Highlander1970, so you wish Gulf had paid full price for producing assets in some other country in which they have no resources and no experience? I see.
How much do you think that would have cost? And where would all that money come from? At a time when GKP didn’t actually have any. Do you really believe that the major shareholders would go through the Restructuring, only to see their investment put at risk from some unfunded adventure? Don’t be silly.
You blame the absence of diversification on Jon Ferrier ? The problem with that one is that the CEO does not determine strategy - the board does.
Its this sort of simplistic analysis and lack of understanding that , sadly , is all too common on here and ADVFN.
Try and put yourself in the BOD Place . What would you have done ? Sold the company for virtually nothing and wiped ALL the shareholders out completely ? At a time when we were fighting ISIS in Iraq ?
A few issues with that one H1970
(1) If you think you can identify bargain assets which come with a strong income stream easily then you really are naive.
(2) It is only recently that GKP has had a strong cash balance. What would have paid for your "bargain" assets ?
"tough mitigating circumstances" as indeed there have been , so lets have a reminder.
A paranoid ICG determined to bankrupt the Kurds for political and religious reasons ( Maliki)
A war against a new kind of terrorist (ISIS)
The Saudis destroying the oil price to (a) get global control over the Oil Market (b) Put the USA shale Industry out of business.
Perhaps one of you "heroes" out there would like to tell me what you would have done in the same circumstances ?
Now cut GKP and the Kurds some slack and be patient.
IMO
KRG would approve as many new oil drilling areas in its vast untapped fields as possible, to ramp up production.
AND
U.S. and international oil firms will assist in increasing drilling and production as quickly as possible.
So tell me again why no one is interested in Shaikan ?
LOL
Some of the key details of the emerging plan include:
KRG would increase its oil production from about 450,000 barrels per day to 1 million, and SOMO would market and sell about four-fifths of that output. KRG would keep about 200,000 barrels to meet its existing oil sales commitments.
SOMO would blend the Kurd’s higher-grade crude with Iraq’s more ordinary oil, creating an expected increase of $5 per barrel in the price Iraq commands for its exports. The two would benefit from a revenue share from the ensuing sales.
KRG would approve as many new oil drilling areas in its vast untapped fields as possible, to ramp up production.
U.S. and international oil firms will assist in increasing drilling and production as quickly as possible.
U.S. and Iraqi security forces would join Kurdish forces in ensuring the safety of drilling sites, supply lines, and pipelines to keep oil flowing.
The KRG would maintain the contractual relationships with international oil partners, while SOMO would market the new blend.
SOMO will pay international partners their monthly dues owed under existing contracts and keep the rest of the sale proceeds, sharing 17% of the Iraq budget with the Kurds.
Iraq will in turn stay its legal claims over KRG oil issues.
Zahawi was born on 2 June 1967 in Baghdad, to Kurdish parents. He fled aged nine years old with his family to the UK from Iraq in 1976, during Saddam Hussein's early years in power . Zahawi is vice-chair of the All Party Parliamentary Group (APPG) on Kurdistan Region in Iraq
He is a Kurd.
Thats why we need Todd Kozell back.
Absolute nonsense CCC , stop twisting and deliberately misinterpreting what I post. Most of my posts are actually reported articles with links and I never ever stated GKP was /is sold . As for this "Paul" yet another figment of your imagination.
I agree , and of course he did what he was employed to do.
Job done ?
IMO
We need TK back.
IMPO
Well it certainly isnt you CCC or "goatcam" and you would never know whether its sold or not.
Lets see who replaces him.
https://oilprice.com/Energy/Energy-General/JP-Morgan-Predicts-100-Oil.html
JP Morgan Predicts $100 Oil
By Irina Slav - Jun 19, 2020, 9:00 AM CDT
JP Morgan's head of oil and gas research for EMEA: The reality is the chances of oil going toward $100 at this point are higher than three months ago.
The current situation is fundamentally no different, according to JP Morgan's analyst, who expects the oil market to swing into a deficit sometime in 2022.
It may sound far-fetched at a time when many are worrying if Brent could rise back to $50 a barrel, but at least one analyst believes the benchmark could not only recoup all that it lost in value since the start of the year but shoot up over $100 a barrel in the observable future.
"The reality is the chances of oil going toward $100 at this point are higher than three months ago," JP Morgan's head of oil and gas research for EMEA, Christyan Malek, said as quoted by CNN.
The reason is simple: the cyclical nature of the oil industry. In March, before the coronavirus pandemic really hit, JP Morgan's analysts issued a note saying the oil industry was entering a supercycle that could see the price of oil hit $190 a barrel by 2025. According to Malek, this is still a distinct possibility.
The forecast is not without a logical basis. The way cyclical industries work is that the industry produces a lot of the commodity when there is high demand for it. Eventually, supply begins to outpace demand for one reason or another. Prices then fall, the industry retreats and shrinks production to limit supply and stimulate higher prices. This brings a deficit of the commodity, which pushes prices up. This cycle repeats once every few years.
The current situation is fundamentally no different, according to JP Morgan's analyst, who expects the oil market to swing into a deficit sometime in 2022, which would push Brent to $60. This, in turn, will motivate producers to start pumping more crude. The deficit, Malek estimates, could reach 6.8 million bpd by 2025. This is what could cause prices to climb to $100 or more.
"The deficit speaks for itself. That implies oil prices will go through the roof," Malek told CNN. "Do we think it's sustainable? No. But could it get to those levels? Yes."
By Irina Slav for Oilprice.com
https://oilprice.com/Energy/Energy-General/Iraq-Considers-A-String-Of-Massive-Oil-Deals-With-China.html
Note
"It comprised eight major memoranda of understanding that incorporated virtually unlimited oil and gas sector exploration and development"
Correct. No one forced anyone to either buy or hold on to shares. If you want to know who is responsible - look in a mirror.
With Iraq looking to do Oil & Gas deals with the Chinese , now is definitely not the time to **** everbody off , especially the Kurds.
You advocate getting rid of Shaikan for next to nothing, and starting again using shareholder and Noteholder money in a new market? Fish and chip shops? Leather Goods? Ladies underwear perhaps ?
I have read some rubbish on these boards over the years but this is definitely a winner , particularly in light of the current article on Oilvoice I posted this morning.
OK so the Brent oil price collapsed for one month and the result was oil being sold for nothing. These things happen. You can’t accuse the KRG of fraud because of it. Get over it.