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

March 3, 2005, 1:19AM

Oil-rich Iraq has rough road to prosperity
Its petroleum infrastructure is crumbling, and rebels continue to sabotage pipelines
By JAMES GLANZ
New York Times

BASRA, IRAQ - The five spindly towers, each 325 feet tall, were silent, with no flames burning at their collapsed and blackened tips.

But Abdul Raof Ibraheem, production manager at this huge propane and butane plant, knew very well what could happen if, say, a military helicopter were to fly over.

"Any spark," Ibraheem said, motioning with his hands. "Explode."

The plant spews out invisible, odorless, but extremely flammable waste gases because officials do not want to shut down the damaged equipment for repairs.

Properly functioning, the plant would burn off those gases in flares at the tops of the towers.

But if engineers tried lighting the damaged tips now, they could blow up the entire complex.

"Of course," Ibraheem said sheepishly, "it's dangerous."

Iraq is facing enormous pressure to convert its rich oil inheritance into a measure of comfort and prosperity. Despite having 100 billion to 200 billion barrels of oil reserves, the third largest in the world by some estimates, Iraq still must import half its gasoline and thousands of tons of heating oil, cooking gas, and other refined products.

And with the petroleum infrastructure crumbling, Iraqi officials must soon decide whether to invest in time-consuming repairs and upgrades, or try to extract everything they can from the creaky equipment, as Saddam Hussein did. It is a tricky decision. Because the rebuilding effort is financed from oil revenues, shutting down the system for desperately needed repairs cuts back on the money available for further repairs.

A journey last week to a number of the vital organs in Iraq's critical but often derelict southern petroleum industry wells, pipelines, pumping stations, ports, and plants for things such as heating fuel underscored how difficult those decisions are likely to be. It showed as well the depths of the industry's distress after decades of neglect, the looting and sabotage that followed the U.S.-led invasion in 2003, and continuing attacks by insurgents.

About $3 billion has been set aside for the Ministry of Oil, the minister, Thamir Ghadhban, said in a recent interview. But the final level of financing depends on revenues, which in turn depend almost entirely on the security situation.

Losses caused by sabotage exceeded $6 billion last year, cutting revenues by nearly a third, Ghadhban said. The pace of attacks has dropped recently in the south but continues unabated in the north.

Saboteurs struck again in the north in late February, setting ablaze a pipeline that funnels oil to Kirkuk.

Iraqi industry minister Hajim Alhousin said that Iraq had signed two contacts with two international companies to prepare a study for the development of three oil fields.

The minister revealed that the first contact is with the British company ECL to develop the northern and southern fields at Alramila that started production back in 1951. The second one with Shell to develop Kirkuk fields, which started producing in the year 1934. The minister also disclosed that the two companies will bear all costs which are estimated at US$2 million.

For his part, Iraqi oil minister Thamer Algadaban confirmed that Iraqi revenues form crude oil reached US$13.4 billion since the fall of Saddam Hussein's regime.

2005 Mena Report (www.menareport.com)

Petrel Resources PLC
04 March 2005


Petrel announces institutional placing


Petrel Resources (AIM: PET), the oil exploration company focused on Iraq and the
Arabian Western Desert, is pleased to announce an institutional placing of
2,440,000 Ordinary Shares at 43p each. Of these shares, 366,000 will be issued
and admitted to AIM on 6 May 2005 and a further 366,000 will be issued and
admitted to AIM on 7 July 2005.


In addition, Petrel has issued 61,000 Ordinary Shares in settlement of
professional fees in respect of the placing.


Accordingly, Petrel has applied for 1,769,000 Ordinary Shares to be admitted to
AIM now and it is expected that admission of these shares, and the commencement
of dealings, will take place on 7 March 2005. It is expected that the balance
of 732,000 shares will be admitted to AIM in two stages as noted above.


The funds will be used for Petrel's ongoing oil field development and
exploration activities in Iraq and Jordan.


Petrel awaits a decision by the Iraqi authorities on two tenders for oil field
service contracts to develop, as a contractor, two separate oil field projects
in Iraq:


a green field site in central Iraq, which has the potential to be
developed as a 100,000 barrel per day oil field


two neighbouring oil fields in southern Iraq. The brown field
facilities have the potential be developed to produce 200,000 barrels daily.


Further tenders will be submitted during 2005. Work is now underway on the
first of these tenders.


Petrel is also pushing ahead with its exploration in the Arabian Western Desert:


Work is concentrated on Block 6 in the relatively unexplored
Paleozoic Basin of Western Iraq. Work is underway on mapping, seismic
interpretation, satellite imaging and geological sampling. Four major
prospects have been identified from seismic lines in Block 6. This
combination of huge structures in an area of proven source rock and reservoir
sands makes Block 6 the most promising of the desert blocks


Petrel has also signed a Memorandum of Understanding with the
Jordanian government's Natural Resources Authority to re-process seismic and
conduct other exploration work on the 8,750 km2 East Safawi Block close to the
Iraq border. Petrel has the right to opt for a Production Sharing Agreement.


