the defintiive valuation, page-2

Good purchase Paprika. I never imagined that it could go under $2.00 without any negative change in the company's fundamentals, but here we are. The only negative is in the operational side of it. We used to have 2 rigs going full steam but now it's just down to 'planning'. I don't think the market likes the odds of securing a bigger rig to start drilling soon. If it needs to come from offshore that will be many months before the bit starts turning. I can't understand why they can't use the current rig to drill shallower targets or more Ungani trend prospects. The only reason I can think of is they want to test the deeper prospects on the same well as many we're still sitting in gas at total depth.

BRU is in a single but massive basin with many different plays, all with absolutely mind boggling potentials. We sit in the oil window in the Goldwyer that could hold many billions of barrels. The shale oil and gas will provide us with enormous upside but will be a few years away and I don't think the market priced any of it in yet. I see the Ungani trend as the biggest catalyst in driving the sp up in the short term as it can provide us with huge early cash flows to derisk our other prospects. We're talking about at least hundreds of millions of barrels of conventional oil.
It looks like management realise this as well and stated they will give it the highest priority.