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

from sharecrazy website................

How will these shares affect pet on wednesday
Petrel Resources PLC
01 October 2004


Petrel Resources plc announces that it has applied to have an additional 700,000
ordinary shares of 0.0125 each listed on the Alternative Investment Market,
pursuant to the exercise of options. Admission is expected to take place on
Wednesday 6 October 2004.

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

rkausar - 04 Oct'04 - 17:11 - 358 of 365

Tokyo, where are you when we need you, give some advise, should we sell or should we keep????


Sorry Rkausar - had an early night last night, absolutely knackered from a wild weekend, I think your earlier posting of holding until the news is released is spot on!!!You are now gonna have to expect constant tree shakes from the MM's, just look back at the candlestick charts from last week (moneyam's charting function), you can see all the dips where the MM's weed out the frightened investors, then we see a sudden spike, just think how you would feel if you fell for the tree shake yesterday @ 118 pence only to see it rebound yet again. Although don't get me wrong there is NOTHING WRONG with a bit of profit taking, I know alot of people sold half of their holdings yesterday and are playing for fun with the other half (I was not one of them, but I like yourself am exteremly in profit having first got in at 31 pence, my average is around 64 though)

My advice to you all is do what you are comfortable with, if you need to sell a bit of your holding to cover yourself then do so, especially if you paid over 1 pound, in my case I so believe that they will get at least one possibily two that I am holding my entire holdings until contract new then reassessing my position after that, but if it looks as if Iraq is setting up PET to become a major oil player in Iraq then I'll be holding these for quite a while. I'll post a fantastic posting from adfvn on here next from bahouse (done with his permission), it outlines why PET could become a major power in Iraq, and really shows you why PET maybe a once in a lifetime investing oppurtunity.


Goodluck all

Tokyo


p.s do we have any investors from the south of England on here?

This is one of the best posts I have read in along time concerning PET, enjoy -

The second part of my post last night and why we aint seen nothing yet.

Now the Iraqi, the Arab and the Muslim world hates the American government and, after this second Iraq war, the British governments, but not the American or British people. They make a very clear distinction between these governments and their people. Anyone who lived in the middle east can confirm this. If you need proof, just read the Observer interview 2 weeks ago with one of the leaders of the Iraqi insurgency groups. This leader says he knows the British and the American people are good people, but that he was fighting the Americans for what they have done to his country. More relevant to my argument (see below), this same fighter says he first supported the American toppling of Sadam, but turned against them when he saw the deliberate destruction of his country.

While almost all Iraqis are happy to see the back of Sadam, equally almost all Iraqis want to see the back of the Americans and their allies. They know America is in Iraq to grab the oil and not spread democracy. They know too Sadam was put in control of Iraq by the CIA. Even Prime Minister Allawi knows that, when sadam killed many communist-baathist parliamentarian like himself, he was again helped by the CIA. Allawi was lucky to have escaped to Britain 26 years ago. And much luckier to be a live after a Sadam killer left him for dead in his house in London.

They know too that America was behind Sadam invasion of Iran to stop Khomeini Islamic revolution spreading to the rest of the middle east; and the ensuing 8 years of a disastrous and senseless war, as far as the Iraqis are concerned.

They also know America encouraged Iraqis to rise up against Sadam after the 1st Gulf war only, to let Sadam exact revenge on thousands of them while the Americans sat idle nearby in the No-fly Zone. They know too, that when Sadam gazed the Iranians soldiers in Iraq Kurdish villages, killing thousands innocent Kurdish people in the process, it was America who vetoed the UN resolution condemning such barbaric acts.

They know too that the same Ramsfield who declared this last war on Iraq, is Ramsfield who flew to Iraq as Regans special envoy to reassure Sadam of Americas support and its vetoing of the said UN resolution; and to sell him more chemicals weapons in return for contracts for the likes of Halliburtons.

They know too when Sadam was running Iraq with an iron fist, the US administration said we know he is bastard but at least he is our bastard.

And the biggest crime of all the Iraqis will not forget for a very long time to come is the 12 years sanctions deliberately engineered to destroy Iraq as a state and society on behalf of Israel. 2 western directors responsible for administering the Iraq UN Food for Oil program resigned when they realised what they had been party to was genocide as they called it themdelves.

Before the sanctions, Iraq had become the most advanced and powerful country in the middle eastern after Israel and was, given its wealth, on the brink of surpassing Israel oily country versus $3 billion yearly hands out from the US country. Now you understand why Israel feared Iraq most and had as a documented state policy the destruction of Iraq since the 70s.

In 1990 the UN produced a report ranking Iraq in par with western countries and declaring it no longer a developing country. Iraq standard of living was higher than the best in the western world. As Pets investors I am sure you understand why. A country awash with oil where 8 out of 10 times you drill a hole, oil gushes out. If you are surprised why the western desert, where our cuddly pet, has the huge Block6, has remained unexplored, it is simply because the Iraqis were not in hurry. The oil they were producing was enough to give them a very comfortable life. Now they need to pump out as much oil as they can and as quickly as they can in order to rebuild their shattered country. There in comes Pet.

