Let's put the Kaboom Hypothesis to the test....
If the EEZ farm in produces:
$1 million - then that adds .0003 to the share price in terms of value. That equates to .001 share price. Plus it buys another quarter or two until drilling in Kenya. It also reduces dilution by CD holders as their conversion price in 180 days will be higher...reducing the chance of breaching the 3 billion and going into an R/S. Let's call this the Fizzle Stage.
$10 million - then that adds .003 to the share price in terms of value. That equates to .0037 share price, a whopping increase from these levels of 428%. That will surely and substantially reduce dilution by CD holders waiting through their 180 day period. No chance of breaching 3 billion and going into an R/S. Let's call this the Kaboom Stage.
If, however, the EEZ is perceived to be like the JDZ or even better and oil prices are perceived to be going higher...and pre-salt is easier in the EEZ than it is in the JDZ, after all, our blocks are closer to the island and therefore shallower....and you have other activity in the other blocks taking place concurrently like Sinoangol or Oranto...
...then maybe we do get $45 million. At that point we'll not only be above 1 cent, but that will also put us right back on the OTC making us recognizable to more investors. Getting to Kenya without additional expenditures above the money raised will be a breeze. And the money could be applied to picking up that Ghana property and adding it to our portfolio of wonderful properties. And talk about huge development in Chad to boot. We can call that the Mushroom Cloud Stage.
Now the Kaboom Hypothesis states that we will only reach the Kaboom Stage...
...but you never know, maybe all those saying this is a Chernobyl disaster of an investment, just may not understand nuclear physics as well as they think they do.
Krombacher
