MangroveI did appreciate your extensive answer but perhaps I was...

Mangrove

I did appreciate your extensive answer but perhaps I was not clear in that it was the merger strategy that I questioned.

Firstly I do not expect success or failure for any well before it is drilled, including PCL's. I tend to approach the oilspecs on the basis of probability. If the long term success rate with wildcats is 1 in 3 I am happy to work to that for every wildcat hole. Is there any reason to suspect PCL's are drill holes are going to be different than history suggests?

Before you hit me about the breadth of PCL's prospects I will agree that with 4 good prospects only one hit is required for PCLs price to have a jolly good burst.

However sometimes the market does not see the issue of new shares as a real cost. It is almost like they have scored a new asset for nothing. I was merely pointing out that PCL have through the merger paid a significant PRICE in EQUITY to gain a higher share in their prospects that do not yet have a proven barrel of oil. They have paid a large price (essentially they have paid their market capitalisation) for a increased stake in what prspects that are still undeniably exploration drill holes. Surely this has increased the PCL's risk profile IF the odds fall against them?

I have no concern whatsoever that I have missed the PCL price increase, the stock was not within the system I trade. I see stocks rise and fall every day and am quite happy for others to riding a winner.

acturtle