Providence Resources - Monetary value of Free Carry - Hello there JR. I imagine...

Hello there JR. I imagine first of all any Farm in Partner will want to do the appraisal drill before contractually committing to bringing Project into development. Thus once appraisal completed (100m dollars should do this and also allow them to test Jurassic) the Farm in Partner will have option to progress to production or sell its stake to another Operator at that point. I imagine that providence will have a clause in the contract that ensures some sort of staged farm in that either ensures that the chosen Farm in partner must either progress (upon completion of appraisal drilling) to production or sell its stake to a 3rd party that will bring project to production or else hand back a certain percentage of project to providence. Thus valuation of free carry will increase or decrease depending on appraisal results and what happens thereafter. I imagine short Term that we will see Share Price rise to 3-4 Euros. Spanish Point drill if successful could push us back above 6 Euros. If Price of Oil rises again and Appraisal drilling at Barryroe Successful this share could fly again.