Linebacker11 the reason it hasn’t rerated as of yet is the risk...

Linebacker11 the reason it hasn’t rerated as of yet is the risk that the flow rate will not be that great. Yes they have oil and yes there is a ton of it but the upper sheet flow rates were poor and hence need significant capital injection for a feasible commercial flow hence why the market hasn’t reacted to the reports on reserves. They get the flow rate up for the upper sheets and the company will rerate significantly

Lower sheets are simple if they flow at a strong rate the stock will triple in a very short time and 20 cents will be on the target. However knowing that API is on the heavy side even at 20-24 API being 4km down a hole and expecting a big daily production based on science is highly unlikely however it can surprise to the upside and if that does happen 20 cents will be targeted and tested. It’s a wait and see just for flow because no doubt about it the oil is there and no one questions that. Can this field be feasible and that’s the big question being answered right now due to the risk of a low API.

PCL is worth more than MAY and MAY is proven for oil and derisked but because the upper sheets brought in poor flow rates the risk going down another 3km deep means the risk is higher but the upside is huge. Will re invest on getting significantly better flow rates than the upper sheets. Only few weeks away