UPDATE 1-Gulf Keystone to exit central Algerian permit

* Says to focus on resources in Kurdistan in Iraq

* Plans to seek buyer for Algerian permit interest

* Suspends further investment in Hassi Ba Hamou permit

* Opts not to pay certain due cash calls related to permit (Adds details)

July 14 (Reuters) - Oil and gas explorer Gulf Keystone Petroleum Ltd (GKP.L) said on Tuesday it planned to seek a buyer for its interest in the Hassi Ba Hamou Permit in central Algeria to focus its resources on Kurdistan operations.

Gulf Keystone said it suspended further investments in the permit and that it had opted not to pay certain due cash calls in respect of the permit.

"Kurdistan offers our shareholders significant near-term upside potential and it is therefore strategically compelling that Gulf Keystone should focus all its cash resources and efforts on maintaining the fast pace of exploration drilling in the country," Executive Chairman Todd Kozel said in a statement.

The company said any success from its planned well operations in Kurdistan could lead to oil production revenues in a relatively short timeframe.

Algerian state-owned energy group Sonatrach and BG Group Plc (BG.L) are the other partners in the permit, which was awarded in April 2005.

Gulf Keystone holds a 38.25 percent interest in the permit, while BG holds 36.75 percent and Sonatrach 25 percent, according to the company's website.

Gulf Keystone shares closed at 12.75 pence on Monday. (Reporting by Balachander Surianarayanan in Bangalore; Editing by Gopakumar Warrier)