Join our community of smart investors

GKP slumps on resource estimate

The Kurdistani oil explorer has 12.5bn barrels in its reservoirs, according to a cautious estimate - not 19bn as previously believed.
March 13, 2014

What's new:

• Underwhelming reserve estimates

• First Shaikan well producing 10,000 bopd

• Move to a main listing imminent

IC TIP: Buy at 129p

The share price of Gulf Keystone Petroleum (GKP) dipped alarmingly on release of a competent persons report (CPR) compiled by reservoir valuer ERC Equipoise. The report on GKP’s resource base in Kurdistan has been put together ahead of GKP’s planned transfer from Aim to the official list of the London Stock Exchange. The CPR identified a total of 12.5bn barrels of oil in place, which was way adrift of previous estimates that put the gross resource at about 19bn barrels.

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in