I have no complaints about the MD yet and I am assuming they are still working on a JV partner for the oil drill. With regards to the CSG drilling, then they are really working on ESG's timetable, but the advice to this point has been this quarter. My only thought in the past was for OIP to spend its own money on the Pel 6 whole and keep it at close to 100% ownership - that is, no need for a JV. Say $2M out of the $13M we have in cash.
As has been said before a run to 30c is relatively easy and compares to a market cap of around $45M. Once we go beyond 30c you then need to factor in the 155M options and the 30c excercise price that these would bring in.
Based on the existing CSG resources identified and the prospect of new drilling, 25-30c is very doable in the current market. If the drilling identifies additional resources, then I would be looking at 60c to $1 based on the original targets.
OIP Price at posting:
13.5¢ Sentiment: Buy Disclosure: Held
