JKX are a growth oil and gas company, principally based in the Ukraine, but also present in several other countries, and have recently presented some excellent results.




JKX corporate website : http://www.jkx.co.uk/index.cfm

Poltava Petroleum : http://www.ppc.net.ua/inf_en.html

Annual report 2005 : Click HERE

Good news for JKX...bravo!

Well is it good news? ......
*An aide to MrYushenko said Ukraine might change the company that imports its gas after Mr Firtash and Mr Fursin this week emerged as the beneficial owners of half of RosUkrEnergo, Reuters reported yesterday." ...... That could equally mean that Mr Yushenko does not care greatly for all the power currently in the nads of Messrs Firtash and Fursin, and that wings may either be clipped, or that shareholdings may be "beneficially" re-apportioned.

Plesae tell me if you think my logic lacks any such thing!

cynic,

I am sure there will be posturing, but I for one have no idea how this will be resolved, but your "or that shareholdings may be "beneficially" re-apportioned" comment may turn out to be nearer the mark.

I do not think it wil effect JKX anyway, as they are producing and selling within the Ukraine, which needs all the oil and gas it can pump.

In a way you are right Andy, but that does necessarily mean that Mr Yushenko thinks he needs JKX ...... but then of course I am a cynic! ...... With all the uncertainty and, as you say, posturing, in the short term I would not be at all surprised to see JKX retracking back towards 350. This looks to be a covenient round number and chart support of some kind, or perhaps even as far back as 300, which is about where sp was about a month ago.

I shall certainly (well almost!) be looking to buy back into this share, but the level is as yet undetermined, as of course is the timing .... the most important element of all.

cynic,

Well as the majority of JKX shares are held by institutions, I would be very surprised indeed if your price predictions came true, as they don't react like private investors do, they take a longer view.

In addition, trackers would have just been adding due to the inclusion in the FTSE 350, so another bunch of safe hands.

I haven't read anything that would concern me enough to sell my JKX in the last few weeks, and the AGM is almost with us, a chance for the directors to explain how the business is doing.

it happens that i made a very handsome profit on my holding, and took the view that no one ever goes broke by taking one .... i remain a fan of this stock and will happily reinvest if/when the time feels right ..... it will be uncertainty (fear!) rather than actuality that will precipitate any short term weakness

For a midcap oil company JKX should have perhaps ten to 20 rigs in active operation on a various number of their prospects .l expected a far more productive past two years with more work in not only the Ukraine { black sea } but also the Russias ; and aquisition of more prospects in other regions { Azerberjan Turmenistan . . Profits in 03/04 only increased as a consequence of the massive hike in the oil price. JKX did not produce an extra ounce . 2004/5 was better due to receipts from one repaired well and a single half decent strike Suddenly they look expensive to me.. A singular project leaving them immersed in the Ukraine .Whenever will they expand activities ? ...l have held most of my holding from when it was 36p to 64p but have added @ 150 and 210 and 276p and always felt comfortable holding them . But i look at other junior expos and suddenly JKX although looking very strong fundementally are once you scratch between the surface a little thin and weak . l found myself selling half my holding to fund and increase holdings in AFR and EEL in which i see a lot more upside . But while i do agree with Cynics last mail i dont think JKX will fall out of the sky . Far from it . Or i wouldnt keep half Regards to all other JKX eees @ +J

lncidentally anyone who is interested in a solid proven business model within the oil industry whose management and prospects are second to none . Rather than me prattling on about it i advise you to cast an eye over AFR . A 10 bagger within a 2 years . l stake my reputation on at least a price tag of 350p ++ by this year end . @+ J

TFC,

I have seen their presentation at Oilbarrel, and they certainly impressed IMO.

With regards to JKX, I agree they have been somewhat slow in adding to their wells, but since December they have two rigs working on their prospects, so that's a 100% increase on last year!

I believe we are due some news soon, regarding the well that previously encountered a high gas pressure, and possibly one other, which hopefully will be positive.

It looks as though we mayhave a busy year with the other prospects in Turkey, Bulgaria, and maybe even the USA giving us news, and Italy production is due to start in 2007, permit permitting.

Once JKX hook up to the export pipe from the Ukraine, we should realise a decent increase in revenue on that portion of the gas that is exported.


Whilst I agree the current valuation looks a bit toppy, I remain a fan, drill news is due, and could come at any time, and that would make a difference, as would any export revenues from the Ukraine.

Evening gents

Doubt that they have the capacity?

Ukraine may use other suppiers?

Regards

Dr Square,

Interesting article, thanks.

Maybe a bit of posturing going on?

JKX's portfolio of oil wells are increasing...bravo!


JKX Oil & Gas tests 2 wells at Poltava
AFX

LONDON (AFX) - JKX Oil & Gas PLC said it has completed and tested 2 further wells in its ongoing drilling programme at Poltava, Ukraine, with both wells tied back to the company's production facility via new flowlines.

During testing, Well M154 flowed at a stabilised rate of 920 barrels of oil per day and 1 mln cubic feet of gas through a 33/64 inch choke, with a wellhead flowing pressure of 770 psi. Well M154 is a horizontal development well located on the southern flank of northern part of the Molchanovskoye Field.

Also in testing, Well I124 flowed at a stabilised rate of 1,530 bpd and 0.75 mln cu ft of gas through a 30/64 inch choke, with a wellhead flowing pressure of 1,075 psi. Well I124 is a vertical development well located on the southern flank of the Ignatovskoye Field.

hyleo98,

well the usual lack of interest to a very positive JKX announcement today!

At least you noticed!

An extra 2450 barrels of oil per day added to production is better than a poke in the eye, IMO!

At the conservative rate of $60 per barrel, this would give JKX some $53 million extra revenue, before depletions, each year.

And then there is the 1.75 mln cu ft of gas!

Now we need well R101 to come up with the goods, and we really will be rolling down the runway IMO.

Andy

Quite please trying to get some more.

Regards

Dr Square,

Mum's the word!

Andy, Dr Square, I'm way off thread, for which I apologise, but check out MOG - big RNS announcement upgrading resources. Could go ballistic.

DYOR :o)

ST

OOPS.... IS THIS A BUYING OPPORTUNITY OR WHAT....!

I am very sure it is a great buying opportunity...bought in just a moment ago

Afternoon

Have to admit I had some more this morning first thing.

Round two is about to start with America as umpire

Regards

From Cardinals recent reserve report. The price of gas is interesting hope it gets there.

Time Period Forecast Average Forecast Average Forecast Average
Gas Price/Mcf Oil Price/Bbl Cond Price/Bbl

2006 $2.60 $53.36 $59.67
2007 $2.67 $54.20 $60.70
2008 to 2020 $3.40 $54.45 $60.98
2021 to 2030 $4.52 $70.19 $78.61


Another bit from the report is that Ukraine has increased the tax on oil by 59% from January.

Regards