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Currently unlocked on 4.0 and 01.59.00, can I upgrade and stay unlocked?
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Since you have an iPhone4, it is susceptible to the Limera1n exploit, so you can preserve your baseband.
If you have the hash and APTicket files saved for 5.0.1, you can restore to that and have an untethered jailbreak.
Make sure you use newest Redsn0w to make a No_BB IPSW to restore with, then use Redsn0w to stitch the above files to the IPSW.
http://bit.ly/GLMkzG
iClarified.com has tutorials for making a No_BB IPSW
Also, if that is an AT&T phone and you are not on a contract with them with that phone, AT&T starts today with doing IMEI unlocks for their phones.