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.

Cynic..apart from the cfd's you need to buy these and hold....unless you trade these in a sipp up and down...they look pretty good to me.

It would be interesting to get Niceonecyril on this...he's always good at the maths...

A sentence from the 24/06/09 GKP rns

'After evaluation of this unexpected shallow zone, the well will be drilled to the next casing point as planned. The primary zones of interest for this well are still below the depth of current activities. Plans are to reach the final TD of 3000 to 3500 metres, pending actual well results and any future testing, during September.'

So this appears to be a bonus find at the shallow zone.
2517

And what a bonus...imagine what the sp will do if they find something at the bottom...this also derisks the future wells they have planned by a lot.

i use CFDs so no time limits ..... for my sins, i have actually bought back in and shall now watch and wait ...... if they fall back to say 20, which is not imposible, then may top up depending on sentiment (and mine!)

Say after a few more wells GKP reach 30,000 barrels a day
Means 365 days X 30,000 10,950,000 barrels per year
Think Kurdistan Contract gives only 15% to GKP 1,642,000 barrels / year
Share of first 2 licences 75% and 40% say 60% 985,000 barrels / year to GKP
Say receive $50 net of drilling / pipeline costs etc $49,250,000 GKP income /year
Into divide by say 1.7 28,970,588 GKP income / year
P.E. ratio probably only 4 ( as Iraq ) = value 115,880,000 Kurdistan 30,000 b/d

Present market capitalisation about 160,000,000 at 26p / share

Nothing is so precise, but I guess one should not chase it blind.
I bought at 10.998p on 28 July and sold today at 28.50p
Who knows what will happen, but if it falls back a little to ?? 20p /22p I may get back in.
Can anyone improve on my figures ??

My problem is I have masses of Sterling Energy shares showing a loss, so I,m hoping SEY they will get momentum on the back of GKP and before drilling in 4th quarter.

NEW article, click HERE

market cap on 478m common shares @27.5p= 131m, drilling continues to the primary target like HOIL the sky is the limit!

If it hits anything like HOIL....60p plus: without a doubt....more probably 100p...but we are not there yet, there may be nothing commercial down there but so far this is looking tremendous.

Well..the herd have discovered this and this reminds me of ITM and VOG days of old...

And still the buys are coming in...those on holiday will have missed something unless they are already in.

The demand for GKP is quite staggering....this should keep the sp quite high...as soon as there is a sell : a big buy comes in.

News out shortly on drilling and AGM next Friday ;-)

Two things to take into account : oil holding up quite well...just a slight drop today but still over 71 US Dollars for WTI and I've spotted some nasty storms on satellite off the north coast of South America with swirls....now could these turn into a hurricane ?...better keep an eye on those because that can push up the price of oil by a few dolars : we would then be looking at oil around $74 or so...would push up the oilies sp...

hurricane season is always from around mid/late august for about 4/6 weeks from memory ..... never go on hol to west indies etc at that time!

it'll be interesting to see of there is any press of note over w/e

It's been a good week for this one.....if there is oil in commercial quantities at the bottom...the sp will hit the 80p's or even possibly 100p's, if there is nothing : back to 20p or so....this is a guess of course so with the sp well supported by this recent shallow discovery : I think we should stay put for the moment....and oil is $72 the last time I looked...all in all....very promising indeed !.

i haven't played this one very well to date, for all sorts of extraneous reasons, but am happy enough with the fairly modest stake i now hold at b/e and if sp went to zero, it would not be overly damaging.
now i am back in uk, shall be able to monitor carefully again, so may well add more, either to keep or to trade depending on sentiment.

GKP certainly has possibilities, but a sensible value is very difficult to determine, and its sp performance, as is usual for this minnow E&P companies, will be pretty volatile and assuredly dependent on a steady stream of announcements.

Too Early To Comment On Gulf Keystone

Behuria said it was too early to comment on a report that Indian Oil and Oil India Ltd. are in talks to buy Gulf Keystone Petroleum Ltd. (GKP.LN). "We have a process. And this is something I don't want to discuss" as it could hurt the company's efforts, he said.


Looks like the Indians really are talking to GKP. Hold on to your hats guys!

If this is true....then what with the discovery last week, the possibility of a huge strike at the bottom of the Shaikan well....there will be crazy ups and downs for the sp in this company.....

I think it is a case of what the next stage of drilling brings to determine any possible buyout. If the primary zones come in on target or near to, then its game on imo.