Firstly – let’s get something clear. I’m a GKP Bull, love the assets but hate the corporate governance and management of news. A difficult relationship to balance as both are entwined closely together. It’s just a crying shame that with such great assets comes such PPP (p..s poor, performance) on shareholder communications.
I could name many examples – but let’s use a fresh one (current). Let’s take the SH-6 well.
From Mirabaud’s recent broker note…11th July
‘We expect an additional upgrade to the resource numbers on the back of the Shaikan 5 and 6 well results which have extended the field further eastwards and established a deeper than expected Jurassic oil water contact (OWC).” END.
Now – luckily for pi’s a poster on iii’s bb called Joseki’s reported from an analyst meeting (which was weeks ago now) that the OWC on Shaikan 6 was found and 150m lower than they thought.
Had Joseki’s note not materialised – pi’s would not have known. They would still be in the dark.
Prior to this news there was a plethora of brokers citing the importance of SH-6 as being a major event in the exploration of Shaikan – something that shareholders were keenly waiting upon – the missing OWC. Big event indeed.
Mirabaud goes on to say in reference to SH-6 deeper OWC…
“This could be quite significant, potentially in the order of several billion barrels of OIP”. END.
So this confirms the importance of SH-6. Pi’s have know this importance and have waited over 8 months for the news of the OWC. Yet GKP fails to issue an RNS? Instead – they kept this information from pi’s yet spilled the beans to ii’s.
That’s wholly wrong. It raises the question of what else GKP has disclosed to ii’s that hasn’t been told to the pi’s.
It’s a matter for the FSA and I would expect shareholders to email GKP IR’s dept and ask the question.
‘Why hasn’t there been an RNS on the key information regarding SH-6 OWC point being 150m below expected levels? Should get an interesting answer.
It’s not bearish or negative on GKP to be seen to be complaining about such things as many seem to interpret. Quite the opposite. It’s more bullish and caring than alternatively, not saying anything.
Caring because pi’s/shareholders have supported GKP since the 9p per share days. This abuse of information cannot be allowed to go unanswered. All stakeholders/shareholders should be told crucial/material news at the same time – not some getting the news weeks in advance of others.
If Mirabaud say that the OWC news could add billions of barrels to the OIP – then it’s material. They are the house broker after all.
So who’s advising GKP on what should be RNS and what should be filtered through to pi’s as 3rd party news (eg, via broker notes). Whoever they are – they need to be forced to review their choices.
So I suggest all shareholders who are concerned by this ‘management of news’ email GKP IR and even the FSA and ask why we are currently getting news later than other parties.