sp valuation & analysis, page-2

Having read the latest announcement, it appears that there is potential to increase the predicted reserve size based on the results from New Seaclem-1. Therefore I don't think the drill can be considered a failure, as it is only intended for exploration in the first place. A 40m layer of porous sandstone does seem significant and if extrapolated, indicates the presence of substantial gas reserves nearby.

I guess the only loss here is the cost of drilling - 20-30M? However judging by the combined market cap of PEP11 (~250M) this represents only 10%. Therefore is probably the only realistic drop in valuation.