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.

that as may be, but the burden of proof in a civil action is much less onerous - i.e. probability rather than beyond reasonable doubt

As a holder of GKP(although reduced in size)i clearly would like to see this action thrown out of court.It does not look likely to happen,so worth taking a worst case scenario.Assume 1 billion shares(all options)in issue,this would have to increase to 1.43 billion to make up the 30%(making a SP of £1.26p).
So once the CC is out of the way,what could we expect if a bid was to take place,well it works out at 70p for every £1 billion. Take the £8billion mentioned=£5.60p,even a paltry £3b would give a return of 15% at todays SP.Get in at what would be a knee jerk market reaction to such a result (126p)and malking 150%(over 400% for £8b)?.
So patience required?

I have been attempting to put my thoughts together on what I heard over the last few days....These are my jottings, impressions and opinions only...These comments below are not in strict order or verbatum...- I havn`t put most of RW replies because he just rambles and basically disagrees with everything anyway.

Simply from what I`ve heard so far my impression is that RW was way way out of his depth, didn`t properly understand the significance of various agreements or indeed the differences- IE(NDA, CA, JOA etc)- Initially probably thought he could raise money quickly but was ignorant of E+P and big business ways... Bigged up who EXC were- Mislead banks and indeed TK. Mislead TK when RW and EW started to realise they couldn`t raise money - indeed started blaming others, inc TK for EXC short comings.. ...King`s clothing parable comes to mind....Gulf was not a hindrance, quite the opposite they wanted Exc `s investment.....And it probably took a while for some at Gulf and at the banks to realise who these folk really were....That they had no money, didn`t have the ability to raise money and no clear idea... Chancers!

JG "..the person that was up to something was you"

JG "...Have you discussed your evidence with EW or taken counsel over the weekend?"

JG "..This was the final brush off from lazard"

RW "..Had received 24% interest in Shaikan".....JG ..."Simply not true...indirect interest hadn`t happened yet"

JG " Litigation funding with prime, they didn`t think you had a very good claim..."

JG "You had no prroblem with the NDA until you realised how long it was going to take to get funding?"

JG email EW to RW...."no problem with NDA..."....long rambling contradictory answer!!

JG .." you had to pay SB by 6th Dec....bothering and putting pressure on Miss McLeod.....RW..." Certainly I was a pest"

JG "What outside counsel was EW talking to? Misleading"

JG talking about witness statement and NDAs" reavealing your ignorance here"...RW disagrees with TK, MR Wilkinson(expert witness),, Mr Kinnear and 4th person if you count Shell man

JG " continuing to mislead TK with the term `investors` "

JG.." why unwilling to provide further info to MOL on EXC- re accounts, shareholders etc

JG email from Mr Cod..."Have to pay on time , it is inexplicable that you or anyone could be on a PSC and pay later...? Do you agrree..."

RW..."I agree some of it"

JG " Mr Cooper beggining to smell a rat"

JG " You do understand what I mean by the bottom of the page" " Stop wasting time"

JG " No fund raising experience, only introduction or originator experience".

JG " strategy to sue Gulf and blame G for delays when it was Exc that couldnt raise money"

Judge: "..you need to understand my puzzlement first...."

What a great line to finish!!

------------------------------------------------------------------------------------Esco.
V interesting comment from Prime suspect.
'Considered a weak case.' If this is just a snippet no wonder they wouldn't want to disclose stuff to TKI Stateside. Protecting an affiliate perhaps, or one of their own backers.
-----------------------------------------------------------

Esco: it was obtained in connection with TKI's actions in the US to get materials out of Robert Gordon. I have more notes on this, but they are in the Court...I'm in the wine bar. I'll go through my notes later. Rex Wempen has said that money WAS subsequently paid by someone (we knew that anyway) but it remains unclear who it is. The GKP barrister knows who it is. A very damaging (to Excalibur) Eric Wempen email is being discussed, we'll go back to it after lunch. Great blocks of it have been blanked-out by Clifford Chance, it was on the screen next to me. bob

http://www.reuters.com/article/2012/11/14/iraq-oil-exxon-idUSL5E8MDC3820121114

More trouble for the rebellious Kurds and the "illegal" licenses.......

Heritage Oil exits Kurdistan.
City AM .Tues.
Heritage is selling its 49pc in the Miran Field to Genel,
Genel will then have 100pc in the gas field.

Also
San Leon and Aurelian agree an all share merger.
They will become the largest foreign company in Poland
and also have interests in Morocco and Albania.

http://www.reuters.com/video/2012/11/14/iraqs-shahristani-on-oil-market-producti?videoId=239129983&videoChannel=1

from iii

20:06
Re: MOL Presentation
Kandymans1
8
Barkman very promising,
Heavy oil on the shakers, and testing Triassic, lighter oil. Fractured also.
Looks like discovery to me.
Close to shaikan, on trend with atrush.

One big sea of oil imo.

Gulak like beckhme and bejeel, more oil.

