It's at the bottom of a cycle, both gas prices and the stock...

It's at the bottom of a cycle, both gas prices and the stock itself. Woodside, Exxonmobil and Mitsui who have the Kipper field right next to EMP's Judith which they feed from with a subsea pipeline to West Tuna.




This is why I am thinking that it's a possibility that they could also do the same with Judith to extend the life of their existing facilities. At this stage yes it's a long shot, yes EMP need a renewal to make it achievable. That's why it's dwindled to around 1c and atm and only $2.9M MC which is likely going to be a key support level and why I'm buying here. That's what I do, buy when no one else wants to then sell it to someone else who is late to the party.

Woodside shelled out $50M to PCL to fund the exploration there, they have the cash and the facilities so if the field is worth extending the life of their existing assets then to me it remains on the table as something they'd be looking at in future. When I was working on the Bayu Undan for Santos they were actively drilling neighbouring areas to try extend the life of the facility so this is what they do.

I may be wrong and I may be right, the risk V reward is tantalizing at this level. PCL went from $0.001 to $0.023 ($7M to $180M MC for 2,300%). MGT another I was buying when no one was looking went from $0.001 to $0.096 ($2M to $250M MC for $9,600%). (One thing to note that these companies had 2.2 to 7.1 billion shares on issue at the time whereas EMP has only 270M in comparison so there is no chance they would hit $0.001 like the other two I gave examples of here).

So I weighed up what the risk is and thiis is how I see it. Worst case scenario licence doesn't get extended it goes to $0.007 for $2M MC for around 30% loss or it runs to the following targets:

1) $25M MC for 800%
2) $50M MC for 1,600%
3) $100M MC for 3,200%
4) $200M MC for 6,400%
5) $250M MC for 7,600%

For the potential of just reaching that first target I'm happy to risk my 30% as it has the potential to create huge returns IF all goes well. If not then so be it, on to the next one which I am more invested in than here so it's no big deal.