Gulf Keystone Petroleum Share Discussion Threads

[hearts5] 26/6/2018 08:59

the biggest laugh is we all know Carroll is currently desperately thinking of how he can work this RNS into his made up world of equity concentration and imminent takeovers.

[frenchybannedme] 26/6/2018 08:50

Oilymanchild,

I don't read it that way at all.

It looks to me they are buying back the 100m debt (due 2021), and replacing it with another 5 year 100m debt at (presumably) a lower interest rate.

In effect they are REDUCING the current debt costs.

But of course you knew that already.





Oilman63
26 Jun '18 - 08:26 - 567295 of 567302
0 4 0


So the cash cow isn't getting rid of the debt it's taking out NEW DEBT.

[broadford bay] 26/6/2018 08:44

This was my view as per 25th Apr-2018 and posted on triple-I (obviously the 150p mentioned will have to be reset higher):

new Issue on the Way?

Despite the cash coffers looking not to bad at present, there is still a mountain to climb in order to ensure that the asset is properly cared for and further developed.
Any benefits to be gained in the outstanding negotiations with the MNR will have some offsetting or quid pro quo elements: the MNR may also well demand an end to snail?s progress and an acceleration of efforts.
I happen to believe that the company will want to show willing ? and IMO the present cash holding does not provide enough development cushion.
More development capital is required ? it doesn?t make sense to piddle around at the 55Mbopd level for too long.
An issue of 200M new shares at say 150p would bring in perhaps £270M or $377M after all charges & expenses.
To that could be added the $250M cash that might be in the coffers by July-2018.
The total cash position then would be approx. $627M.
Cancel the outstanding Notes ? would cost say $110M.
Would leave $527M
That might well be enough to fast-track a run up to the new intermediate target of 75Mbopd.
The company, however, has traditionally only issued new shares to institutions and those few with deeper pockets ? presumable because Issue Expenses for a multitude of smaller shareholders would be disproportionately high.
So, the question then, would the company feel enough (or any?) moral obligation or sense of loyalty towards smaller PIs and make a proportion of the New Issue available to existing shareholders via a Rights Issue?
(In view of the last bondholder bloodbath, would it make sense to even think about a new, reduced coupon, bond issue - even if the coupon could be reduced from 10% to say 7%?)
The ?Mood Music? would probably have to be turned up a bit louder ? perhaps by means of some juicy 2nd Amendment details, perhaps by a revised CPR. A good PR job at the AGM with supportive details of debottlenecking- and Gas Injection projects (as well as an explanation of how the 2 existing PFs can be expanded at no great expense or difficulty) would clear the air too. A period of (relatively) high and stable crude prices helps and positive news from Baghdad and/or pipeline infrastructure details would give even more underpinning.
Perhaps the orchestra has already started playing…

PS: If the new bond issue were to be heavily oversubscribed, the issue amount could simply be increased - alternatively new ordinary stock could be offered to the retail side, keeping smaller investors happy.

[the ink man] 26/6/2018 08:40

By the way oilcan the shareprice continues to rise. Why invest in a company that you continually bash. Oh I forgot you have sold and lost and cannot move on.

[davr0s] 26/6/2018 08:40

And before you check I'm not some reincarnation of others - been a member since 2004 if I recall correctly

[davr0s] 26/6/2018 08:39

I don't give a monkey - it's price that pays not opinion or forecast - and price rising strongly. I've got this with a GStop well above my buy price so can just sit back and enjoy the ride wherever it may take us

[tess_tickle] 26/6/2018 08:32

PARACHUTES AT THE READY

[guypender] 26/6/2018 08:26

FUNNY THING IS TUSS, IF IT WASNT FOR YOU AND ALL YOUR NEGATIVITY I WOULD PROBABLY HAVE ALREADY SOLD. SO KEEP IT UP ;)

[oilman63] 26/6/2018 08:26

Good Morning 😃

I fell out of bed laughing this morning 😂😂😂

I hope they don't leave anymore massive trap doors for investors to fall through this time.

So the cash cow isn't getting rid of the debt it's taking out NEW DEBT.

I hope the usual fools don't get to dizzy spinning this today.

[fairenough11] 26/6/2018 08:19

Agree, part of a larger plan/game.Things are going in the right direction.

Nice chart.

[oil_investor] 26/6/2018 08:17

therealminotaur: GKP don’t need the $100 million of Notes. They could simply repay them without penalty from the Midsummer Night’s Dream $222 million cash. But as I always say, Cash is King. And in the past, GKP have failed to take the opportunity to raise cash when they could.

I agree with you: this has all been preplanned.

[davr0s] 26/6/2018 08:09

Lol - you've got the chart upside down. Looks like a strong uptrend to me.

[tess_tickle] 26/6/2018 08:06

NOT CONFIDENT IN PAYING THE OLD NOTES ON TIME

TAKE OUT SOME NEW LONGER TERM NOTES


MONEY GOING TO BE TIGHT

OPEC AGREED TO LIFT OUTPUT ON FRIDAY TO COMMENCE JULY

[hearts5] 26/6/2018 08:02

so the capital restructure was to kick the debt maturity date down the road, lol.The kind of action when there is an imminent takeover coming.

[therealminotaur] 26/6/2018 07:55

So how many of old notes will swap 10% for 6-7% or less IMO

How many will just take cash ?

We may find an even lower pre agreed rate methinks

This ha all been preplanned as the end game starts to unfold

[tess_tickle] 26/6/2018 07:43

KICK THE CAN FURTHER DOWN SOMEONE ELSE'S ROAD, BUDDY

[tess_tickle] 26/6/2018 07:27

PAY UP OUR BONDS

OR ELSE

[oil_investor] 26/6/2018 07:23

Pasted below for convenience:

Fixed Income Investor Meetings

Gulf Keystone Petroleum Ltd. has mandated Pareto Securities to arrange fixed income investor meetings in conjunction with a potential bond issue.

Following these meetings, and subject to market conditions and acceptable terms, a 5-year senior unsecured bond issue of $100 million (the "New Notes") may take place. The proceeds from the New Notes will be used to refinance Gulf Keystone's existing $100 million Guaranteed Notes due 2021 (the "Existing Notes").

Subject to market conditions, offer restrictions and the successful closing of the New Notes, Gulf Keystone invites holders of the Existing Notes to offer to exchange their outstanding Existing Notes for the New Notes.

With respect to any Existing Notes not tendered for exchange, the Company intends to exercise the option to redeem all of the Existing Notes then outstanding.

[therealminotaur] 26/6/2018 07:22

Expect news on rates etc very soon day or two at most

All of this will have been pre planned as usual......

[2wakeywakey] 26/6/2018 07:19

TRM - absolutely agree!