Recoop we can afford to fund bargou but failure would drop cash...

Recoop

we can afford to fund bargou but failure would drop cash backing way too much. The secret is risk/reward decisions that reflect the size of the company.

I can justify having a crack at the cheaper easier onshore target for the 28 million barrels but in my view if they drilled Bargou deepsea by themselves it will make the company higly speculative although the truth is the share price would probably appeciate during and into spud. lots of spec mioney chases high risk drills - look at STU

What i like about COEs drilling schedule is domestic drilling first, therefore we will know its reserves and future production level. This will determine how relaxed we can be pre big drills.

I would be happy if we enter the big drills with reserves around current levels or higher (1.2-1.4 million) as our cash at that stage would be approx 10-15 dollars more(assuming no acquisitions farmins etc)This would mean that post drilling expenses the company would still have a base value of 45-50 cents.

The challenge is to stay independant until then.

Dunnycan - the $10 price target on cooper belongs in the dunnycan - no offence:-)