A good methinks.
No wonder Todd held onto bejeel

-----------------------------------------------------------------------------



Akri Bijeel - New MOL presentation


"Bakrman-1 well with very promising shows – on
trend with Atrush discovery

Two other wells under drilling-testing: Bijell-3 and
Gulak-1"

Gulak should be very close to the expected TD of 3658m --- 1-2 weeks.

MOL seem to be much more open now they've accelerated their programme.
Very helpful.

Having attended the court twice I reckon it is going pretty well for GKP. A brief summary but only my own thoughts. I did not take any notes. I am no expert and it is difficult sometimes to hear. Just when something interesting is about to be said someone coughs. ....mmmm....In summary Excalibur, basically had no money. Could not raise finance with any of the people they approached because they had no written "title" to their claim of 30%?? nor were they mentioned in the PSC.(Production Services Contract) ( You cannot get a "Title" unless you put up some money) No evidence with any document, nor any attempt it appears by Excalibur to confirm in writing their frustration at having no "Title" ... Strange. Emails between Rex and Eric very dubious and questionable.They tried to get Prime to farm-in but according to Excalibur, the terms were "rediculous" and it was not pursued. I wonder why ? More on that to come during next week. Always evasive, and sometimes long winded replies to the QC questions. We shall see how it all transpires. Court closed till Tuesday 10:00 hrs. Two more days to cross examine Rex, if he answers quickly, then Eric, possibly two days? Court will be closed for "Thanksgiving" GKP team will be next for cross examination. If progress is slow the court may sit on a Friday according to the judge.
Todd was in court today and the RR (TK 69) parked outside at 16:30 hrs.
Long and Strong.

Taken from another board.

Went to court today. Totally fascinating and feel more comfortable with my investment than ever. I do think that the Wempens probably did have a case for partnership back in 2007 but it is very clear from the evidence i saw today and previous notes from our resident scribe (BBB5) that they didnt have any funding in place or any chance of any funding. at least, not until Prime turned up!

From the emails and Rex's comments, they were desperate to try and resurrect any part of the deal come the end of 2007 that they would have accepted anything!

I strongly believe that the true question is - would any funding they now have been available to Excalibur before GKP struck oil? the answer to that would simplify this case somewhat and i presume that our defence will be asking that at some time.

I can say that Rex appears to be frustrating both our defence and the judge with his slow uptake and seeming lack of understanding on the questions being asked but i dont think he is anywhere near as stupid as he makes out.

all above are my own musings and i am trying to be as objective as possible.

-------------------------------------------------------------------------------
This was one of the exchanges reported by HairyCapers on iii:

JG: Hypothetically would UBS take on Excalibur if one of the partners had been to prison for fraud, or serial money laundering?
Rex: If the deal is good enough

Does anyone know if Rex has a record?

http://www.iii.co.uk/investment/detail/?display=discussion&code=cotn%3AGKP.L&it=le&action=detail&id=10189709

Mol presentation. Mol saying Shaikan reserve booking possibly before year end? MOL usually very slow to give info!
Shaikan.
COMMERCIALITY DECLARED
Development program due by February
Successful discovery and completion of five well appraisal program, crude from 16 to 52 API
Declaration of Commerciality submitted in August 2012
Possible reserve booking already in FY 2012
EPF in operation since 2010, capacity increasing ongoing to gross 40 thboepd
http://ir.mol.hu/sites/default/files/hu/2012/MOL_IR_DAY_2012_NOVEMBER_15.pdf

basment1

PAGE 53 of MOL Presentation.

http://ir.mol.hu/sites/default/files/hu/2012/MOL_IR_DAY_2012_NOVEMBER_15.pdf

Mentions:

Fresh (karstic) water in Jurassic reservoirs;
increasing salinity brine in Triassic reservoirs, water
drive possible

And:

BBBS from 2010:

"The big picture in terms of regional aquifer is now being postulated as far as Akri Bijeel. So we now have data points left (JK) and right (AB) of Shaikan that supports Shaikan's Jurassic OWC. When/if the OWC is proven to apply in Shaikan - the OIP will immediately approach the P1 figure. Now of course, it can only be proven for sure, when pressure data from both the oil and water legs are measured in the same well - i.e. the well would need to actually penetrate the OWC. SH-2 will tell us more. But, MAYBE, Hunt's Simrit well has already answered the question. It is certainly located at about the right place to do


">

http://gkpinvestor.proboards.com/index.cgi?action=display&board=analysis&thread=1645&page=1#ixzz2CNQrYkry

(page 17)

GKP barrister: "The key demand on the Keystone side was that you needed to have the money available. How is UBS at your elbow going to change that?"

