Guys, having been burnt a few times at the speccy end of the market holding too long as missing the sell signals... I'm keen to lock profits in here and I'm trying to realistically set some price targets for BKP.
I'll kick it off by drawing a few comparisons with CTP - only because CTP recently hit oil and are small cap.
So... When BKP had oil shows at 90% owned JW1 the price ran from a low of 4.3c to 10c quite quickly. It has since dropped back with a mechanical issue - but might have run further.
So in terms of % increase we saw about 150% in a few days on good news - we might see a run like that if the upcoming report is bullish. For example we could run from current levels to around 1c-1.2c
In terms of market cap, CTP at 10c are about $90 million undiluted. But remember JW1 is 90% owned by CTP.
Assuming an oil show in a drill where BKP have 25% free carry - could we expect market cap around $25 million? That would represent a share price around 1.5c or 200% higher than today's close.
So I'm thinking an optimistic short term target here is 1.2c-1.5c
Very keen to hear the thoughts of those more expert than myself.
BKP Price at posting:
0.5¢ Sentiment: Hold Disclosure: Held
