The hcl looks likely to come into operation over the next few months, will this improve the share price or will we have to wait for an actual PSA before any increase takes place? It looks like the UK and the US will wait until the HCL is in place first before they decide to start the pull out. I have also heard news that the contracts signed during the Saddam regime are now definitely going to be honoured. I`m not sure if this includes PET as there seems to be some doubt as to whether they qualify as their agreement wasn`t signed off by Saddam. A Swiss company has announced that they expect to be producing 200,000 barrels/pd by 2009 from their PSA with the Kurds. They have struck oil first time and have five more drills left to complete their programme. Nice if PET were in that position! Our time will come though, just a matter of hanging on in there!!

Annual results out next week!!

Watch this baby roll, following Teeling`s statement!

(END) Dow Jones Newswires
06-12-070400ET


Iraqi Oil Workers Call Off Open-Ended Strike In South -Union



AMMAN -(Dow Jones)- Officials of the southern oil workers' union have called off an open-ended strike designed to halt Iraq's oil exports of 1.6 million barrels a day after the central government promised to meet their demands for better wages and working conditions, the head of the union said Tuesday.

"We met Monday with Prime Minister Nouri al-Maliki's envoy, the minister of Justice Safaaeddine al-Safi who agreed to meet our demands," Hassan Jumaa told Dow Jones Newswires by telephone from Basra.

The workers were planning to stage the all-out strike Monday and threatened to halt the country's oil production and exports from southern oil fields which produce around 2.1 million barrels a day, the bulk of the country's crude oil output.

The Iraqi economy, already devastated by war and civil violence, depends mainly on the country's oil exports from the south.

"The two sides agreed to halt the strike and to use dialogue in dealings to resolve the outstanding issues," Jumaa, head of the Iraqi Federation of Oil Unions, or IFOU, said.

Last week's oil workers ended two-day walkout in the south, that paralyzed oil and gas supplies to many areas, including Baghdad. The strike was postponed until Monday to allow further negotiations regarding the union's 16 demands. They include a pay rise, better health care and working conditions, improved housing as well as regular bonus payments.

The workers' move sparked Maliki's government to issue a statement last week warning an "iron fist" would be used against "outlaws" trying to inflict damage to state facilities. The government also threatened to issue arrest warrants against union leaders if the strike had continued.

The IFOU, an umbrella group representing more than 26,000 workers, has threatened to strike since early May over working conditions.

-By Hassan Hafidh, contributing to Dow Jones Newswires; + 962 (0) 777 612 111; hafidh8@hotmail.com


(END) Dow Jones Newswires
06-12-070400ET

Iraq gov''t proceeds with key laws, reconciliation efforts -- Maliki

Politics 6/12/2007 1:00:00 PM


Iraqi Prime Minister Nouri Al-Maliki met with the US Deputy Secretary of State John Negroponte in his office in Baghdad on Tuesday

BAGHDAD, June 12 (KUNA) -- Iraq's government is carrying on with enacting important laws for welfare of the Iraqi people such as the oil and gas law, as well as boosting national reconciliation, Prime Minister Nouri Al-Maliki said.
Al-Maliki's statement was made on Tuesday during talks in his office in Baghdad with the US Deputy Secretary of State John Negroponte who arrived earlier in the day on a previously unannounced visit.
"The (Iraqi) national unity government proceeds with enacting new laws that serve the present and future interests of the Iraqi people, such as the laws on oil and gas, accountability and justice and provinces," the Premier told the UN official.
He added that his government was "boosting efforts for reconciliation, regardless of the regional interference and conspiracies impeding the political process" in the country.
"Several missions are ahead topped with developing our security bodies and armed forces to combat the terrorist al-Qaeda, Saddamists and militants, and extend the rule of law nationwide," Al-Maliki noted.
The Iraqi Premier referred to "the success by the national unity government overcoming the biggest danger, sectarian war, through the national reconciliation initiative supported by all the Iraqi people and political powers." Al-Maliki expressed appreciation the US support to the political process and reconstruction in Iraq.
Negroponte renewed the US backing to the Iraqi people and government to achieve security and stability in the face of challenges and external interference The surprise visit by the senior American official came a day after Britain's future prime minister Gordon Brown visited the country and held talks with the local leaders urging them to press ahead with measures to restore order and achieve political reforms.(end)