Rex Wempen: "Perhaps it was a false hope. I hoped that Todd would relent"

GKP barrister: "What you are overlooking is that you had told Gulf several times that UBS were your primary sponsor (13 November).... YOUR'RE MAKING THIS UP"

Rex Wempen: "I don't believe so"

Judge: "If UBS had agreed to be your Financial Adviser, te most you could say to Mr. Kozel is that they are helping us to structure the deal but they aren't going to pay any money"

Rex Wempen: "Yes my Lord"

Judge: "Therefore they are advisers in a deal that you couldn't finance"

Rex Wempen: "My network was small but the record shows that it was effective"

(usual caveats apply)

16/11/12 17:08 174.829 25,685 O 172.25 173.25 Buy 3,118,464 2,699,062 54,340
16/11/12 16:59 177.021 35,291 O 172.25 173.25 Buy 3,092,779 2,699,062 54,340
16/11/12 16:57 173.678 100,000 O 172.25 173.25 Buy 3,057,488 2,699,062 54,340
16/11/12 16:49 178.029 15,322 O 172.25 173.25 Buy 2,957,488 2,699,062 54,340
16/11/12 16:40 173.628 885,000 O 172.25 173.25 Buy 2,942,166 2,699,062 54,340
16/11/12 16:35 172.25 64,649 UT 172.25 173.25 Sell 2,057,166 2,699,062 54,340

Shwan Zulal ‏@ShwanZulal
Sangawi; "Zaidi threaten to use force tomorrow and if so we will retaliate with overwhelming force to defend ourselves"
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4h Shwan Zulal ‏@ShwanZulal
Sangawi; "Dijla commander Zaidi threaten to use helicopters & ground forces to arrest & integrate Kurdish party members involved in incident
Expand

4h Shwan Zulal ‏@ShwanZulal
Hard to tell what exactly going on but nevertheless worrying times. Kurdish forces apparently mobilized and heavily armed near Tuzkhwrmatu.
Expand

Shwan Zulal ‏@ShwanZulal
Today's events in Tuz Khurmato is rapidly developing into crisis as Peshmerge on high alert and a force said to be on its way from Baghdad
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The CC big as it is maybe small fry soon ? Not that I am worried LT but London will not like shots been fired.

LOL

Might be some skirmishes, the real aggression will only start once the Iraqi's get their new planes and heavy weapons.

Anything that happens now is just small scale - but yes, it might scare UK investors into finally realising that Kurdistan is a massive political risk.

http://edition.cnn.com/2012/11/16/world/meast/iraq-violence/

http://www.dailystar.com.lb/News/Middle-East/2012/Nov-17/195308-new-iraqi-army-hq-fuels-arab-kurd-row.ashx#axzz2CTHDFkV3

http://uk.reuters.com/article/2012/11/16/uk-iraq-oil-westqurna-idUKBRE8AF1AK20121116

.

http://www.shafaaq.com/en/news/4093-washington-offers-deploying-its-troop-in-the-disputed-areas-.html

Washington offers deploying its troop in the disputed areas

Sunday, 18 November 2012 09:49

Shafaq News /An informed Kurdish source said on Sunday, that Washington entered on crisis line after forming Dijla forces between Baghdad and Erbil to end it, while offered to re-deploy the U.S. troops in the disputed areas and considered the armed clash with Peshmarga troops as a “red line."

The source said in remarks quoted by a Kuwaiti newspaper, and briefed by "Shafaq News", that" U.S. diplomats in Baghdad have begun contacts and meetings with the two parties, (Prime Minister Nuri al-Maliki )and (Kurdistan Region’s President Massoud Barzani) to end the problem and reach a joint agreement to manage the disputed areas. "

"One of the submitted solutions is to re-deploy the U.S. forces in the disputed areas to ensure there are no clashes between the army and between the Kurdish Peshmarga", adding that "al-Maliki rejected this proposal."

He added that "Washington does not oppose to re-deploy its military forces in the region if the disputes parties wanted that," stressing that "U.S. Vice President , Joe Biden responsible of the Iraqi file is excited for this step because the U.S. administration will not allow the outbreak of any fighting between Baghdad forces and Erbil forces on the basis that any development represents a severe strike to the United States, which supported the political process in Iraq for nearly ten years. "

The source pointed out that "Biden told Maliki that the armed clash with Kurdish Peshmarga is a red line", warning that "U.S. forces will intervene in the event of the outbreak of fighting in Kirkuk and any other area."

"The U.S. National Security Chancellery is convinced that the movements of al-Maliki to impose his military control on Kurdistan is due to the Iranian and Syrian regimes," adding that "moving in this period under the name of Dijla Operations Command established by Iraqi Prime Minister aims to undermine the Turkish influence and countries in the Gulf Cooperation Council’s influence, which has grown dramatically in Kurdistan Region recently . "

The disputed areas between Erbil and Baghdad witnessed major security tensions after the government announced the formation of Dijla Operations Command, which has subjected the army and police forces in Kirkuk, Diyala and Salahuddin provinces and Erbil’s rejection of these forces because no one discussed the matter with it when it was formed.

The armed clash occurred between the guards of one of the headquarters of Kurdish parties in Tuz Khurmatu district in Salahuddin province and a force of the federal police on Friday, killing one civilian and wounding ten police