'Low Risk' - LoL

Perhaps low risk insomuch that finding oil should not be too dificult.

From a geopolitical perspective one of the most high risk oil stocks on the market. Iraq remains in meltdown and will remain so for the forseeable future, there is no solution in sight. The daily suicide bombings and death squads are no longer reported, it's sadly 'old' news; this lack of news casts a false impression to the rest of the world who mostly no longer care. Throw into the mix the very strong possibility that the good 'ol US of A will have a pop at Iran either this year or next and the whole Middle East will become even more unstabilised than it already is.

Lex, perhaps when posting ramptastic charts of CNE as to what PET may achieve you should offer a balanced view by posting the other 99% of oil stocks that climb and then tank in spectacular fashion!

Anyway, gonna have a shufty at the TA prospects of PET and see wot's in the tea leaves :)

pth

Holden,welcome back.Risky short.Security improving.Your glass is always half empty.lol

MoneyAM investors had the same opportunity to add on weakness 20k @ 60.5p.My glass is half full. lol

superpete - 27 Oct'07 - 23:17 - 11486


petralva,disagree.Expect Petrel rise upwards trading above 150p.

nsbbda quite rightly points out HCL same as Petrel being awarded at least two contracts according to David Horgan.

List of contracts up for grabs.

.Block 6

.Merjan field

.Dhufriya - mentioned at AGM,confirmed in Interims.

.Subba & Luhais

.Halfaya

Petrel approached directly by IOM re:Halfaya.It is said 8-10 billions easy to get out.

Petrel ready to begin work immediately.

Petrel management bags packed in readiness to sign contracts immediately.

Educated guess Block 6, S&L, Halfaya star prize.

Petrel can do contracts on their own or can chose if company wants Itochu on board.Petrel can get all the money it wants from Itochu.No need to go to the market.[Surprised by recent placing until explanation by David Horgan published in copy of e-mail].

Agree Zak Mir's forecast of 190p in the scheme of things is conservative.Like his 90p target 190p within reach short term.imo

Simon K - 9 Aug'07 - 14:30 - 89902

Inevitable pi profit taking - all fairly modest, when you place this in the context of the buying that has propelled the share price of late. Who would want to buck the trend set by big professional investors, who have only just woken up to the potential of this company?

We breached 100p during Tuesday before some inevitable profit taking came in.

This is what professional investors should now be recognising - The Iraqi oil law will pass and with it there will follow the award of new oil contracts and ratification of old ones.

Very exciting!

Director Jim Finn tells us one contract is worth 500p a share - they could get 4 or more

PET are busy on the large Subba & Luhais contract, the largest awarded to date. It will produce 200,000 barrels of oil a day and 120 million cubic feet of gas when commissioned.

PET have the huge 10,000 km Block 6 in the Arabian Desert (from the days of Saddam), which the draft law tells us will be ratified. David Horgan tells us they have had the nod on this! They have been working there since 2000. There are 3 to 5 billion barrels recoverable.

Production costs in Iraq (the second largest oilfield in the world - some 115 billion billion barrels) are below $2 a barrel. Yet so far, there has, as we know, been relatively little oil exploration across the deserts of Iraq or at depth.

They are active on the Merjan oil field technical agreement and we have had sight (from their web site) of their involvement on Halfaya, which we are told is under discussion.

The Halfaya Super-Major discovered oil field is a multi-billion dollar project. This would require much larger funding (circa $200 m) though Itochu (Japanese backers for PET, one of the largest upstream gas and oil companies in Japan) have offered 100% financing on this as well.

(Away from Iraq - they have Jordan and the East Safawi Block, an 8,750 sq km area, was signed off in May 2007, under a Production Sharing Agreement (PSA), for exploration and drilling)


I maintains this is the most exciting share I have come across in 20 years stockbroking.

PET have been working in Iraq when SH in power and under five successive governments.Advantage PET has over majors is that PET is established with Iraqi directors & workers, ready to work immediately whereas majors would wait a few years for securtiy to improve.Shares in issue increased from 69m to 72m.Contracts with proven oil reserves would make for very sexy chart.aimvho.

Simon K - 28 Oct'07 - 19:27 - 11514

I see that the US military will transfer the security of the southern Shiite province of Karbala to Iraqi forces by the end of the month, Karbala governor Akhil al-Khazali has told AFP this weekend. Karbala is a city in Iraq, located about 100 km southwest of Baghdad.

Tick up^

CNN news just reported that casualty figures overall in Iraq are the lowest for 3 years,and that Iraq may have turned the corner.
It also reported that US troops are utilising locals to clear drainage ditches
of reeds which could be used for hiding roadside bombs.It is useful income for the locals as the US are paying them for their work.

