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.

You're in !.

As I am a member of the club, here is the Hoodless update from earlier this week ;


Gulf Keystone (GKP, 77.75p, 404.2m)

The company has today conducted a placing of 152.3m new shares amounting to a total of $165m to fund appraisal drilling and seismic studies in its Kurdistan fields. An interim placing was conduced at March at which time the company flagged the larger raise to come. The successful completion of that raise provides the funds to advance the exciting exploration and development programme comprising 3 appraisal wells & an extended well test and production facilities at the Shaikan discovery (which could produce 8,000 -1000 bopd), 1 exploration well at Sheikh Adi & acquisition of further 3D seismic over both licenses. There may also be the potential to increase its % in key concessions with $25m assigned for this purpose. The placing is marginally below the last round at 76.5p but given that this was largely foreshadowed, its successful completion can be welcomed as underpinning the next stage of development & removing a material uncertainty. SPECULATIVE BUY with a price target of 148.5p.

Recommendation: SPECULATIVE BUY

Speculative buy..... and I did, but just a little bit, not too many as the focus is RKH :)

hoodless brennan i have always regarded as a somewhat unfortunate name .... it brings to mind a mistakenly circumcised catholic! ..... they should perhaps change to hoodless bernstein

Right : Shaikan : heavy oil says Chav...I'm all ears : lets have it...

When I have a half hour...I'll check out some of the old rns's and see if this is light, heavy...or what...

"This high energy, light oil discovery is in addition to the 2.0 to 4.0 billion barrels of heavier (22 to 17 degree API gravity) oil previously announced at various levels throughout the shallower Jurassic intervals."







6 October 2009




Gulf Keystone Petroleum Ltd.

("Gulf Keystone" or "the Company")







Shaikan-1 Triassic Discovery






Gulf Keystone Petroleum Ltd. (AIM: GKP) today announces an oil discovery in the upper portions of the Triassic section of the Shaikan - 1 exploration well. A short, limited flow test was conducted to determine reservoir content following multiple drilling breaks, indicative of increased porosity, between 2,402 and 2,483m. This limited test resulted in 40+ degree API oil rates up to 2,000 bopd and associated gas rates of up to 2 mmscf/d, yielding a gas/oil ratio of approximately 1,000 scf/bbl.




This high energy, light oil discovery is in addition to the 2.0 to 4.0 billion barrels of heavier (22 to 17 degree API gravity) oil previously announced at various levels throughout the shallower Jurassic intervals.




The discovery of these high energy, light oil zones within the upper levels of the Triassic significantly improve chances of finding additional light oil targets in the 700 to 1000 meters still to be drilled.




This most recent discovery will be logged when drilling has reached final TD, prior to setting the final, 7", casing string. The Company plans to install a workover rig following completion of drilling operations in order to commence extended testing of the multiple pay zones present in the Shaikan -1 exploration well.




Todd Kozel, Chairman and Chief Executive Officer of Gulf Keystone, commented:




"The discovery of a higher energy reservoir in the upper portions of the Triassic section of the Shaikan - 1, while very significant in its own right, should also prove very beneficial to future development and exploitation of the large reserves of heavier, low GOR oil in the Jurassic portion of the well."



Enquiries




Gulf Keystone Petroleum: +44 (0) 20 7514 1400
Todd Kozel, Chairman and Chief Executive Officer

Ewen Ainsworth, Chief Financial Officer

OK, but this oil is not like heavy oil.....I mean heavy as in heavy crude that hardly flows at all unless slightly warmed as in XEL's bentley prospect or is it ?.....in that case the oil is worth a lot less than normal WTI....will have to do some checking....

Marky...on RKH describes that sort of oil as medium.....this is confusing....

Very complex subject rf.
http://tigger.uic.edu/~mansoori/HOD_html
Something here may help.

Classifications or grades

Crude oil is classified as light, medium or heavy or Extra Heavy according to its measured API gravity.

Light crude oil is defined as having an API gravity higher than 31.1 API. (less than 870 kg/m3)

Medium oil is defined as having an API gravity between 22.3 API and 31.1 API. (870 to 920 kg/m3)

Heavy oil is defined as having an API gravity below 22.3 API. (920 to 1000 kg/m3)

Extra heavy oil is defined with API gravity below 10.0 API. (greater than 1000 kg/m3)



Heavy crude oil or extra heavy crude oil is any type of crude oil which does not flow easily. It is referred to as "heavy" because its density or specific gravity is higher than that of light crude oil. Heavy crude oil has been defined as any liquid petroleum with an API gravity less than 20, meaning that its specific gravity is greater than 0.933. This mostly results from crude oil getting degraded by being exposed to bacteria, water or air resulting in the loss of its lighter fractions while leaving behind its heavier fractions.

Production, transportation, and refining of heavy crude oil present special challenges compared to light crude oil.

Thanks lads....I might even print your last 2 posts out, as they are so informative....

Go to bed rf. Don't make me come round there!!!!! ;o)

you think he's under light sheets or heavy duvet.....

cum cum Balerboy no need for that!!!

Hey, I'm not being sarcastic....just doiung some late night rezearch and checking like vhere the damn is zhat bottle of whisky ?......

StockMarketWire.com
"Gulf Keystone Petroleum posts a pre-tax loss of $96,274,000 for the year to the end of December - up from $59,269,000 in 2008.

Operating losses rose to $95,123,000 - up from $61,096,000 - and the firm had cash and cash equivalents of $19,156,000 compared with $33,606,000 last time.

Oil production in Algeria ceased in June 2008 and has not recommenced, and there was no revenue (2008: $1m) or cost of sales (2008: $2m) from the sale of oil in Algeria during 2009.

An impairment charge to non-current assets of $69.6m (2008: $37.2m) was incurred in relation to the Hassi Ba Hamou Permit and the GKN and GKS oil fields in Algeria.

The impairment charge reflects the company's strategic decision to cease further investment in Algeria and because the sale of the assets was deemed unlikely.

The company retains $10m in non-current assets on its balance sheet in relation to the Hassi Ba Hamou Permit being proceeds due from British Gas under a settlement agreement announced on 18 February 2010.

The firm says that following the successful equity fundraising of $165m in May, it is well placed to deliver its stated exploration and appraisal programme through to the second quarter of 2011. "

Down today, but so is the rest of the market except for just about Desire Petroleum, but my ! GKP have discovered a heck of a lot of oil....

very quiet here, despite the upturn in the sp.

is the oil company hunt about to make a bid .