 & 12

Tenders submitted April June 2004
SCOP has ranked and has evaluated proposals (July August 2004)
Detailed discussions now addressing inconsistencies and trade-offs
Typical Schedules for supply only 14 months
Construction and production schedule dependant on SCOP progress / budgets for Construction Tenders

Contracts expected to be awarded by end November


Iraqi Ministry of Oil offered nine blocks for exploration. Block 6 covers 10,000 sq kms
These Western Desert blocks are world class potential - though riskier than existing fields
Mesozoic (middle) & Paleozoic (deeper) targets
Detailed technical review of available data led to a work programme covering seismic re-interpretation, new seismic and drilling
We are re-interpreting existing seismic & will acquire new seismic and drill wells as soon as equipment & crews are available and the security situation permits


This updated slide show praises the Iraqi oil ministry and is very encouraging, Why bother to update this, if they weren't expecting the tenders to be announced soon?

This just posted on another board, but related to Geoff Foster, haven't had a reply to my e-mail but perhaps if some one could call him to confirm this, it could be great news for all of us, again not my info so can't confirm it, if someone could I'll be bright eyed and bushy looking for an RNS tomorrow morning(certainly could explain why PET updated their website today)

All

Just spoken to Geoff Foster at the Daily Mail with regards last weeks item in the Mail about the signing of contracts this week. he would obviously not divulge his source but it was not direct from PET. The article was based on the fact that his source said that the contract was to be signed and an announcement made on 9th November. he said that he may even get a call later this afternoon to again confirm this as that date is tomorrow.

Anyway thats where they stand on that..

With all this info. i would suggest that the MM's are attempting to get some very cheap shares from those with a weaker heart to sell on, when, not if, we get the fabled RNS!!!!!!!!!!!!

Tokyo,

At this price I can almost envisage you taking an old telly and a broken umbrella to the local car boot to get a few more PETs in the pot. May have a new temporary job till chrimbo, then onto a PhD, so may just be sorted, and in that case, I can sit a bit tighter on my holding!

Good to see everyone is still positive and still posting.

JJ

107606 - Congrats on getting the part-time job,I hope you get to do your Phd with a bank account full of cash (care of PET), I did my 2nd degree up in Leeds after I had worked for 3 years, it was so great just to be able to study(there may have been a little partying as well) without having to worry about cash.

Anyone who wishes to ring Geoff Foster to confirm the info, his number is 020 79386000

Good luck all
Tokyo

p.s. nice to see alot of buying there near the end

Thankfully the PhD is funded (and thats tax free remember) but a little extra would not go amiss!! Do you think there is any weight behind the tomorrow claim?

Across the road they have just verified with Geoff Foster that his contact/source said tomorrow, really depends on how reliable the contact is I suppose. I have as much knowledge as you on that, but I'll be hoping that it is indeed true, and we shall all be alot richer tomorrow, if not, then the wait goes on...........only 16 possible RNS days left in November!!!!

No sign of the RNS today. Usually about 7.30 from PET, as per prev posts. Still only 15 days left in Nov now ha ha!!!!!!!!!!!!!! got to have a sense of humour on this one, only if it keeps me sane!

Some RNS's in the past have been released at 5.30pm, so we still have the rest of the day as well as the rest of the month, so hold tight guys!!!!!!