BBC news:


David Miliband welcomes Basra hand-over date
By Brendan Carlin, Political Correspondent and Megan Levy
Last Updated: 7:57pm GMT 30/10/2007



The prospect of thousands of UK troops returning from Iraq has drawn a step nearer after it was agreed to hand Basra province back to Iraqi control by the end of the year.


UK troops withdrew from Basra city in September
The Baghdad government said that Basra, the last Iraqi province still remaining under British security control, would be transferred over to the Iraqi authorities in December.

The move, announced by Nouri al-Maliki, the Iraqi prime minister, was described by British defence sources as a necessary precondition for the planned withdrawal of more than 2,500 British troops from Basra next year.

Earlier this month, Gordon Brown unveiled plans to carry out the withdrawal, with roughly 2,500 troops due to remain for the foreseeable future.

In a joint statement, Defence Secretary Des Browne - who is currently on a visit to Iraq - and David Miliband, the Foreign Secretary, welcomed Mr al-Malikis announcement.



"We are delighted that the Government of Iraq has announced its intention to transfer security responsibility for Basra province to the Iraqi authorities in December.

"This confirms the strategy of transition announced by the Prime Minister earlier this month and is firmly in line with the coalitions progressive handover strategy across Iraq.

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"We congratulate all of those who have helped achieve this, most notably British and Coalition military and civilian personnel," they said.

Basra is the last remaining Iraqi province under British security control, with the three other areas originally under UK supervision - Muthanna, Dhi Qar and Maysan - transferred to Iraqi forces over the last 18 months.

Mr Browne and Mr Miliband stressed that the decision to hand over security control of any of the provinces "is not made lightly and a rigorous assessment of both the prospects for enduring security and the capabilities of the Iraqi authorities has been conducted".

They also said that "the transition of Basra does not signal the end of our commitment to the people of Iraq" as British forces would continue to train Iraqi security forces as well as protect border and supply routes.

The announcement follows the British withdrawal from Basra city in early September, a highly significant event in the bloody four-year mission in Iraq.

Britain now has about 5,000 troops in the province, mostly located at the airport on the outskirts of Basra.

Earlier this week, it was announced that the British army had abandoned offensive military operations in Basra after striking a deal to stop fighting Shia militias.

Baghdad - Voices of Iraq
Wednesday , 31 /10 /2007 Time 5:14:14




Baghdad, Oct 31, (VOI)- Iraqi Prime Minister Nouri al-Maliki told the visiting British Defense Secretary Des Browne on Wednesday that the work is underway to build the Iraqi armed forces to accelerate the handover of the security file throughout Iraq, asserting that Iraqi forces are ready to receive the Basra security file.


The Baghdad government had said that Basra, the last Iraqi province still remaining under British security control, would be transferred over to the Iraqi authorities in December.
"Our forces became ready to face challenges, bear responsibilities and hunt down for armed groups," al-Maliki said during his meeting with Browne at his office.
"The national reconciliation project will continue despite difficulties and obstacles made by some people," the premier said in a statement received by the independent news agency Voices of Iraq (VOI).
For his part, British Defense Secretary Des Browne asserted his country's support to the Iraqi government and its desire to continue cooperation to achieve security and stability in the country, mainly in Basra.
The Media Spokesman for the Multinational forces in southern Iraq Major Matthew Bird told the VOI earlier that Browne discussed with the British Commander in southern Iraq, Major-General Jonathan Shaw, the handover of the security file in Basra.
Browne had arrived in Baghdad for an unannounced official visit on Wednesday morning.
British Prime Minister Gordon Brown said earlier this month that he believes Iraq can assume responsibility for security in southern Basra province from British forces within two months.
The British forces in Basra, 590 km south of the Iraqi capital Baghdad, keep 5,250 troops within the Multi-National Forces in Iraq after withdrawing 1,850 soldiers during the past few months.
Britain was the United States' prime ally in the March 2003 invasion of Iraq.
Basra is located 590 km south of Baghdad.

By BEN LANDO
UPI Energy Editor
WASHINGTON, Oct. 31 (UPI) -- The U.S. State Department says an oil law implemented under Saddam Hussein is good enough for Iraqs national government to sign oil deals, though it would prefer a new national law -- mired in controversy and far from approved -- to be used instead.

The new position is a shift for the U.S. government, or at least a nuance in its stance, which has pressed hard for a new hydrocarbons legal regime and condemned deals signed between a regional government and private firms -- especially when its an American company.

