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.

few quotes from Pointerlou and others on iii who were at the presentation.
GKP on at about 19.37hrs.

19:43
3d sysmic has been used on latest resource estimate. Still thinks monte Carlo model sells them short

Link to existing piPeline stressed, within range
-------------
19:49
S1 can do 10-20000 barells per days easily

Oil in Jurassic and Triassic consistent across all wells in shaikan
-----------------
19:54
Some views that shaken bigger under 3d than thought but reservoirs may be more broken up

Sales numbers this q frustratingly similar to last q. Krg pushing for exports but still want Gkp to provide to domestic Market due to shortages domestically
-----------------
19:56
SA on trend with shaken

Had to drill crustaciius twice due to reverse slip in field
A long way to go on SA and have to wait for testing over the next few weeks
------------------
20:06
Oil and gas law approved in principle just waiting back log to clear

That's incredible if I heard him right
------------------

and from rafabenitez also at presentation

19:58 Shaikan 13bn upside Jurassic only
------------------

and from hawkflight
20:21
Just left the presentation. Lots of interesting stuff. No doubt updates will come later. Interestingly he said the oil law had been approved by ministers today and will go for parliament approval within the next month.
----------------

One more from hawkflight on iii:--

21:12 Buy The presentation HawkFlight 34

These are some other bits to come over in tonights presentation that I thought worthy of note. Please be aware these are my interpretations of what was said, others may have different views.

BIRs - GKP don't know whether they have been awarded. They certainly believe they will be awarded but they are awaiting to hear from the KRG.

Oil Law - Other than previously mentioned - GKP are not concerned they believe the problems are of a political and not legal. He said there has NEVER been any suggestion that any of the contracts will be altered.

Pipeline - They are considering building a pipeline. They have already considered the route this pipeline would take. This is a possibility.

Exports - The reason that currently there has been no RNS is that there was a problem with the specification of the oil produced by GKP, it needs to be altered in order to make it ready for export, these changes to the production facilities are already underway. They are still on track for 5,000 by the end of the year. They were initially asked by the KRG to export (therefore they had KRG approval and were not waiting for this) now however due to a shortage in supply in the domestic market they are now being asked to supply the domestic market again. He sees that in the future they will supply both the domestic market and export.

Takeover / Sale of blocks - The big IOCs realise the potential of the assets and therefore they know like PIs that if they were to make an offer it couldn't be at a 'silly price' because these would be rejected. I understood from what he was saying that the sale of individual plocs was certainly a possibility. However, he also said that the best way to realise value was to continue to drill. i.e. they would never sell off BB until they at at least drilled it.

SH2 & SA1 - The reason they didn't drill deeper was due to the pressure but its entirely possible for them to go deeper if they change the design of the drill. There was also a problem with SA1, something about a leak preventing them from going further. The reasons will be announced in the 'coming weeks'.

BB - This is going to be there area of focus going forward. They see it as being 1.5 times the size of Shaikan.

SA1&SH2 - The rigs will probably be moved to SH5&SH6 to begin drilling.

There is probably lots more and if I remember anything else I deemed significant I'll update you further. Now, time for some food!
-------------------------

From pj66 on iii

00:14 Tonights Presentation pj66 28




I met up with Sash , PFC30 , FiFi, Oilman, Beasty Martian , Bonobo77 and Hobnob as planned and chatted over drinks and made our way to the 'Chrystal Room ' at the Hotel and discovered Ewan , sat alone .... but not for long !

He was very relaxed and answered questions which he then talked about in the presentation ..

His opening statement was ' I am aware many here will try to get me drunk to make me spill the beans ' well everybody gave it a go by what i saw .

comments .....

upside case still remains true

Shaikan - still can see more potential in the Triasic and Permian

1/3 Recovery seems to be appropriate as stated by the gkp guys

The SA drill will be used to drill SH5 @ 6

Kandymans - The upgdading of facilities for production exports will be in Q1& Q2 2012 as asked by the KRG . It seems that the KRG keep changing there minds on exporting and supplying to the domestic market so obviously GKP cant get a rythem going ..a bit stop / start

When facilities are complete then 10,000 bpd

SA - Testing zones in the Juraissic upwards as they stopped testing the Triassic at 3780 as due to running out of casing string ( because of extra diverted drilling )

BB - everybody is very excited about this one , spudding in Q3/4 and is 1.5 x the size of Shaikan , with an upside of 13bb

Bekhme 1 - we are waiting for the results of this to come in ( excited )

Excalibur - refered to Oct 2012

O&G Law approved today by the Ministry then on to Parliament in a month

Asked whether they would sell any blocks individually answered with they want to prove up as much as possible so take that as a no .!

