Ann: Ceasing to be a substantial holder , page-23

from KPL site


From Scott Ashton - BBY Energy Analyst.


Hi

The listed Joint Venture participants in PRL 21 (KPL 15% and HZN 45%) should be close to providing an update soon on the resource numbers for the Ketu field given the unambiguous success of the Ketu-2 well. The timing of this Ketu review has been flagged at the AGM and in public releases. Expect a substantial resource upgrade for Ketu given Ketu-2 it was a ~9 km step out from Ketu-1 discovery well (1990)

At the moment our DCF valuation of KPL's shares A$0.92ps contains a very conservative estimate (i.e ~94bcf gas) for the Ketu filed alone. Note the Elevala field has mean resource of 480bcf and 28mmbl condensate (before any of the possible western extension, Tingu is considered.

It is possible that a resource upgrade could be 2-3 times larger than our estimate (i.e implying ~200-300bcf gas) which would mean that the expanding wet-gas resource within PRL 21 is of sufficient size to underpin a future project with a potential forecast start-up in early 2015.

also KPLs response to an ASX price query

"Whilst the Company is not aware of any other explanation for the price change in the securities of the Company, the Company is aware that some investment bank research reports published recently, in relation to both Kina and its Joint Venture Partners PRL 21 Project, comment on the likely impending release of updated resource numbers in relation to Ketu, and refer to a possible resource upgrade to the existing published numbers of Ketu. Kina and its JV Partners, in previous ASX releases have referred to work being undertaken to determine a revised resource size at Ketu as well as commenting on the potential for a resource volume upgrade. Kina continues to work with its technical consultants in assessing a revised PRL 21 resource volume and will release this information to the market once this process has been completed."

dont you just love the ASX, asks for a response to a 5.5c price increase on KPL on only 516000 shares traded last Friday, perhaps thats why they have issued a trading halt so no more buying this week before upgrade.

perhaps this is also why HZN hasnt gone into a trading halt, they certainly havnt had to respond to an ASX price query!!!!