Gulf Keystone Petroleum

Note the strength of Gulf Keystone Petroleum GKP), up 37% this morning on renewed hopes of a bid or major new partner in its Iraqi Kurdistan projects. The Bermuda-based company, with an estimated resource of between eight billion and 13.4bn barrels of oil at its Shaikan discovery 140km from the Turkish border, has confirmed that the Kurdish regional government still has the option to assign its rights under production sharing contracts for Shaikan and another project, Akri-Bijeel, to a third party.

At present, AIM-quoted Gulf Keystone has 75% of Shaikan, where it is the operator, with MOL Hungarian Oil and Gas holding 20% and Texas Keystone (founded by Gulf Keystone's American boss Todd Kozel) 5 per cent. The company has a 20% working interest in Akri-Bijeel, which boasts an an estimate resource of 2.4bn barrels.

Gulf Keystone has been subject to repeated bid rumours, often suggesting ExxonMobil as a likely suitor, despite sabre-rattling between Baghdad and Washington over the US oil giant's moves elsewhere in Kurdistan, though others have been suggested, too. Recommended in December's Growth Company Investor at 145p, the shares have already reached 280p.

Hold on for now. but be prepared to move.