We would prefer these laws to be passed before any deals are signed, Deputy Assistant Secretary for Near Eastern Affairs Lawrence Butler told United Press International. However, in the absence of passage of the hydrocarbon law, Iraq as a sovereign state can continue to use the Saddam-era laws to manage the sector in the meantime.

Its not clear what effect the U.S. stance will have on the international oil industry, salivating at the prospect of entering the third-largest oil reserves in the world, as Iraqs Oil Ministry says it will not wait forever for a new law before signing deals.

Iraq is underexplored and experts predict the country's reserve totals could be twice as much as the 115 billion barrels that have already been found.

Iraqs Kurds, who control territory covering less than 1 percent of Iraqs proven reserves, are signing oil deals to explore and develop an oil sector of their own, which Washington sees as exacerbating the already weighty wedge in Iraqi national politics.

We have many opportunities to excite you, KRG Natural Resources Minister Ashti Hawrami told UPI recently when asked what the "sales pitch" is to international oil firms. And if you dont come forward now, you will lose.

Indias Reliance Industries will apparently be the latest to sign a production-sharing contract with the Kurdistan Regional Government. A company official confirmed the two are in end-stage talks for two exploration blocks, the global energy information firm Platts reports.

The KRG has signed nine deals since the fall of Saddam, most of which have been called illegal by Baghdad, which considers the Kurds unilateral moves unconstitutional.

Security is a major factor, but top officials from international oil companies told UPI on condition of anonymity theyre waiting for a law detailing their rights as investors before entering the Iraqi oil scene.

The sector is nationalized now and many Iraqis -- including the stronger workers unions -- fear opening it up to international investors will squander their resources.

The most recent draft of the hydrocarbons framework law, which is stuck in Parliaments Energy Committee, would ease some restrictions. The production-sharing contracts, however, are controversial. The darling deals of the international oil industry, PSCs allow companies to recover their total cost for exploration and development, and then split oil proceeds after that; the percentage of that split is what drives Iraqi concerns. The company can include the reserves on its books, bolstering its value.

The law is also held up by disagreements between the KRG and Baghdad over how decentralized control over the oil fields and exploration blocks will be.

Separate laws governing revenue sharing, the Ministry of Oil and the Iraqi National Oil Co. round out the hydrocarbons package but are further behind than the oil law.

Iraqi Oil Minister Hussain al-Shahristani told potential investors at an Iraq oil conference held in Dubai nearly two months ago there is no legislative vacuum in Iraq. He said if there is no national oil law, the ministry would begin implementing its strategic plan for Iraqs oil and gas reserves using the Saddam law.

The KRG passed its own oil law in August, which the region says the 2005 Constitution allows for, another dig at the slow pace of the national oil law.

Since passing the regional oil law it signed three production-sharing contracts: Heritage Energy Middle East Ltd., a subsidiary of the Canadian company Heritage Oil and Gas, and Perenco Kurdistan Ltd., a subsidiary of Perenco S.A. of France, earlier this month; Dallas-based Hunt Oil Corp. on Sept. 8.

The Hunt deal row spread to Washington, as the State Department became vocal and members of Congress raised red flags.

Prominent congressional committee chairmen have sent letters of query to the State Department, White House and Hunt Oil, asking what the government knew about the deal and what it told Hunt before it signed.

President Bush said he knew nothing but is concerned if it undermines national law efforts.

The State Department said it tells companies that approach it that such deals widen the gap between the federal government and the KRG, delaying resolution on a national package of laws governing the hydrocarbons sector.

Hunt Chief Executive Officer Ray Hunt told The Wall Street Journal there were no conversations with the U.S. government prior to signing the deal. The company admitted to the meeting after being confronted with internal State Department documents obtained by UPI that revealed a meeting in Irbil, the KRG capital. According to the document, the department gave Hunt its do not sign talking points.

Aside from monkey-wrenching U.S. plans to prop up a strong and stable central government, the department says companies signing deals with the region without a national law will be on shaky legal grounds.

We continue to advise companies from outside of Iraq that they incur significant political and legal risk in signing any contracts with any party inside of Iraq before a national law package is passed by the Iraq Parliament, the State Departments Butler, who oversees Iraq policy, told a U.S.-Arab policymakers conference last week.

It appears most of the international oil community is listening to the State Department, especially the majors, fearing a deal with the KRG will blacklist them from the rest of Iraqs black-gold bounty.

We continue to encourage Iraqs political leaders to agree on the passage of a national hydrocarbon law and companion legislation, Butler told UPI. Washington says such a law will ease tensions and lead to reconciliation, and has been pushing the law and Iraqi legislators behind the scenes for years.

