spec oiler, page-4

B2

From a oilspec market strategy perspective CVN is looking like a buy with a 3 to 6 month view.

I believe they are conducting another drill program mid this year? I am not sure of timing.

I believe the current price of 4 cents is the base of a consolidation zone and it is unlikely to head too much lower. Pre the last drill program they ran to 6 cents. That is 50% above the current price.

There is reasonable probability they will run to at least 5 cents and above as the new drill campaign approaches, particularly if they sprout on about the new exploration potential they will drill. I see a 25% low risk trade here as a minimum.

Irrespective of past disappointments and lower than predicted cashflows, there is nealry always a pre-drill program speculative bubble for us to ride on.

The only caveat I place is whether CVN will have to raise cash. That needs to be checked. Placements always dampen the pre-drill speculative price action.

I cant say whether I will buy CVN or not, but I do think are they starting to look like a low risk investment.

But maybe your charts dont tell you this???

acturtle