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Not sure about the legal stuff but think he has been released recently although very little on the internet about it.

Seems unlikely you can serve jail sentence instead of paying taxes so assume there's more trouble ahead for our former leader.

23m 30 secs into the presentation the question is asked about what may alter the current 36% of gross sales entitlement and the answer gives me the impression as long as local sales continue and receivables have not been addressed this figure will stand for the foreseeable future.

At least that's my interpretation of what was said?

Yes totally agree, APIKUR a good idea but apart from very boring and drawn out utube videos the colonel's contribution has been non existent in terms of progress with contracts and pipeline re-opening IMO.

Thought you liked to be realistic?.....only joking

Remains the key questions as to whether we'll continue to receive 36% (and yes I know that figure is a summary) assuming local sales continue into the new year.

I fully understand that but just wondering why $224m figure is provided instead of $71m?

Probably an accounting thing but gives me a bit of hope that there's the possibility of invoiced but unpaid cost recovery being re-invoiced, if that makes sense.

The unrecovered cost oil and R-factor are used to calculate monthly cost oil and profit oil entitlements,

respectively, owed to the Company from crude oil sales. As at 31 December 2023, there was $224

million of gross unrecovered cost oil, subject to potential cost audit by the KRG. The R-factor, calculated

as cumulative gross revenue receipts of $2,219 million divided by cumulative gross costs of $1,878

million, was 1.18.

Pardon my ignorance but is the above mentioned $224m gross unrecovered cost oil different from the cost recovery pool?

Or perhaps only the operator accumulates cost recovery pool?

Was hoping you could point me to the amount in the Genel cost recovery pool if possible?

"The outlook beyond that and until the ITP is re-openned depends on whether GKP can continue receiving 36% of gross sales even after the CRP is normalised. In that regard I am optimistic."

ValueS - totally agree with that.

Do we know if any of the other IOC's have normalised CRP or still recovering historical costs? Had a quick look at recent GENL and DNO half year results but can't see any mention of cost recovery pool.

Hopefully GKP will inform us shareholders in the near future as to to whether the current payment arrangement will continue after CRP normalised or there will be an adjustment as per PSC assuming local sales continue beyond the next few months.

Putup - hope you don't mind me asking but do you have anything to substantiate that the outstanding $121m cost recovery won't be added back to CRP ?

You don't care how the KRG managed to get themselves into a financial pickle but you prefer to draw excel spreadsheets showing how it may be paid off based on numerous assumptions?

Begs the question as to how the KRG managed to get themselves into a financial pickle, not being able to pay the IOC's and falling 6 months in arrears even when exports were flowing and decent prices being achieved.

There's the Lebanon bank fiasco but $500m was less than 1 months gross sales for KRG at the time.

The Company remains in a constructive dialogue with the KRG and will continue to seek the timely settlement of the overdue November 2019 to February 2020 invoices totaling $73.3 million (net). The KRG has committed that with the continuing improvement in the price of dated Brent above $50/bbl outstanding arrears will be reviewed.

Wonder if anyone can recall how the KRG caught up (to some degree) with previous debt situation to IOC's?

Seem to remember oil price was very low and a deal was struck allowing extra payments if Brent was above $50.

Oil price shot above $50 quite quickly and the KRG cut the agreed deal by 50% in order to give them longer pay back period interest free.Think debt was repaid in around 24 months last time they fell behind.

Think I'd just sell up if I didn't have the ongoing belief that somehow the outstanding debt will be recovered long term but maybe that's being optimistic rather than realistic, who knows.

Seems a very pessimistic view but you're entitled to that.

Personally I'm banking on the 36% of gross sales continuing after the CRP is normalised as KRG can afford those payments and it will be offset against the overdue $121m. Think this possibility was actually mentioned by the CFO in a recent presentation.

Thanks Putup and ValueS, was hoping we might get an update on the situation regarding the outstanding $121m of cost rcovery in the half year results. Seems like as long as we're collecting 36% of gross sales everyone reasonably happy but that may change as CRP diminishes?

Back to GKP indeed.

Anyone know or care to hazard a guess as to how much is left in the CRP??

Sorry make that 1.5kbpd