Ewan touched on the pipeline front and said that GKP would prefer there own pipeline as they would then have full control over it .

Politics - - Contracts will not be changed once the oil and gas law sorted . he said he would be extremly supprised if this happened

GKP do read this board as they are interested in our views and comments .

There you go guys and girls ... more posts expected from the others who attended .
Nice to see you again Gramacho !

http://uk.reuters.com/article/2011/08/28/iraq-oil-law-idUKL5E7JS0AM20110828

Iraq's cabinet approves delayed draft oil law

Sun Aug 28, 2011 3:11pm BST

* Cabinet approves much-delayed draft oil law

* Law pending parliamentary approval

* Iraq has some of the world's biggest oil reserves

BAGHDAD, Aug 28 (Reuters) - Iraq's cabinet has approved a long-awaited draft oil law and sent it to parliament for final passage, a measure seen as key for foreign investors seeking more solid legal guarantees.

The new hydrocarbons law has been in the making for years but has faced opposition over who controls the world's fourth largest oil reserves, mainly from semi-autonomous Kurdistan in the north of Iraq.

"The draft of the oil and gas law has been approved and referred to parliament," a cabinet statement said on Sunday.

Iraq's parliament last month warned the government it would force through a new draft of the law if the cabinet continued to hold up the original legislation, regarded by investors to be a crucial mark of stability in the OPEC country.

"Any other previous drafts should be considered void and should be withdrawn. This draft is the only one presented to parliament," the statement said.

Investors have been waiting for the law's approval to assure a more stable legal framework for exploration. The law is also seen as pivotal to reconciling Iraq's factions -- especially Iraqi Arabs and Kurds -- as the country rebuilds after years of war.

Even without the law, Iraq is already developing oil-fields, signing billions of dollars in contracts with international companies under legislation dating back to before 2003 when a U.S. invasion ousted Saddam Hussein.

The draft oil law was approved by cabinet in 2007 but faced opposition in parliament and was sent back to the government for amendments. In June, Iraq made some changes to the law, which were being reviewed by the cabinet's energy committee. (Reporting by Aseel Kami and Ahmed Rasheed; Editing by Serena Chaudhry and David Holmes)

Copied from AFN :

http://www.thetimes.co.uk/tto/business/industries/naturalresources/article3147920.ece

Gulf Keystone lines up sale of Kurdish discoveries

Tim Webb

The Times Published: 29 August 2011


Gulf Keystone is considering a sale of part or all of its giant fields in the semi-autonomous Kurdish region in northern Iraq

The 1 billion-rated, AIM-listed oil explorer is likely to update shareholders about its plans if, as expected, its shares rise dramatically tomorrow when markets open, after weekend reports that it was looking for buyers.

It is understood that Gulf Keystone is planning to launch a beauty parade next month for investment banks to advise the company on its strategic options.

Its two discoveries in Kurdish Iraq are among the largest in the region, holding up to 11 billion barrels of reserves. However, Gulf Keystone, which reports its interim results next month, does not have the financial resources to fully develop the fields. It has been in early talks with oil companies with deeper pockets that it could bring in as partners to help to fund development.

An outright sale of the company is also an option but it is thought that executives believe it would be too soon to sell up. However, new investment banking advisers could flush out a takeover bid big enough to force their hand.

Gulf Keystone recently began transporting about 5,000 barrels per day from its giant field at Shaikan for export and plans to double this level. In the longer term, it will build a 100-kilometre spur to connect into the regions main export pipeline.

The Shaikan field contains high levels of poisonous hydrogen sulphide, which will also make its development technically difficult.

Oil majors have been put off going into Kurdish Iraq because of uncertainty over whether contracts signed with the regional government will be recognised by Baghdad. Since the fall of Saddam Hussein, the regional authorities and the Iraqi Government have been at loggerheads over who controls the areas oil wealth and how contracts awarded to foreign companies should be structured.

However, hopes are growing that Iraqs parliament could finally be close to ratifying a petroleum law that would formalise contracts signed with the Kurdish regional authorities.

Last month, Hess became the largest oil company to move into Kurdish Iraq when it formed a joint venture with the AIM-listed Petroceltic to develop two blocks covering 2,000 sq km in northern parts of the region.

Afren, the FTSE 250-listed explorer, also said last month that it was buying stakes in two fields in Kurdish Iraq for $588 million (360 million).

n-focused explorer Gulf Keystone Petroleum is looking to sell itself in a deal that could value it at up to 1.4 billion pounds ($2.3 billion), the Sunday Times newspaper reported, citing sources.

The paper said Chief Executive Todd Kozel had told investment banks he will launch a "beauty parade" for advisers next month to help assess the company's strategic options.

