I'm usually a big fan of your posts sandy, and of your optimism....

I'm usually a big fan of your posts sandy, and of your optimism. But 2007 being a big year just isnt detailed enough - and its not a hard call to make either. Its pretty obvious that the drilling of stitch will be a plus - and on my estimates worth (on a risked n basis) between 7.5 and 9.5 cents alone. Also the construction of this rig appears to be on the boil as we speak, and there is a chance of further farmouts to santos based on the announcemnet back in April/May.

However Bayou is a big question mark, as is the timing of a potential capital raising (you would think they would want to get it underway before stitch and just after they announce new drilling program at Bayou if they can).

Personally i expect a run to at least 10c when stitch is being drilled, regardless of cap raising, reflecting both the exected value of the drill and the fact that when they drilled Nulla Nulla (similar sized but smaller prospect which was not endorsed by Santos) in '04 the price hit 11.5c around spud...

Just my opinion though, with risks around this being poor (or lack of) developments at BC and/or badly managed cap raising.