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.

DISPUTES

Exports from the semi-autonomous northern region of Iraqi Kurdistan had stalled because of a bitter dispute over contracts signed with the Kurdistan Regional Government (KRG).

The central government in Baghdad does not recognise the contracts and will not do so, but there was progress on finding a compromise, Shahristani said.
Baghdad has agreed with the KRG that they will deliver oil to the State Oil Marketing Organisation (SOMO) under which oil will be exported with the rest of Iraq's crude and revenues will go to the federal government.

In return, the companies that have invested can submit their invoices to the oil ministry and capital costs will be reimbursed once the invoices have been checked.

"We do not recognise the contracts and the companies will not be paid any profit whether in profit oil or in any other form of compensation," Shahristani said.

Asked about the scope for compromise, Shahristani said there were positive signs.

"Obviously, we have to find a way to deal with this issue. The fact that we reached agreement with them and the oil was handed over to us was a positive step forward. We hope this can be followed by other steps," he said.

Iraq's oil production results in hundreds of million cubic feet of associated gas, which has been flared away because of a lack of infrastructure to capture it.

A long-awaited deal between Royal Dutch Shell (RDSa.L: Quote), Mitsubishi (8058.T: Quote) and Iraq's South Gas Co to use the associated gas is in theory in its final stages.

Sharistani said the energy ministerial committee had studied a draft, which he understood would discuss it further on Monday.

"If a decision is taken, it will be submitted to the cabinet for

Pretty much what its all been about, Iraq will not let them make any profit.

So the only losers are the shareholders of GKP !!

IOM gets oil.
GKP gets paid expenses.
GKP directors and employee's get their salaries and bonus.
Everybody happy and everyone getting paid..........BUT

Shareholder gets a company that makes no profit.


Do you not think its strange the directors are NOT buying loads and loads of shares and filling their boots...... says it all really.

and do you think the sabre-rattling will ultimately win the day?
much of the above will be for domestic propaganda

no company is going to invest in iraq if it is not going to be allowed make a profit
and btw, the statement above says the companies will only be reimbursed for capex, so from where would they get the revenue to pay all other expenses - e.g. salaries and (as you would suggest) fat bonuses?

cynic must agree,nobody is going continue to explore, spending hugh amounts of money,just for costs. Seems that Shanristani is being moved to the sidelines?

http://www.investegate.co.uk/Article.aspx?id=201104110700146339E

Chairman stated 'massive undeveloped structures' Shaikan is worth of being a Saudi Field in scale and scope.
Also was relieved by: The pressure gradients at the Shaikan-2 location are consistent with readings at Shaikan-1. So it is more than likely the one massive field.
And we look forward to updated oil in the coming weeks?

Who cares ?

You have a trillion zillion barrels but if you cannot sell it for a profit its worth "jack"......

Just updating relivent info.

On the Shaikan block, a key milestone was the commencement of test production from the successful Shaikan-1 well. Production from the Sargelu section of the Jurassic formation began at low rates in September with first sales in October. Currently oil is sold at the wellhead and transported by truck to either a refinery or processing plant in the Kurdistan Region of Iraq. To be producing and selling oil following first discovery in 2009 is a considerable achievement. Production testing continues and we have been securing a range of comprehensive data to enable us to analyse the potential recovery factors.


$171M in the bank?

do i detect sour grapes or even secondary fermentation from a certain person ...... seems to me that GKP have far more justification and logic to its sp that does say RKH (which i also hold)

Fantastic news......P90 reserves of almost 5 billion barrels and perhaps a lot more.....makes up for my missing out on SOLO....

"We have always believed that the initial gross oil-in-place range for the Shaikan discovery was a conservative estimate that would increase as more information became available. This gross oil-in-place volumes revision by DGA, entirely supported by the Company's management and Board of Directors, confirms that belief. We eagerly look forward to additional drilling results from Shaikan-2, the soon to be spudded Shaikan-4 and the remainder of the Shaikan appraisal drilling program. EnqWe firmly believe that even with this upward revision the numbers for the Shaikan discovery are still conservative."

It's an exceptional discovery.....one in 25 years or so that comes along.....the only other one I can think of is the BG. discovery off the Brazilian coast...

And the full announcement.

http://www.investegate.co.uk/Article.aspx?id=201104140922299019E

Patience usually wins,
SA-2 result to come along with SA-4 spud

I would like to think that is is now worth a minimum of 200p...in fact I would give this a target of somewhere between 225p and 250p....and if they brought Shaikan into full production somewhere between 5 to 10..perhaps more....regardless of the Iraq risk...

Once the production permits are granted(???),then those type of figures become a real posablity?

but Mr P, who knows everything, reckons the shares are worth sweet FA!

Well to me this should climb further...(I hope)....I mean this is a huge amount of oil and GKP looks like a takeover target !.

Bound to be upgraded broker notes coming out....how could they not stick a strong buy on this ?....

Gulf Keystone denies paying for clients to attend strip clubs


Gulf Keystone Petroleum has denied that it paid for clients to attend strip clubs after its chief executive gave evidence in a US court that adult entertainment was "reimbursable".

London-listed oil explorer Gulf Keystone is one of Aim's biggest companies. Shares in the London-listed oil explorer, which is one of Aim's biggest companies, fell 2pc to 161p on Tuesday, following reports that its chief executive, Todd Kozel, had seen $100m (61m) of shares frozen in a divorce battle.

Court papers related to the divorce also claim that Mr Kozel was a visitor to the Windmill and Bourse Restaurant strip clubs and lavished spending on his clients.

He was asked by his wife's lawyer: "What did you spend $7,711.67 on at the Bourse Restaurant?"

Mr Kozel replied: "That's a strip club where we entertain our customers and company members, which is reimbursable by the company."

When the lawyer, Jeff Fisher, asked about a number of credit card bills relating to entertainment, Mr Kozel replied: "You're arguing over a whole bunch of Gulf Keystone that's responsible for this, my friend."

Mr Kozel owns around 40pc of Gulf Keystone, and he also has major interests in private companies Texas Keystone, Falcon Drilling and Falcon Partners.

GKP suddenly on a strong run against the trend ..... volume is over 5.25m, but i can't determine what average is

Ave, just under 5mil at 4.8 according to msn money.,.