Energy Compass,Vol. XVIII, No. 25, June 22, 2007
IRAQ www.energyintel.com

Sharing the Wealth

After weeks of haggling and tough bargaining, Iraqs central
government and the northern Kurdish region have agreed a
draft revenue-sharing law opening the way for parliaments
approval of a hydrocarbon law regulating international investments
in Iraqi oil and gas fields. The draft revenue law is a
compromise that ensures the Kurds get an adequate and timely
share of state revenues, but keeps the collection and distribution
of those funds in the hands of the government in Baghdad,
specifically the Central Bank of Iraq (CBI).
The draft is balanced, with checks and balances. It has a
mechanism that insures the flow of federal revenue levied
throughout the country without interruption, while at the same
time keeping consolidated data of revenues and expenditures
for the whole country, Thamer al-Ghadban, former oil minister
and one of the draft laws main authors, told Energy
Compass Thursday.
The draft stipulates that all state funds from oil and gas
should be deposited in a financial resources fund account at the
CBI. This embraces oil and gas sales across the country, as well
as royalties, production bonuses, direct and indirect taxes, and
any other additional revenues resulting from oil and gas contracts
with national and international companies, including
those in the Kurdish region. Currently, all oil income is deposited
at a Development Fund for Iraq (DFI) account at the Federal
Reserve Bank of New York, and is monitored and audited by
the UN-appointed International Advisory and Monitoring
Board. Iraq exports about 1.6 million barrels per day, compared
with more than 2 million b/d before the 2003 war.

Compass Points

SIGNIFICANCE: The government of Iraqi Prime Minister
Nouri al-Maliki is racing to deliver a key package, including
hydrocarbon and revenue-sharing laws, to ensure
Washingtons continued support. The Kurds have been
using the situation to their advantage, extracting maximum
concessions for financial autonomy.
CONNECTION: The division of oil revenues lays the foundations
for future relations between Baghdad and the
regions. By maintaining centralized management, supporters
of a unified Iraq hope the framework will safeguard
national cohesion, although, on its own, the law does little
to help the current security and political crisis.
NEXT: The draft revenue-sharing law should be endorsed by
cabinet next week, then sent to parliament with the hydrocarbon
law and other related bills. Debate is expected to be
lengthy. The Kurds will next turn their attention to Kirkuk,
where they are pushing for a referendum on the future of
the northern oil province late this year.

Petrel Resources says Iraq oil projects on track despite turmoil UPDATE
Date : 28/06/2007 @ 14:18
Source : TFN
Stock : Petrel Resources (PET)
Quote : 66.0 3.0 (4.76%) @ 13:19

