Gulf Keystone bid hope

The bosses of takeover target Gulf Keystone Petroleum have visited China with an army of advisers, leading to speculation that a Far Eastern oil giant could be interested in the company.

In a court transcript from a case over the origin of Gulf Keystone’s major oil discoveries in northern Iraq, the company’s lawyer revealed: “The business trip to China is one which, as your Lordship sees, is market sensitive… it involves finance advisers, it involves external legal advisers, and it involves a number of counterparties in the Far East who this team is going to see.” The news emerges a day after chief executive Todd Kozel announced an “exit event” scheme, which would see the board granted significant bonuses if they sell the company or a majority of its assets.

Chinese giant Sinopec has often been linked with the Aim-listed group, which is valued at more than £2 billion.

The transcript comes from a hearing in February, and the trip is understood to have taken place earlier this month.

It is possible any talks would have centred on the sale of Gulf Keystone’s 20% stake in a field known as Akri Bijeel, which the company is thought to be close to selling for between $350 million (£221 million) and $500 million.