But if Baghdad joins the KRG in signing oil deals without a nationally approved strategy for the oil sector -- regardless of each governments claim the Constitution allows it -- and international oil companies rush in, it could cause chaos in the Iraqi oil sector, exacerbating an already tense political standoff.

Maximum buy limit on line is: 1.5k @ 143p

Background information.

saloch - 1 Nov'07 - 11:54 - 12184 of 12194


spun out of pre in 1999, it has maintained an office in baghdad throughout the recent turmoil. earlier this year the ceo david horgan told me that once the hcl had been passed there would be opportunities for the company. in 2005 the iraqui authorities awarded pet a contract to develop the s @ l oilfields located in southern iraq to a min caoacity of 200,000 bopd and 120 mcf of associated gas. this $197m development servuces contract was the first awarded after the fall of saddam in 2003. pet is also pursuing exploration acreage in the western desert, on the border with jordan, and has secured a tcs with the oil ministry over two further fields, one in central iraq, and one in southern iraq. in both of these pet is in partnership with itochu. horgan says in normal circumstances iraq would be closed off to foreign cos, and is relatively unexplored. the iraquis are looking for people prepared to get their hands dirty and do some work in the country. horgan adds the he favours southern iraq as in his eyes, it combines the best oil potential with teh least risk, boasting large structures, existing pipelines, and export facilities. he also stresses the importance of good realtionshios with the local tribal leaders in southern and western iraq todays shares mag

mclellan - 1 Nov'07 - 10:46 - 12129 of 12177

http://www.thenation.com/doc/20040112/roston


A couple of quotes from that article. Block 6 is why many people originally invested in PET, this alone could still be the making of the company.

'The Western Desert is what one international oil consultant, his voice mockingly falling to a worshipful murmur, called the "Holy Grail" of the oil industry. Iraqi oil is miraculously cheap to pump out of the ground, costing about a dollar a barrel.'

'The chief wells are to the North, near Kirkuk, where sabotage keeps production down, and to the South, near Basra. But the Western Desert offers untold riches.'

big spike up soon i think

Maybe not today si.
2517

"PET are busy on the large Subba & Luhais contract, the largest awarded to date. It will produce 200,000 barrels of oil a day and 120 million cubic feet of gas when commissioned."

PET recently met senior Iraqis immediately followed by PET visited by ITOCHU.I smell contractS.

Will PET get technical service agreement / TSA for Subba & Luhais ? Strong probability.News would assist chart which is close to breakout within next 15 trading days.aimho.DYOR.

Now read below.Any clues!


INTERVIEW:Iraq To Boost Output By 500,000 B/D By '10 -Oil Min

By Hassan Hafidh, Of DOW JONES NEWSWIRES

AMMAN -(Dow Jones)- Iraq is close to hiring five major oil companies to help increase crude output by 500,000 barrels a day by the end of 2009, the country's Oil Minister Hussein Al-Shahristani said late Wednesday.

"They would help us with redevelopment plans and they would choose for us the best machinery to do so, while Iraqi technicians would implement these plans," al-Shahristani told Dow Jones Newswires in an exclusive interview in Amman, Jordan.

The contracts, known as technical service agreements, or TSAs, will help increase output in six oil fields: Rumeila South, Rumeila North, Zubair, Subba/ Luhais and Missan in southern Iraq and Kirkuk, al-Shahristani said.

Iraq is currently producing around 2.2 million barrels a day, mostly from these oil fields.

The minister declined to name the companies involved in the talks although people close to the matter have said Royal Dutch Shell PLC (RDSB.LN) is being considered.

Earlier this year, a senior Iraqi oil official said Shell had submitted a plans to the Iraqi oil ministry to redevelop Missan in southern Iraq. Gas To Syria

Iraq has also agreed to supply Syria with gas from an Iraqi Western Desert field, Akkaz, near the two countries' border. "We have agreed with the Syrians to supply them with 50 million cubic meters a day of gas from Akkaz," al- Shahristani said.

Syria will build a gas pipeline in its own territory, he said, adding that Iraq's State Company for Oil Projects, or SCOP, would implement the 45-kilometer Iraqi portion of the line.

First gas may be pumped as early as in one or two years' time, he added.

Al-Shahristani said the ministry plans to invite foreign companies to develop the Akkas field, which is expected to produce up to 500 million cubic meters a day of gas, which could be pumped to Europe via a Jordan-Egypt-Syrian gas pipeline. Kirkuk Contract

The minister also said that the State Oil Marketing Organization, or SOMO, is negotiating with a Turkish company to sign a term contract to sell it Kirkuk crude.