I am sorry if I have bored you with this and I appreciate people may have different political views. But I believe some understanding of the politics of Iraq (and the middle east in general) may help those who think pet is only about cash contracts or those who think the Americans will just grab all the oil and leave poor pet huddled in a small sandy corner in Iraq. I strongly believe PET is a big beast in the making. And here is my argument:

Now does anyone really think that a people who have suffered so much for so long from the same tormentor (the Americans), as outlined above, will be happy handing this tormentor their oil? Wouldnt they seek to exact revenge, instead ?

The Iraqis are not in a position to take revenge on America by military means. But they will do it, I can assure you, through their oil; and in this case through our Pet and other pets, too. They took revenge on western oil companies who gave them a pitiful 4% and kept to themselves 96% of the profit, by kicking them out of Iraq in 1972 and nationalised Iraqi oil resources.

Pet being Irish and having helped them during their hour of needs, the Iraqis will do their utmost to repay the favour and at the same time hit back at the Americans and their allies . Strategically speaking, it also makes sense. Why have the sole superpower controlling your oil? Wouldnt you have more independence if companies from other countries were involved, thus establishing a balance of power and sometimes using it to your advantage by playing one country against another?

Is the best way of doing that by giving your oil to the biggest oil companies from hostile countries? Or the only way to do that is help small companies from friendly countries grow into giants to serve as bulkhead against the Halliburtons who orders their country president to have a war somewhere in the glob to sell weaponry or grab oil?

I hear people say but the American went to war for oil and have put in control of Iraq their puppet regime who will hand all or most of Iraqi oil to America. First, even the puppet regime depends for its survival and the functioning of the state on the juniors Iraqi government officials, who by the way were all sacked by the Americans in the aftermath of Sadam demise because they were baathist and then..yes youve guessed it... were all brought back, including the notorious secret service El Mukhabarat, because the country just couldnt function without them. It is these junior officials who will exact their revenge on the Americans and they are doing so as I write. In fact the leader of the insurgency group interviewed by the Observer works in one of the Iraqi government ministries. He further states that there are other colleagues in other government departments providing them with vital information. Havent you heard of American trained Iraqis soldiers/police turning against them and joining the resistance to the point where only recently the American authorities dismantled a whole Iraqis military regiment because they suspected them of working for the rebellion. If it wasnt sad, it would be comic.

Now could this or that leader involved in the insurgency, be working in the Iraqi Ministry of Oil?

Granted the answer is No. However, if government officials are risking their lives fighting the American occupation in spite of all the privileges that go with the job, I am sure we can easily imagine what revenge the Iraqis Oil Ministry officials in Ireland today are taking against America as we read this post. No! I am not talking about the signing of the 1st, 2nd or even the 3rd contracts. These are already in the bag, in my view and next mid-week the ball start rolling. Didnt David Horgan say recently that Pet has no other competitor for the 3 tenders? Yet until his announcement, we were in the belief that Pet had 2 other competitors, one Turkish and the other from the UAE. The Iraqis must have dispensed with the other 2 competitors, because you cannot take your revenge on the USA/Halliburtons monsters with a small Turkish pet, a small UAE pet and a small Irish pet, even with their combined strength. You want to rear and groom a small pet so that it grows loyal to you and turn it into a big beastly beast to take your revenge on your tormentor or at least protect you from your tormentor Halliburtons monsters. Because for sure, they will never leave you alone, even if they have to cook stories such as WMD and Al Kaida link, as long as you have oil.

That is why I believe very strongly that Pet will end up with the more lucrative risk-sharing oil revenue arrangement in the not too distant future. Because the iraqis wil want to SEE A small Pet turn into a BIG BEAST for obvious reasons. We might even have some hints to this effect, once the contract(s) regarding the 3 tenders are announced.


As for those who believe that America will prevail and control the Iraqi oil using its awesome might. Why are the Iraqi oil officials in Dublin and not in New York this evening?

More to the point, Britain was the sole superpower controlling the middle east early this century- with France having only Lebanon and Syria and North Africa. Britain lost Iraq through rebellion despite its desperate attempt to hold on to the country; to the extent that even the use of chemical weapons against civilian population did not stop the Iraqis continuing the fight for independence. Britain then installed a puppet king Faisal, who the Iraqis got rid off in no time. Iraqis are very proud and tough people as well as very sophisticated. That is why they will not allow the US government get away with their oil.

I think most of what I said is summed up in David Horgan Investors will make it happen, respecting laws and local sensitivities.. (interims rns 30/09/04)

Pets lovers, WE HAVE A BIG BEAST IN THE MAKING AND SOONER THAN SOME THINK.