Petrel Resources says Iraq oil projects on track despite turmoil UPDATE


(Adds interview with managing director)
LONDON (Thomson Financial) - Petrel Resources PLC said its oil fields in
southern Iraq are on track to be on stream by 2010, despite mounting violence
and unrest in the country.
The fields -- Subba and Luhais -- are capable of pumping up to 240,000
barrels a day, said Petrel, the contractor for the 197 mln usd project.
Petrel said it continues to search for more projects in war-torn Iraq and is
looking forward to the passage of the Hydrocarbon Law, which it believes will
open up "significant opportunities" for the company.
"We have worked in Iraq for eight years and understand the potential and the
need for oil development in the country," said chairman John Teeling.
"The imminent passing of the Hydrocarbon Law will offer numerous development
opportunities. With the backing of our partner, the Japanese giant Itochu Corp,
we hope to participate in these developments," he said.
The long-awaited Hydrocarbon Law, expected to be passed this year, aims to
open up Iraq's vast but largely undeveloped oil industry to foreign investors.
In 2006 Petrel and Itochu signed a strategic alliance agreement covering
future exploration work in Iraq.
Itochu assisted Petrel in the exploration and technical study of the Merjan
field. The technical and geological review of the field has been completed and
the results submitted to the Iraqi authorities.
Petrel's managing director David Horgan told Thomson Financial News in an
interview that the group is unperturbed by the political uncertainty that has
prevailed after the fall of Saddam Hussein in 2003.
"We're not worried about politics in Iraq. We've worked with the fifth
government in Iraq, (plus) four years under Saddam," he said.
Petrel's projects have not been affected by the escalating insurgency,
Horgan said, describing the southern part as a "much safer" place than the
northern and central areas.
"We're happy to stay in Iraq over the long term. We don't see any reason why
things won't work out in the end," he stressed.
The group found Iraqi oil officials "very honourable" and are only hoping to
adopt the "best practice" standards in order to attract more foreign capital,
said Horgan.
Iraq's proven oil reserves stand at about 115 bln barrels, and are the
world's third largest after those of Saudi Arabia and Iran. The cost of
producing oil in the country, estimated at below 2 usd a barrel, is probably the
lowest in the world, according to industry experts.
Several companies have sought alliances with Petrel, Horgan said, noting
that Itochu will be top of its list should it decide to get a partner in future
contracts, including Block 6.
The 10,000 square kilometre Block 6, located in the western desert, is
believed to be holding around 3-5 bln barrels of oil.
Petrel gave an update on its Iraqi projects after it unveiled a pretax loss
of 415,570 eur in 2006, against a loss of 481,535 eur previously. It has yet to
make revenues.
At 1.41 pm, Petrel shares were unchanged at 61 pence.



monicca.egoy@thomson.com
mbe/lce

COPYRIGHT

Copyright AFX News Limited 2007. All rights reserved.
The copying, republication or redistribution of AFX News Content, including by
framing or similar means, is expressly prohibited without the prior written
consent of AFX News.

Kurdish deals need changes
Dubai: 6 hours and 40 minutes ago
Iraq's oil minister said oil contracts concluded by the Kurdish regional government must be amended to conform with a controversial new draft oil law approved by the Baghdad cabinet.

'There is a clear provision in the draft law stating that the contracts concluded either by the former regime (of Saddam Hussein) or in Kurdistan must be reviewed and amended in keeping with the new oil and gas law,' Hussein Shahristani told the Al Arabiya news channel.

He said that once reviewed, the contracts must be put to a federal oil and gas council envisaged in the legislation 'or to the council's consultancy office.

'If they (the deals) conform with the provisions of the law, they will be approved. If they violate them they will have to be amended to become compatible with the law,' Shahristani said.

His remarks appeared to represent a climbdown from a warning he issued in May that any oil contracts signed by northern Iraq's Kurdish regional government before the new law is passed would be considered invalid.

They came amid a chorus of Sunni Arab, Kurdish and Shiite opposition to the draft oil law backed by Washington, an amended version of which was approved by the Iraqi cabinet and sent to parliament.

The proposed legislation has sparked a heated debate among Iraq's warring communities over provisions opening the oil sector to foreign investors and allowing regional authorities to negotiate contracts.

The Kurds have demanded that the law accommodate contracts they have already signed with foreign companies to exploit oil in northern Iraq.

Iraq has proven reserves of some 115 billion barrels, but since the US-led invasion which toppled Saddam Hussein in 2003 production has tumbled from 3.5 million barrels per day to around two million.

http://www.tradearabia.com/news/newsdetails.asp?Sn=OGN&artid=126767

Read posts 8 & 9 and consider:

" Ratification of Petrel's concessionary rights over Block 6 awaits the
passing of the country's new hydrocarbon laws. "

Gartmore sale caused overhang of shares and provided golden opportunity to buy @ 61p.Overhang cleared last week and sp on the move north again.Huge potential with known oil reserves.It has been a long wait for passing HCL needed before awards of contracts however 2007 looks to be the year for PET.Worth placing PET on your watch list.aimvho.dyor.