Contacts:

this should do the PET sp the world of good

Insititual placing and now director options, all the signs are pointing towards good news on the way, a new oil minister announced, I'm sticking with my prediction of good news coming from Syria or Saudi, to tie in with the regional play around block 6, also as the parliament is convening soon, decisions on the tenders must be due, either this month or next (that decision of course over hanging from about last October mind you)

Good luck all

Petrel Resources PLC
07 March 2005

Petrel Resources plc announces that at a board meeting of the Company held on 4
March 2005, the following directors were granted options at an exercise price of
43 pence per share:


Director Options granted

David Horgan 150,000
John Teeling 100,000
James Finn 100,000



All of the options are exercisable at any time before 4 March 2012.




This information is provided by RNS
The company news service from the London Stock Exchange




__________________
Good Luck All

Tokyo

Petrel Resources PLC
10 March 2005

Petrel Resources announces that it received confirmation on 10 March 2005 that
funds managed by Gartmore Investment Management plc are now interested in
3,252,373 ordinary shares in the Company, representing approximately 5.29% of
the issued share capital of the Company.


This information is provided by RNS

Hi all,
I got back in today, couldnt resist it. Good to see you toyko.

wilbs

I'm in today. Just have afeeling that good news is not far away and we know that this can race ahead. Fingers crossed.

Oil ministry to sign contracts soon (17/03/05)

--------------------------------------------------------------------------------

Well acquainted sources said that Iraq's Ministry of Oil is on the verge of signing new contracts with global companies to upgrade the volume of Iraqi crude oil production into four millions barrels per day once Iraq's new government has been formed.



The ministry is to sign new contracts
The source added that stated aim of the ministry stipulates promoting oil fields and increasing investment depending on updated world technology. They indicated that the plan includes realising six millions barrels daily once financial allocations are available.
In other news, Iraq's Ministry of Labour and Social Affairs has denied reports by TV channels and newspapers that some 130,000 Iraqi dinars has been allocated monthly for unemployed registrants at labour and vocational training centres.

Engineer Layla Abdul Lateef Muhammed, the minister of labour and social affairs refuted the claims, citing them as groundless. She stressed the necessity for accuracy and faithfulness in circulating news as opposed to fabricating stories and toying with people's emotions.

Source: Iraq Directory

Iraq minister missing, aides kidnapped
AFX


BAGHDAD (AFX) - Iraqi interim minister of state for provincial affairs Wael Abdulateef was missing Sunday after a convoy he was travelling in was attacked south of Baghdad and 10 of his guards were kidnapped, an interior ministry official said.

Abdulateef was on his way back to Baghdad from his native southern city of Basra when the convoy was attacked at about 4:30 pm (1330 GMT) near the town of Al-Wahda, 30 kilometres (20 miles) southeast of the capital, added the official.

'We have no news of the minister,' he said.

newsdesk@afxnews.com

interesting broker to broker trades just gone through, couple these with the large T trades we have seen of late through JEFF, and we could be in for something interesting soon

IS PET ASLEEP,ANY NEWS OF ANYTHING

Feel a long mybe on the cards soon if it goes under 40 for me.

Iraqi Ministry of Oil goes to Shiite alliance (09/04/05)

I got this from the Iraq Development Program but do not have access to the full article


patsy

Iraqi Ministry of Oil goes to Shiite alliance (09/04/05)

--------------------------------------------------------------------------------

During a weekend briefing regarding who will be assigned the Iraqi Ministry of Oil, National Security Advisor Muvafiq Al-Rubai stated that three new ministries will be added to the government.
Rubai confirmed that Ibrahim Bahr Al-Umum of the Shiite Alliance will be assigned to the Ministry of Oil, which has caused heated debate between the Kurdish and Shiite alliances.



The position of oil minister will go to a member of the Shiite alliance
Umum said that Hosyar Zabari of the Kurdish Alliance will continue in his office in the Foreign Ministry and that there are three candidates for the Prime Ministry: Shiite politician Ahmed Celebi, Kurdish politician Berham Salih and Turkmen deputy Songul Cabuk.
Ulum also revealed the names of the three new ministries as internal security, tourism and foreign relations. Therefore, the number of ministries of the Ibrahim Jaafari government will total 33.

Source: Zaman

How will this influence Petrel? Does it still have a running chance with so many top positions changing?

Well its here,time for a long.

guys you only have to look at the 1st 2 tenders, both have gone to the companies that had previously worked on them, if this pattern holds true, then S&L should be awarded to Petrel, as they of course had worked on that field.

Back in just over 37.

Good luck to the PET holders.

I hope it works out for you all.

I will only watch this time.

sww