The oil isn't a drug but is being used as an ingredient for other drugs. I think you're talking about ViroXis' current work in a product to treat warts etc.
I don't think their oil is a 'wonder drug' or miracle by any means but it does provide alternatives that may be better for people with sensitive skin etc.
A lot of their work in the pharmaceutical industry is still too premature for me to make any conclusion, but their Benzac product has been very well received.
Personally, I think the share price is currently too low when ignoring the additional prospects that ViroXis offers, and while I'm sure the SP would be affected in the ST, it would still be worth more than the SP reflects today.
TFC Price at posting:
$1.49 Sentiment: Buy Disclosure: Held