Member Info for belgrano

and link to below.
https://www.bloomberg.com/news/articles/2023-04-06/turkey-wants-to-negotiate-payments-to-iraq-before-oil-exports-resume?leadSource=uverify%20wall

We were all pleased about the bilateral agreement to export Iraqi oil from Kurdistan. However its a trilateral agreement which is required.
Now we know the Kurdish minister were skimming oil revenues by underhand means, but lets consider Turkey and its willingness to allow the pipeline and tankage in the first place from the Kurds, a people who historically they have not been on kissing terms with.
Plain speaking I expect they were making plenty from Kurdish oil sales, with oil being sold in a underhand way, and Iraqi detectives coming the globe to find the buyers and slap injunctions on them.
Now they have to be transparent they also don't like changes to their cosy little deals, with I expect bulging payments for transportation, storage and shipping.
If I recall the pipeline was commissioned by people well connected to the Turkish leader, and I suspect they were also being rewarded well above the normal going rates.
So what are they doing.....well nothing it seems and playing hardball now its all starting to unravel for them, being trying to link in other issues or unresolved problems into the equation before opening the valves.
They know how much its costing Iraq, so holding them to ransom.
Smacks to me they want sweeteners, then the backslapping can resume.

Morbox,
Post of the day sir, and if proven to be correct, and the bosses would not go otherwise, will now open a whole new door for GKP.
Deals are contracts, and if all contracts are secure it means that every major oil company in the world will be looking at Kurdistan putting the slide rule over us and seeing if they fancy us but not be blacklisted by Bagdad.
I know just how contested The Erbil awarded contracts were, because the oilfields were often known. Ours was not, so current terms more lucrative as risk to company deemed higher.
Truly excellent news if , and its a big "if. this comes to pass". It is however in everyone's interest to make it happen.
Global Institutional investors will be looking at this company very soon indeed.

Its a complicated procedure, resuming oil flows, did state previously that I'd be happy if we see a flow within a week.
Only takes one shut valve/ pump seal failure or left on recycle and it wont happen.
What we are seeing here today is the green light has been handed down to restart flows. Believed to be starting with the Hasira oil field so they can restart their electrical power generation from the wellhead gases. GKP are actually last in the pecking order as our crude is highly viscous.
So we should not be dissapointed, it was never going to happen. Its just a miss understanding of the complexities and difficulties involved and essential to get it 100% right, as there really is a huge list I could go through (but wont lol). Some of which if not performed properly might lead to the whole line being out of commission for another 2 months, and a major oil spill or worse to deal with.
Hopefully it will all go OK, but should not be underestimated.

We have Fars Issa, the KRG rep praising up the deal with Bagdad.
The takeaway for me is
" the principles of the temporary oil agreement would be reflected in a federal law in the future".
https://www.kurdistan24.net/en/story/31115-New-oil-deal-good-for-KRI,-Iraq,-and-Neighboring-Countries:-KRG%E2%80%99s-representative-to-Baghdad

Speaking plainly here, Bagdad knew that the KRG was getting backhanders from selling the oil directly and its been stopped. Now international prices will be obtained, and the accounts will be transparent. They can dress it up however they like but thats the btm line.
Our oil contracts currently with the KRG do appear fair, and Bagdad will now probably grandfather rubber stamp them into federal law. New ones will have to be approved by Bagdad.
They will actually do very little but will probably bluster over it for many tea laden months while drawing decent salaries for doing practically nothing. Will then praise each other to the heavens for more wonderful work and co operation.
However our company could do very well indeed, and its a great step forward.