The Sunday Times cited bankers as saying the search for advisers amounted to "hanging a 'for sale' sign" up at the company.

Gulf Keystone was not immediately available for comment.

The company said in May it was preparing to export oil from Kurdistan after a long argument over payments between the semi-autonomous region of Iraq and Baghdad looked to be easing, after it more than doubled oil estimates for its key exploration block in Kurdistan in April.

Shares in Gulf Keystone closed at 130.5 pence on Friday, valuing the business at just under 1 billion pounds. ($1 = 0.616 British Pounds) (Reporting by Adveith Nair; Editing by David Holmes)


M&A

Thats the 28th August Sunday Times one cyril, the one I posted in 1722 is the new one, today, in The Times.

In my view it is worth something around 180 to 200p with the enormous amount of oil discovered regardless of being in a risky part of the world.....

RNS Number : 2037N
Gulf Keystone Petroleum Ltd.
30 August 2011



Not for release, publication or distribution in or into the United States or jurisdictions other than the United Kingdom and Bermuda where to do so would constitute a contravention of the relevant laws of such jurisdiction.





30 August 2011



Gulf Keystone Petroleum Ltd. (AIM: GKP)

("Gulf Keystone" or "the Company")



Response to Press Speculation


Gulf Keystone notes the recent press speculation regarding a potential sale of the Company.

Whilst the Board does not normally comment on speculation, the Company confirms that it remains committed to creating value for shareholders, via the continuing 2011/2012 drilling programme on its world-class assets in the Kurdistan Region of Iraq. Whilst there is clearly increasing interest in the region in which Gulf Keystone operates, the Board is not in discussions with regard to a sale of the Company.

Todd Kozel, Executive Chairman and CEO, commented:

"The Board of Gulf Keystone is confident that it has built an enviable asset base in Kurdistan, with significant further upside potential. We are therefore committed to continuing to successfully prove the potential of our oilfields in Kurdistan. We consider the true value of the Company to be significantly above any figures quoted in recent press articles."


Enquiries:



Gulf Keystone Petroleum:
+44 (0) 20 7514 1400

Todd Kozel, Executive Chairman and Executive Officer



Ewen Ainsworth, Finance Director








Strand Hanson Limited
+44 (0)20 7409 3494

Simon Raggett / Rory Murphy / James Harris

From the article states not in talks for sale of the company,but left out remarks concering JV's or indiviual fields? Also from the RNS is the refer to SP,

"significantly above any figures quoted in recent press articles."
"
with the latest developments (oil&gas law etc)the risk lessens, hence rumours/interest in GKP?
aimho

Gulf Keystone stokes rumour mill

By Michael Millar

Tue 30 Aug 2011
GKP - Gulf Keystone Petroleum.
LONDON (SHARECAST) - Iraq-focused oil firm, Gulf Keystone Petroleum, has denied reports that it is putting itself up for sale.

However, in a statement that read more like an advert, Keystone said it noted "increasing interest in the region in which Gulf Keystone operates".

It said it was "committed to creating value for shareholders, via the continuing 2011/2012 drilling programme on its world-class assets in the Kurdistan Region of Iraq".

The Sunday Times had reported that chief executive, Todd Kozel, was looking to set up a deal that could value the firm at up to 1.4bn.

The paper said he had told investment banks he would launch a "beauty parade" for advisers next month to help evaluated the company's options.

In today's statment Kozel said Gulf Keystone had built an "enviable asset base in Kurdistan, with significant further upside potential".

"We consider the true value of the company to be significantly above any figures quoted in recent press articles," he said.


http://www.sharecast.com/cgi-bin/sharecast/story.cgi?story_id=4472477

Here's a well reasoned postby the respected Zengas,which makes sense as to why they may be looking to sell some of their assets,not Berbahr though,as they are extremely excited about(remarks from presentation feed back)



How else can a company like GKP deal with so many assets all at once (one of them at a magnitude dwarfing anything that the other explorers have found - Tawke is a 1.75 b boip field yet Shaikan is perhaps 5-8 times that) relative to time scales/dilution etc.

1) Shaikan significantly appraised - moving to next stage/development.
2) Bijeel discovery 2.4 b boip field (potentially 50% larger than 1.75b Tawke field at moment) - now into appraisal and surface facilities stage.
3) Sheik-Adi 1-3 b boip discovery - what next here ?.
4) Bechme now going down to 4,000m - potential for a second sizeable Akri-Bijeel block field.
5) BerBahr to spud soon.
6) Barkman anticline next quarter spud on Akri-Bijeel block.
7) 2nd Sheikh Adi prospect similar to the first one drilled.

Financially impossible imo to deal with them all to full appraisal devevelopment stage unless a part asset sale or strategic deal emerges and which i would expect is seriously underway/consideration.

