Brief note on Kurdistan oilers – I have GKP / GENL but applies to the others DNO / SNM
Good news on pipeline reopening came through, up 14% today.
www.kurdistan24.net/ckb/story/865051
Little concerned we havent heard from apikur yet (https://www.apikur.uk/) (Association of international exporters).
The share price rise puts GKP about where it was where pipeline was closed (March 2023).
GENL still down. Think it should be about where it was where pipeline closed at a minimum – about 70% upside from here.
Some argument GKP has far better potential / reserves.
Still think lots of upside and its substantially derisked.
A lot of the low valuation for these was due to questions around legal legitimacy of contracts. These have now been *mostly* resolved.
As ever this is Iraqi Kurdisan so plenty of potential to snatch defeat from the jaws of victory -even if we have setbacks convinced a deal will be done here and upside remains.
Raised weight in both before news / today – now 8% GENL, 7.5% GKP.
Not for widows and orphans but potentially a lower risk entry and reasonably fast money to be made.