Hasira oil field is Russian backed and run by Gazprom Neft

It has been reported that Hasira oilfield and exports have been asked to start up. Links of tweet shared earlier today
If you were in charge of prioritising start ups and exports it would make sense for that one to be one of the first.
This is due to the 165 MW electricity generators that run on the gas produced from the well heads.

https://themedialine.org/headlines/iraqi-kurdish-regional-govt-officials-sign-agreement-to-resume-kurdish-oil-exports-via-turkey/

Hi Armasmaxillian,
Commissioning an already filled line is a complex procedure involving many parties and indeed different countries. Its easy to say shut off your pumps and shut the valves. This was clearly done foolishly and in haste from a process point of view which is actually my speciality.. Sensible thing to do would have been to divert to another tank and say "pump at min". However this is Iraq and Bagdad wanted to force quick concessions from Erbil, which has been achieved with the all important "saving of face".
I did mention this over the weekend, that its not a quick or easy process, and as the line has cooled going to need to start with a lighter oil slate first which is not ours.
Had we decent sized tanks we could probably stockpile, but we don't but more certainly should have. I'll be mailing our company with this suggestion later this week as its a glaring shortfall, and we have now paid off our main loan.

Really excellent news and could herald a renewed opportunity for our company as its in effect de-risked it significantly. Consequently I have added to my position this PM.

Might still be an overhang of rot in this company from wildly over rewarding management team. More than happy once the dust settles a bit to join with others and explore whether we believe its excessive and if so raise a motion to curb it.
Not saying there is now, but most certainly was.

Brent now breached $85 and rising.
https://oilprice.com/
However shortage and global demand for our heavy crude currently has decreased differentials paid to a few dollars from the previous $10 dollars a barrel from Brent. This is due to lack of easy supply of heavy Russian crudes, for those refiners like Reliance of India who specialise in heavy slates. Once agreement reached our crude will be in high global demand.

Hi Margie,
Yes you are correct. Ambient temp plays a major factor. Even in the UK I've been out all night on several occasions trying to clear blocked heavy fuel lines especially in the winter when sub zero. Lucky enough temps in Erbil not horribly cold so hopefully they will get it away.

Hi Opulentia,
I'd agree with you about pre heaters fitted to tankage in some circumstances but certainly not the majority. These would be 9b or even 20Bar steam coils for heavy residues. However don't believe the pipeline was pigged. No good having a nice fluxant ready to feed into the line if the line is cold and wont pump.
The tankage was shut out almost straight away, it would take as long to properly pig the line as it would to fil it. I've line cleared many lines to shipping terminals in the past. Not saying this is the case, but its a possibility.
Regardless when restarting it has to be slow pumping for a good while with recycle, to avoid the possibility of a pressure shock if somewhere in the line there is another either blockage or restriction like a closed or broken valve. Otherwise that volume of liquid moving forward and suddenly stopping can literally blow the end off the pipe or rupture it. Seen it happen a few times. So fingers crossed it will go OK, but we should not expect our products to be the first away.

It might not that be that easy just to start it up again. Hopefully ambient temperatures are good and expect the sun is beating down nicely. Thats because the the relative high viscosity of the crude, it can take a bit of effort to get it all flowing again, we would often include a "flux oil" to enable to to quickly flow, but doubt that was done or available as the pipeline must hold thousands of tons of crude. If it all gets really cold can be a mare of a job. I'll be happy if its actually flowing in a week.

However here the divis are likely to be paid. I believe Mr.Market is just waking up to the fact that there's a strong possibility that this company will be running without any blacklisting/ constraints, or restrictions very soon.
Its certainly a good potential cash cow, just looking at the history while paying off a 100M lump and all debts.
Really about time investors here old and new saw some decent rewards. They deserve it for sure. I'm just a returning old investor after many years absence.

yes mate, I was the investor who requested the chairman to pay divi in bullion at the AGM, as they claimed to have loads of gold but couldn't share the wealth due to constraints., made them choke a bit....sry for off topic

Big difference in buy to sells reported despite rising price, currently 1.5M V 300K. Market is speaking.

Still got to be cautious, certainly not out of the woods yet. Got to ensure that GKP are not part of the quota cut. Would not make sense as our crude is currently high in demand while the normally more valuable lighter slates are not.
However this is Iraq, and they can squabble for ever.

Being quoted 165p which I thought was fair considering we have not been informed that our company has been given the green light to restart the pumps.