Some investors will recall that when GKP initially announced the DGA report (independent review) on the Shaikan 1 discovery (Jan 2010) that it was met with some doubts by the FT and other city media channels. This was largely attributed to the fact that DGA were not as well known as the likes of Ryder Scott and others. Today, GKP issued a new report on Shaikan by … yes you guessed it Ryder Scott. The numbers are almost identical. This in my opinion not only vindicates GKP’s initial numbers but also their original choice in DGA.
The Ryder Scott report removes any doubt and this now surely clears the way towards a FTSE250 listing.
RNS Number : 3037A
Gulf Keystone Petroleum Ltd
31 January 2011, 7am.
Ryder Scott Kurdistan Study Results
“Gulf Keystone announces the completion of an additional third party analysis of the gross oil in place resources resulting from the Shaikan-1 discovery well. The Company has previously reported gross oil in place resources, on a P90 to P10 basis, of 1.9 to 7.4 billion barrels with a mean value of 4.2 billion barrels. These values were the result of an independent, third party analysis conducted by Dynamic Global Advisors (DGA) of Houston, Texas.
In order to reinforce the potential size of this world class oil discovery, the Company commissioned Ryder Scott, also of Houston, Texas to do an additional third party analysis, using all data available through November 30, 2010.
The Ryder Scott results, for gross Total Petroleum-Initially-in-Place (PIIP), on the same P90 to P10 basis and using more conservative porosity and water saturation cutoffs, was 1.52 to 7.52 billion barrels of total PIIP with a mean of 4.04 billion barrels. The full study is posted on the Company’s website.
John Gerstenlauer, Gulf Keystone’s Chief Operating Officer commented
“The Ryder Scott study resulted in essentially the same gross range of total PIIP, despite using an even more conservative porosity and water saturation cutoff on the net pay interval calculations. This clearly confirms the earlier PIIP estimates made by both Gulf Keystone and DGA, demonstrates the robust nature of this oil discovery and bodes well for future upside potential.” END.
The full Ryder Scott PDF report is available here