http://www.gulfkeystone.com/ The firms exploration programme in Algeria is going well and "the shares look good value", say the Investors Chronicle. Your comments please. goal.

as has been said before, should it drop that far, around 70p would be a good place to buy

agreed with you cynic.
at or near the 200 dma. however that daily top formation, and that is what it is,suggests a fall to 60sh, and from there who knows what? just my own observations and opinions as always.
please all dyor and make up your own minds. dont let me influence anyone.
regards
jkd

"Gulf Keystone Petroleum Ltd. (AIM: GKP, ADR: GFKSY), announces that it has today drawn down 900,000 of its 30 million Standby Equity Distribution Agreement ("SEDA") with YA Global Master SPV Ltd ('YA'), the signing of which was announced by Gulf Keystone on the 7th May 2009.

This draw down of funds is the seventh under the SEDA and brings to 17,960,000 the amount of funds drawn down to date. The remaining undrawn funds under the SEDA facility are 12,040,000.

Under the terms of the SEDA, the Company has allotted, conditional on admission, 1,181,009 new common shares of $0.01 each to YA. These shares will rank pari passu in all respects with existing issued common shares in the Company. The new common shares have been issued at approximately 76.21 pence per share

The funds will be used to advance the development of Gulf Keystone's projects in Kurdistan.

Application will be made to the London Stock Exchange for 1,181,009 new common shares of $0.01 each to be admitted to trading on AIM. It is expected that the admission will become effective and that trading will commence on 12th March 2010."

10% rise all of a sudden!????

Harry - maybe this :-

Gulf Keystone reveals Kurdistan oil find

Midas touch again for this company !......another great oi find : 3200 barrels of oil per day.....and more drilling to come....Kurdistan is the place to be !.

Have to say : 16.13....quarter of an hour before close,...funny time to update the market.

i know for sure there are some very big projects scheduled for both kurdistan and algeria over the next few months, but don't know the locations

This should go further tomorrow morning Cynic....haven't reached the bottom of the well yet.....Heritage oil should be updating the market soon and there is also Sterling Energy...

PS : check out vastexploration.com : kurdistan oil maps.

Only 20% interest in this one, guys. Let's not get too carried away!

No, but 2 wells out of two....it gives confidence.

Harry 20% of 200/250mbo is not to be sneezed at and they've not reached total depth yet?
cyril

Perhaps the reason for ho;ding back on share plavement?

After extensive recent discussions with interested parties,GKP has negotiated with the Kurdistan Regional Government (KRG) toreorganise the Company's interest in Gulf Keystone Petroleum International (GKPI) following a material default by ETAMIC.

The reorganisation and transactions detailed are subject to KRG approval and signature and therefore the terms may change. Discussions regarding the proposed re-organisation remain ongoing. The main components of the proposed re-organisation and transaction as they currently stand are:



The 50% shareholding of GKPI held by ETAMIC reverts to GKP. GKPI will then be a 100%
subsidiary of GKP.

Following default by ETAMIC, GKPI will pay $40 million to the KRG which is an Infrastructure Support Payment due and owing by ETAMIC ($10 million of which is payable within 30 days of the signature of an Infrastructure Support Payment Agreement by the KRG and the remaining $30 million of which is payable within 90 days of signature), in return for GKPI maintaining its 80% interest in Sheikh Adi and 40% interest in Ber Bahr.

GKP will make a termination payment of $12 million to ETAMIC in full and final settlement of all of their rights which is payable within 30 days of completion by GKP of a significant fundraising after Q1 2010.

The KRG shall also be entitled to receive an Additional Infrastructure Support Payment to be
allocated to social programs, amounting to 40% of GKPI's entitlement to Profit Petroleum derived from GKPI's share of profits in all four production sharing contracts (PSC's).



The net effect of the total expenditure of $52 million is that GKP's net share in each of the four PSC's will be as follows:





PSC


Old (%)
Old Fully Diluted (%)


New (%)
New Fully Diluted (%)(3)

Shaikan
37.5
25.5 (1)
75
51 (1)

Sheikh Adi
40
40
80
80

Ber Bahr
20
20
40
40

Akri Bijeel
10
6.4 (2)
20
12.8 (2)




(1) Minimum GKPI holding subject to Government back-in right of 20% and Third Party back-in right of 15% if exercised in full.

(2) Minimum GKPI holding subject to Government back-in right of 20% and Third Party back-in right of 20% if exercised in full.

(3) Subject to KRG 40% share of GKPI's profit petroleum.



The reorganisation and transactions detailed above are subject to KRG approval and signature and therefore the terms may materially change. The Company will update the market at the appropriate time when final agreements have been signed by all relevant parties. The need for additional funding is recognised and the Company is considering its funding strategy in this regard.
cyril

Fund raising, we all knew that was coming....but much bigger ownership which I think is good....

sp slipping market doesn't like this news.

Two differing points of view from the FT oil sector watchers:
*"Basically ETAMIC, GKPs partner in the KRG, defaulted and as a result ETAMIC is becoming a 100% subsidiary of GKP. As a result, GKP has to pay $40m to the KRG government and $12m to ETAMIC as a termination payment, payable within 30 days of completion by GKP of a significant fundraising after Q1/10.
As this wasnt enough, the KRG will also be entitled to receive and additional Infrastructure Support Payment amounting to 40% of GKPs entitlement to profit oil. They also say twice in the press release that the KRG has not yet agreed to the terms change and these terms may materially change.
Bottom line: on top of the capex capital GKP does not have, they now have to come up with $52m dilution here we come SELL"

*"The positive drilling update at Akri Bijeel comes as little surprise given the share price move of +20% over the past week. It is still too early in the programme to adjust pre-drill recoverable resource estimates however, the fact that that the well appears not to have tested the shallower Cretaceous target zone (this held 17% of the Oil in Place of the recent Shaikan discovery) could well have a negative impact on the overall recoverable resources.

VALUATION AND RECOMMENDATION Gulf Keystones fully diluted interest in the Akri Bijeel well is just 6.4%. (The press release refers to 20% interest however, this is 20% held by GKPI a 50/50 venture between Gulf Keystone and the little known ETMAIC private equity company and pre-any KRG back-in rights) Based upon our unrisked pre-drill resource estimate of 150 mmbbls (gross) we believe that Akri Bijeel is worth just 3.5p/share to Gulf Keystones NAV."

Could be a very good move by GKP board. They have shed their mysterious partner which the city boys did not approve of and they have sold Algerian assets so money coming into the pot. This clears the decks for a T/Over or a new buy in partner--Hunt oil or MOL for instance. It won't be long before the jungle drums start up!! imo**

Business Financial Newswire
"Gulf Keystone Petroleum has raised 16m through the placing of 20,915,034 new common shares at 76.5p apiece with existing and new institutional shareholders.

The proceeds will be used towards funding its ongoing activities in the Kurdistan region of Iraq and the company says it continues to review further sources of funding to meet its ongoing capital requirements.

Gulf Keystone plans to start the acquisition of 3D seismic over the Shaikan structure during the first quarter of 2010.

The work will be conducted by Terraseis.

It said the acquisition of 3D seismic over the Sheikh Adi structure was planned in the event of a successful Sheikh Adi exploration well and following on from the seismic programme on Shaikan."

HOIL is down...this is breaking out....one taking over the other ?.