And their SP is less than RKH.

but not the M/Cap gkp 1036k
rkh 557k

Kurdistan-focused explorer Gulf Keystone Petroleum has denied merger speculation, as interest in the oil-rich region of Northern Iraq heats up.


Getty Images
Tawke oil field near the town of Zacho in Dohuk province about 250 miles north of Baghdad, Iraq.
--------------------------------------------------------------------------------

"Those were rumors in the press over the weekend. There are no deals in the offing, we are not looking to sell ourselves," Todd Kozel, CEO of the AIM-listed company, told CNBC on Wednesday.

The company has discovered 12 billion barrels of oil across three license blocks, and Kozel said that the company is sitting on potential reserves of upwards of 20 billion barrels.

"Recently. Kurdistan is a headline in the oil industry. We were one of the early movers into Kurdistan, and we have early mover advantage," Kozel said.

"We are not drilling in the arctic; we are not deep drilling in the Gulf of Mexico. It is one of the last places onshore where you can access reserves of this size," he explained.

"The cost is minimal. Our finding cost is 25 cents per barrel. Our lifting cost, processing cost, transportation cost is $2.90 a barrel. At $100 a barrel, the project economics work, and they work in a big way."

http://www.executiveinterviews.net/players/mini/default.asp?order=UK04811b

This weeks Oil and Gas price monitor from Merchant Securities :

http://www.mediafire.com/?ddmh1qawrnb9w3e

.

5 September 2011

Gulf Keystone Petroleum Ltd. (AIM: GKP)

("Gulf Keystone" or "the Company")

Kurdistan Operational Update

Gulf Keystone today provides an update on its ongoing exploration and appraisal programme for the Shaikan block in the Kurdistan Region of Iraq. Shaikan is a major discovery with independently audited gross oil-in-place volumes of between 4.9 billion barrels to 10.8 billion barrels calculated on the P90 to P10 basis with a mean value of 7.5 billion barrels.

Shaikan-2 Well Test Update

Further to the announcement of 18 August on the new Triassic discovery with the Shaikan-2 Appraisal Well, the Company has completed a flow test in the lower section of the Kurre Chine B zone in the Upper Triassic zone of the Shaikan-2 Appraisal Well drilled approximately nine km to the south-east of the Shaikan-1 discovery well.

The Kurre Chine B flow test in Shaikan-2 achieved flow rates of 2,600 barrels of 40 degree API oil per day with associated gas of 5.4 MMcf per day through a 48/64"choke.

So far, the Company has conducted three wells tests on Shaikan-2 with the maximum aggregate flow rate in excess of 15,000 barrels of oil per day ("bopd") with up to five additional tests still to be performed as part of the ongoing Shaikan-2 testing programme in the Triassic and Jurassic. The next test will be conducted on the upper section of the Kurre Chine B.

Shaikan-4 Drilling Update

The Shaikan-4 Appraisal Well, drilled six km to the west of the Shaikan-1 discovery well, is currently drilling ahead at a measured depth (MD) of 2,580 meters. Preliminary well logs through the upper Jurassic (down to the top of the Butmah formation) indicate that the net pay count on this well for the upper Jurassic reservoirs is significantly better than those achieved with either Shaikan-1 or Shaikan-2.

John Gerstenlauer, Gulf Keystone's Chief Operating Officer commented:

"This latest in a series of successful Shaikan-2 well tests follows the announcement of the new Triassic discovery made with this well earlier this month. Together with the progress in the Shaikan-4 drilling operations and the oncoming spudding of Shaikan-5, it is a confirmation of Gulf Keystone's success in both drilling and proving the value of the giant Shaikan field, which is our immediate focus".

http://www.proactiveinvestors.co.uk/companies/news/32724/UPDATE-Gulf-Keystone-Petroleum-releases-positive-drilling-results-on-two-Shaikan-wells-32724.html


.

Significant yo GKP.

http://www.investegate.co.uk/Article.aspx?id=201109070700557689N

And a quick assessment by Zengas.

Vallares already raised $2b.

Vallares will issue new shares to Genel owners worth a further $2.1b.

Genel and Vallares will merge and valuation = $4.1b.

P2 Kurdistan reserves = 356 mmboe.

Resources = 1.4 billion boe.

Atrractive entry point = $1.50/b = so this is the price per barrel of resource ie 1.4 billion x $1.50/b = $2.1b.

Acquisition cost of $2.1b on 356 mmboe P2 = $5.89/b.

I presume the $2b cash will be left in the coffers of the combined company for now - so likely more acquistions/fund development ?.

That's how i see it. I'm out for the rest of the day. This looks an excellent deal and imo proves how ridiculously GKP is undervalued !