Anyone who invests in any share must accept element risk be it low to high.Speculating to accumulate.If Petrel were trading @ 80p would say risks priced in until passing of HCL. Preferring to be in rather than risk not holding as and when any news breaks.In view of huge potential personally see these levels low risk high reward.Below are some of the reasons why have invested in PET buying shares 60p to 70p.Preferring to be in rather than risk not holding. aimvho.dyor.

PET has the advantage of being in & working with "Iraqis" and very closely with Ministry of Oil over eight years.

The IFs and WHENs

-HCL passed?
-S&L converted to PSA?
-PSAs awarded: Block 6? Merjan? Halfya? Iraq/Iran border?
-PET becomes an oil producer?
-Booking of oil reserves iro of above 3-5 billions? 750 millions? 10
billions?.....???
-PETREL given time becomes the next Tullow,Cairn Energy with sp to match?
- One of majors/giants makes bid for PET-how much sp?

Added to potential of PET awarded any or all of the above, PET has agreed PSA at East Safawi,Jordan.The best bit is there are 'known' oil reserves in Iraq.

Finals empathised PET partnership with Japanese giant ITOCHU.

John Teeling, Executive Chairman of Petrel Resources, Commented:

"The imminent passing of the Hydrocarbon Law will offer numerous development
opportunities. With the backing of our partner, the Japanese giant ITOCHU, we
hope to participate in these developments, delivering considerable value to our
shareholders"
.................

"Petrel will aggressively expand and deepen its exploration and development activities in Iraq as quickly as possible."

David Horgan

dogico - 8 Jul'07 - 21:43 - 83555 of 83578


No major changes made to oil draft law accepted by Kurdistan government -spokesman

Arbil - Voices of Iraq
Sunday , 08 /07 /2007 Time 11:39:31




Arbil, Jul 8, (VOI)- The spokesman for the Iraqi government Ali al-Dabbagh said on Sunday no major changes were made to the draft law ratified last week by the Iraqi cabinet as he handed over a copy of the law to the Kurdistan government, while the Kurdish House Speaker voiced support to a possible reshuffle in the central government.




"A copy of the ratified oil law was handed over to Kurdistan government. The amendments were only concerning legal wording and not affecting the general context of the law. It never touched on central issues in the law," Al-Dabbagh told the independent news agency Voices of Iraq (VOI) after a meeting with Kurdistan Parliament Speaker Adnan al-Mufti.
The Iraqi government spokesman added "The Kurdish officials did not reject the law and they are expected to announce their stand vis-vis the law."
Iraqi cabinet ratified on Tuesday the draft oil and gas law after some amendments were made by the cabinet legal committee to the draft before sending it to the parliament, leading Iraq' Kurdistan prime minister Negervan al-Barazani to talk about a possible Kurdish rejection of the law if major changes were introduced to the initial draft that the Kurds accepted.
Al-Dabbagh ruled out a possible rejection of the law by the parliamentary blocs, saying "I do not think that the law will be rejected by parliamentary blocs as it has many positive points making it one of the most progressive laws badly needed for the economy of Iraq."

11% rise and very quiet here.
2517

A good days work. Do we have news soon? It could be HCL nearing agreement. When it does its going to blow big time.

Yippee!
2517

Does anyone know why this has moved today? Hope this isn't a false dawn I could do with some good news!

Heavy buying on German Stock Exchange two consequetive mondays & and of course here in the UK.

doing the obvious and watching for some time now having brought above 100p and again at 62p..any calculated opinions that things will turn out positive this time with PET

watcher

Just a matter of time watcher

I never thought it would happen, but it looks like it will.

I wont come in, but I wish holders well.

The Kurds are issuing thier own 'Oil Laws' in their parliament today and the sp moving fast on this news, breakout at last for PET holders.