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

107606 - hang in there buddy, if this really is a risk sharing agreement, then your shares are gonna be worth a lot more in November, when they sign the contract...well that is still up in the air, in light of this article, and I know a few people have said they have e-mailed this to PET, they will probably now have to comment on it, and if the words "possible risk sharing deal" are mentioned, I would think it will be going back to 150 very soon before any confirmed contract news. Look back through old PET news and you'll see DH said that if given the oppurtunity they would elict for Risk sharing agreements, the Japanese firm are after crude, it all seems to come together. We could be getting some sort of news very soon


All IMHO

Tokyo

Ill eat rocks and soil till then...

evry sympathy 107606..You should do whats right for your position.If you have a lot invested it could be your salvation or your downfall. Been where you are , got the tee shirt. Good Luck

I havent got a huge investment, just enough to make a tidy return when the time comes, but not too much that I will die in abject poverty if the unthinkable happens! Just need another job...

willfagg were you the one who knows Diss?

another post from the other side, just posted but it sort of mirrors what I said earlier(but in more detail), hope this helps 107606.

1: Head of the State Company for Oil Projects, Ahmed al-Shammaa, said two upstream contracts for the development of the Khormala Dome, in northern Iraq near Kirkuk, and Hemrin, northeast of Baghdad, were discussed in Amman this week with international energy firms.

= More than 1 firm. (if quote is correct).

2: "In light of these discussions, companies will submit new offers concerning the development of the two fields and we are expected to sign contracts next month,"

= Why submit new offers? SEEMS NEW TERMS AGREED..IF HAPPY SIGN REVISED TERMS THAT HAVE COME FROM DISCUSSION!
= Risk sharing available so cut down your capital costs you are charging us.
= New terms agreed in principle ie re risk sharing. Go back to your lawyers, backers and company heads and agree if acceptable.

Iraq hasn't the time to mess about because they need new oil on stream and they need the majors in. Likewise you don't have a look at the tenders and say hey you are too expensive go away and give us a new price AT THIS LATE STAGE.

Horgan went to Iraq determined to seek Risk sharing agreements as the better option. He had a Japanese investment house with $250m backing in exchange for crude. Are the Iraqis going to turn a way crucial outside investment when last week Allawi said the best way forward was for risk sharing agreements. The Japs and others have probably said look more big investment would follow!

The majors aren't going to come in for crumbs or a pittance and Iraq will need to show that, in what they hand Pet or the other company (if there is one). It's likely more than one company because with the insurgency risk Iraq won't put all it's eggs in one basket.

The above is why no RNS from Pet and I think they are more than happy at this stage.

Cheers Tokyo, you're a good man (I think...)!

Cheers 107606 - I try to be, but we are all gonna need balls of steel to hold on to this, as the MM's are now gonna try every trick in the book to get your shares, if a risk sharing agreement is truly on the table, then PET are going to be targeted by the big boys later.

IMHO

Tokyo

Tokyo

You comment above that the implication of discussion with 'international energy companies' implied more than one firm - but it could be read as a consortium of firms, rather than competitive bids. If there were still competitive bids it is difficult to see how the whole matter could be resolved within a month. To me, one month is only time to finalise contracts with a preferred bidder. Would not Petrel be accompanied by risk-sharing partners last week?

Eric

Hey Eric - Petrel reported a while ago that they were in a joint venture on another project with a canadian oil company (can't remember the name, perhaps dexter can remember it), they have also stated " we concluded an agreement with the Jordanian NRA to use their core samples for various modern techniques including fission-track analysis. The results will be shared with both Jordanian and Iraqi authorities."

perhaps the three together? Until they issue an RNS there is very little proof around, but we can of course speculate.

Tokyo

The delay created by resubmission of bids will only fuel more uncertainty short term but the risk sharing part longer term is a clear opportunity. Also bear in mind that a lot can happen in a month, especially in Iraq and I think that the sp will be impacted by a drift downwards on this news and the speculation (re. competition)it will inevitably create. For those of us into PET early, holding on for the big prize still seems like the right decision but we could be in for a very bumpy ride, especially in the absence of an interim RNS from PET. A positive statement to help calm the nerves would be more than welcome.

Eric/Tokyo: I do believe that if PET were out of the bidding process we would by now have had an RNS. At this stage and I agree 100% with Eric on this, there is only time to finalise contracts if they plan to announce in November. So it certainly looks as though PET have something...we just do not know what at this stage. Patience is called for and I do believe we can expect very good news in due course. John

Eric - here is the name of the company and the web site address

Heritage Oil
www.heritageoilcorp.com

I think the best option is to close ones eyes and hope for the best, watching the price drop and rise will unnerve even the most steely of us!

guys...as the Iraq Oil Ministry said contracts will be signed next month, that in itself is a positive sign as I believe that is the first time they have actually made a statement as positive as that. All other statements have come from websites or news releases without actually putting the name of the Iraq Oil Ministry against them...correct me if I am wrong.

Another positive is that next month is just a couple of days away.

Sure we do not enjoy reading todays statement , but it could be taken as news in the right direction.

be lucky piston broke

This stock did the same last week! the tree shaking will continue as long as there is no RNS and conjecture. I an holding and taking each down turn as a sign to add, i am as so many are, waiting with baited breath.

definately over sold today! mostly on low volume too!!!!!!!!!!!

Tokyo et al

My argument for it being down to a single tender was based partly on the time factor, as per johngtudor, and partly on their preferred risk-sharing approach. If they are sharing the risk, and therefore the revenue and profits, then I would have thought Petrel would have fielded the team last week in Iraq. I can't recall any post that implies that but Horgan seems a shrewd cookie and he is going to play his strongest hand.

Eric

Evening all
Regarding Tokyo`s post from Dow Jones newswire,although it said "companies",the article only mentioned PET by name, although the ministry spokesman declined to name anyone. The thing i find strange is that no news co. seems to know who the other bidders are, nothing can be found on the web re; Dome and Everasia, and pet have told me that they officially don`t know who the competition is.So i think it could be a case of PET and possibly Heritage oil going in together IMO only.
goodnight ,
Dexter

Hi all.

107606

It was me, wilbs who lives and went to school in Diss.

Does anyone think that maybe Panandean maybe involves with pet in Iraq as they said in their AGM that they had interests in the middle east? Block 6?

Maybe im barking up the wrong tree?

Any thoughts?

wilbs