NB: I am sorry about this very long post. As an Arab and investor I thought a bit of a local knowledge and an investment perspective seen from local eyes, may help us understand the story unfolding in front of our eyes. And it's a bit SCARY.

WATCH OUT HALLIBURTON!!!! HERE COMES PET!

We're going to see a David & Golliath play once more!

bahouse

Very interesting read with a lot of good points.Thanks,Tokyo
PS.I'm in Cornwall

Hey Sandrew64 - I used to do alot of surfing in Newquay, if you know that area I'm trying to find the name of a big white 5 star hotel on the cliff tops, it is next to Headland Hotel, if you know the name of the hotel please post it as I'm hoping to take the wife and a few friends there for new years...

thanks Tokyo

Dropping like a stone.

Is the euphoria over????

I do not hold, just interested!

Maybe not..........large drop but rising again.

this stock is gonna have intra days drops and rises, it really all depends on whether you believe they will get the contract or not, infact even when it was @ 60 pence the same thing was true

Tokyo

Tokyo - don't know the name of that hotel off the top of my head but will try to find out for you.

thanks sandrew64

tokyo i think the hotel you are looking for is called the Atlantic hope this helps
patsy

Thanx for the advice Tokyo, will hold on til the end!!!

lok at their web site www.atlantichotelnewquay.co.uk

pstsym - yes that is it, thanks alot!!!

this just released, should help the SP today or tomorrow whenever people who subscribe get to read it


Buy Petrel Resources at 121.5p
argues Stewart Dalby of www.oilbarrel.com

In July on Oilbarrel we wrote that there was some unpleasant news coming out of Iraq. The news since then has not got any better. We thought then and now that although there are clearly security problems, and it will take longer to bring the oilfields up to par than was originally envisaged, the oil industry will be revived one way and another. We believed companies like London and Dublin quoted Petrel Resources which have been patiently involved in Iraq since 1998 and could be in the pole position to benefit from any oil deals

We wrote this when the shares were selling at 45p. Since then they have motored up to 121.5p on the back of a belief that Petrel might just pull something off. Well, now it looks as if it might have done just that. The company has recently stated that it has been summoned to the oil ministry in Baghdad for "an urgent and direct discussion to finalise all technical and commercial matters". This is the call Petrel has been waiting for.






The discussions relate to the three tenders submitted by Petrel between April and June of this year for three major oil development projects: The Khurmala Dome, Hamrin and Subba/Luhais oil fields. The three projects are likely to be among the first to be sanctioned for the for development by the Iraqi government because in the words of Petrel chairman, John Teeling: "They are proven, ready to go and all the preliminary work has been done."

The Subba/Luhais project in southern Iraq envisages daily production of 200,000 barrels of oil . It used to produce around 180,000 b/d before going into decline. Khurmala, in the Kirkuk area of northern Iraq and Hamrin in central Iraq, are each targeted to produce in excess of 100,000 barrels of oil per day. The Three oil fields may hold in excess of 2 billion barrels of oil and could be on stream within 24 months.

But this could be just the start . Iraq is known to have 115 billion barrels of oil reserves, second only to Saudi Arabia which is usually credited with 265 billion barrels. But much of Iraq remains under-explored. The whole of the Western Desert is in theory up for grabs. David Horgan, the Managing Director at Petrel says: "There is tremendous opportunity at the Jurassic, for example , which is productive in Saudi Arabia but which has never been produced in Iraq.. That is not because it is not there. There are some big structures on the seismic."

Of course questions of security have still to be worked out. A company of Petrel's size and resources might not realistically expect to get all of all three concessions to itself. There will be farm outs presumably. But 2 billion barrels are a lot of reserves, look at what the discovery of less than this amount by Cairn in India did for that company's share price. Any involvement at all will be company making for Petrel - at 121.5p it is capitalised at just 91 million pounds. The company looks to be ahead of the field as the major s are still standing back from involvement in Iraq. Petrel's shares have come back this morning on profit taking. All they still worth a punt? Definitely.

Key Data

EPIC: PET
Market: AIM & Dublin
NMS: 5,000
Spread: 120-123p
Market Cap: 91 million pounds

Tokyo

Great post from bahouse good to see it from an other angle.
Took profit yesterday @153 will get back in asap. Any views os SIA

MS

Nice info once again.Glad you found the hotel. If you get near Porthleven I'll buy you a drink.

I guess what that drink is would depend on whether we get good news this week!!

Sad but true.

drinks are more than welcome!!!!

Will be back in the UK for about 3 weeks in december, just hope the liver can withstand the punishment, sent a few of my mates my research and they got in @ 52pence, there is already quite a few drinks waiting for me in London & Bournemouth!!!

there is a whole sea of blue buys now ticking up, are people getting to read the oil barrel article - I hope so!!

enjoy the ride guys

Tokyo