Malcy's RNS comment..14 Sep 2022 08:25
....This is a very interesting report, it has been commissioned despite some uncertainty about the extent and size of the Ashover Grit but that has been rewarded by a ‘significant increased estimate of STOIIP of 10.12 MMBbl and a recoverable resource of 2.43 MMBbl’.
The Wressle-1 well also indicated the hydrocarbon potential of the Santon Sandstone where GaffneyCline has estimated a Contingent Resource and that the Illustrative Production Scenario shows a constrained plateau production rate of 800 barrels of oil per day for approximately five years. In addition it should be remembered that in the FDP the *****tone Flags reservoir is developed with two or three additional wells.
The market has this morning fallen, it may have taken this good news the wrong way or probably more likely some profit taking, after all the shares have effectively doubled in the last month. This is too tempting for some investors who had seen a good profit and the shares approaching the five year high.
As it happens I disagree and if were allowed I would be taking the opportunity to buy stock at this level, after all my recently published target price of 100p should be achievable especially when you look at the wide and diverse portfolio of assets almost all of which has considerable upside.