The Turkish company, thought to be Tupras, would get limited quantities of Kirkuk crude while the rest would be sold through auctions, al-Shahristani said.

SOMO has been selling Kirkuk crude through auctions because the country couldn't guarantee sustainable exports from its northern oil fields due to frequent incidents of sabotage against the export pipeline following the U.S.- led war in 2003.

Before the U.S. invasion, Iraq used to export around 800,000 barrels a day from the north via the Turkish port of Ceyhan.

Iraq sells the bulk of its crude oil from southern oil fields, exporting around 1.6 million barrels a day.

Wednesday, SOMO issued the sixth tender in two months, selling 6 million barrels a day of Kirkuk crude. It sold 3.45 million a day of the same crude in its fifth tender sale announced Oct. 22.

However, the northern export pipeline has frequently been shut down due to persistent acts of sabotage.

Al-Shahristani said that new measures had been enforced to protect the northern export pipeline.

Iraq's revenues from oil sales from southern and northern oil fields are expected to reach some $36 billion in 2007, an increase of $5 billion over the country's budget expectation, he said.

- By Hassan Hafidh; Dow Jones Newswires; + 962 777 612 111; hassan.hafidh@ dowjones.com

PET closed 138p v 143p.

Anyone who follows chartists,here\\\'s an extract from respected self taught Chartist who posts on Advfn.


Aglenn - 1 Nov\\\'07 - 22:46 - 12336 of 12337

88000 total bought at 142.95 or over today including a couple of rollovers....

Fingers quote from earlier.....
\\\"PET - 140.00p .. the price has been consolidating for the last couple of months within a range that has a 112.00p \\\'selling\\\' floor, and a 142.00p \\\'buying\\\' ceiling .. SO WATCH OUT FOR \\\'TRADES\\\' APPEARING OUTSIDE THIS RANGE, as the first signal that the price is getting ready to move again, and an indication of the \\\'short term\\\' direction of that move.\\\"

I know its a cut and paste post but 88k is a substantial amount above the range.

Heres to a good friday.

elmfield - 1 Nov\\\'07 - 22:49 - 12337 of 12337


Second breach of 150P IS getting so so so near......

Zak Mir target price 190p.

Zak's background.

Zak Mir has been involved in the financial markets for over 15 years either as a trader in the wake of the 1987 Stock Market crash or as a futures and options broker or market commentator ever since. Zak was Shares Magazine’s first Technical Analyst and has written for the influential Masterclass series for the Investor’s Chronicle. He is regularly quoted in the national press with a recent feature in the Sunday Times. He has been providing technical analysis and CFDs market commentary within the mainstream business media for 4 years, and is frequently interviewed by Reuters, Bloomberg and The Money Channel television networks and is a regular on CNBC.

Two years ago he set up Zaks-ta.com, the UK’s leading technical analysis website on which he publishes the Zaks-ta.com Portfolio that provides specific buy and sell recommendations with constantly updated stop losses and targets. This trades on a stop and reverse basis and its purpose is to ensure that traders always know what the latest technical position is on leading stocks. Stop losses are typically 3% - 5% and profits are run up to 20%. The idea behind this Portfolio is to use strict money management techniques in combination with the best charting methods.

http://www.pressbox.co.uk/detailed/17994.html

Up just a little bit - 2 Nov'07 - 00:50 - 12339 of 12349

If PET get the TSA on S&L the base from which we will jump when we get block 6 and another PSA will be some what higher than where we are now and will propell PET past where CNE currently are!!! Solid foundations being laid.

Dipbob - 2 Nov'07 - 05:38 - 12340 of 12349

I think there is real significance that Karbala is being handed over by allied forces to the iraqi's to manage.

This is Block 6 Western Desert & Merjan territory.

I think there is real significance that Basra is also being handed over by allied forces to the iraqi's to manage.

This is S&L territory.

Arab countries to supply Europe with gas by the end of 2008

Friday, November 02, 2007 08:35 GMT

Iraq's Assistant Foreign Minister Mohamed Ali Al Hakim said that the Arab Countries will supply natural gas to Europe through a pipeline by the end of 2008. Al Hakim Had held talks with other Foreign Ministers and EU external relations commissioner Benita Ferrero-Waldner during an energy security conference which brought together officials from the EU, Africa, Middle East and International Organizations, in Sharm El-Sheikh.
Ferrero-Waldner pointed out that the gas would be pumped through Jordan, Syria and "maybe Iraq" to Turkey and then into Europe. Arab gas could reach Europe possibly through the 3,300km Nabucco pipeline that passes via Turkey and the Balkans to Austria. To that, Iraq was one of the potential Gas exporters.