GKP; Private investors NERVES FRAYING.

As foretold here some time ago the much awaited placing has occurred at 75p.

After many emails from nervous GKP private investors i shall try to convey the sentiment re’ this stock. (As a holder of 50,000 myself).

When you have a find such as Shaikan with many billions in OIP waiting to be sucked up (with much more to come) the market sets out a strategy based on what the market knows and suspects what is going on behind the closed doors of the boardroom. Over many decades these market/brokerage plays are based on past historic  results within the companies sector. There is a two-track play being mooted here takeover then production or production then takeover there are only two outcomes. If/when GKP get into production then they will be taken over but make NO mistake here TAKEOVER TALKS HAVE been ongoing on an ad hoc basis since the shaikan find the stumbling blocks are myriad;Price,the region,global recession. Could any multi-national afford to pay $20 per share bearing in mind the regional difficulties and the Global downturn how would it look if the region descended into anarchy and civil war after just splashing out many billions in dollars? Any multi-national board would be crucified and ejected at an EGM that is the reason why  takeover plays of GKP have been conducted in fits and starts with rumours galore abounding.

We here have seen many,many different plays re’ this stock some investors have made fortunes others are holding for the big spike that WILL come. Yet others have run away with small losses as their nerve buckles. If these go any where near 60p my advice is to re-mortgage your houses and buy buy buy.

I have an order in-house here for a further 100,000 if they drop below 64p.

Any private investor in my opinion who sticks with GKP will be hugely rewarded. Set against a global recession, with a British parliament about to make 20% across the board cuts and based in a region that has been historically riven by war is it any wonder that we are stuck at the 70pish mark?

Fill your boots! When it comes you’ll all be moaning and whining about how you have missed the biggest price spike of the year!


Hold tight!

PS Nautical and Encore watch them closely.

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  1. mbandito says:

    again i think ur spot on dan and the only major issue is contracts and details details details……i can understand the lack of news re mol and not advertising “monsters” at this sensitive point in gov formation and that this could antagonise and irritate various parties even make the situation more unpredicable but im in and willing to risk a chunk in this baby and of the view that just as n ireland was an example that folks just get sick of violence and want some normal life and i hope oil delivers them that hope !!!

  2. Barnstonpickle says:

    Yes danny as usual you called it right on the 25th of april with your post about the placing being “sub 80p” an close to completion
    Strange init mate that the numpties never post on these threads when you call it bang on? They always go quiet that prick over on lse is still rattlin on about drilling speeds and rhow far sey are jesus we all remember how far off the mark he was with the gkip drill!
    Any info you post out is always a help mate most of us thank you for your help. Hope your back probs clear up.
    Chin up mate


  3. fpinvestor says:

    Thanks for taking the time to write this up Daniel.

  4. berkshire_knight says:

    Dan, thanks for the post.
    Can you tell me why, if you are confident enough to commit another 100,000, why your entry point for GKP topup is 64p rather than current levels

    • Brokerman says:

      Yes i can. (AIM stock tend to drift downwards when news is scarce on the ground the trick is to get in at the bottom of the Drift.64p for me would be a huge temptation) My current holdings are purchased at 80p a further buy around about the 64p mark will bring my average to just under70p which is considerably below the placing price. Bearing in mind the upside that the institutions are forcasting a buy for me at 64p would equate to an 11 thousand sterling saving below the placing price and an enviable position to be in purely from an investment/portfolio view.
      The only fly in the ointment is them drifting to 64p especially with the news from SEY which always tends to focus the brokers attention back on their plays.


  5. steve says:

    Thanks for the GKP update, I believe your spot on regarding investors including me getting very anxious with the share performance, considering how much oil in place and further licence operations due this year. Hope your making a speedy recovery