Lots of hurdles to overcome even if they have a find. Then the find has to be proved up. Hydrocarbon shows, reservoir, testing and they will then drill an appraisal well or two to do so.
Usually you might have 3 stages of share price appreciation over a period of time as it progresses. During that time some decent pullbacks as well. Quite often 50% pullbacks. They have estimated 5 or 6 years to production.
I would favour a takeover of tangiers if this does turn out to be a decent find as the big boys will be all over it, especially with the size of the other prospects on the permits. Zeus is believed to have a closure of around 1030 sq kms. Then you have little zeus, la dam etc.
I like to look at market caps rather than share price. Usually oilies get to a market cap of around $200m around drilling time, but not tangiers, we were the poor cousins.
In any event no point worrying too much of might what be, because at this stage we haven't got much at all, until we find out otherwise through an announcement.
GLA
Geez....This share continues to test ones patience. Farm-out took forever, trading halts, suspensions, management changes and now a trading halt during drilling...FFS. Us poor old longer term shareholders are certainly learning a lesson in patience...
TPT Price at posting:
13.0¢ Sentiment: Hold Disclosure: Held
