simple risk and reward

This is what we know so far:

1. VIL having approx 300ft of gas shows; selected 120ft payzone to test.
2. Three (3) intervals to test
3. Both gas and oil found
4. Flow tests to begin this weekend
5. SP is at 5.3c
6. Testing will stop once one zone is proven to be commercial

So what can happen from here? And likely effect on SP

Alt 1: First interval = commercial --> Trading Halt --> 10c minimum. Thats approx 90% return from today's close.

Alt 2: First interval = not commercial --> Price sensitive ann --> Possibly drop to 4c and stabilise at approx 4.5c as we wait for other two zones to test. SP unlikly to hold below 4c given there are still 2 intervals.

So whats my summary?

Current SP = 5.3c
1st zone cuccess = 90%+ gain
1st zone fail = approx 20% loss

Simple risk and reward.


Goodluck