3D Oil

RISC valued TDO's 20% VIC/P79 interest at US$19.8m (A$28.6m): US$13.0m for Essington, risked at 51%, plus US$6.8m exploration value. ConocoPhillips can buy until 24 September 2026, at that value less the default claim, interest and a discount. TDO says it materially undervalues the interest and disputes the notices' validity.

asset acquisition disposition

TDO and ConocoPhillips could not agree a value for TDO's 20% VIC/P79 interest, so RISC Advisory was appointed expert valuer, due within about 90 days. If the buy-out is valid, ConocoPhillips can buy at that value less the default claim and interest. TDO reserves its position on validity.

joint venture update

ConocoPhillips SH2 has issued a buy-out notice to purchase TDO's 20% VIC/P79 interest at fair market value, following the unpaid cash-call defaults. If no agreed value, an expert sets it; ConocoPhillips then has 30 days to buy. TDO is still taking advice on the notices' validity.

debt default or forbearance

ASX directed TDO to release a funding and default update by 20 February so trading could resume. TDO did not comply, so the suspension continues as an ASX-imposed suspension until ASX is satisfied the company meets its disclosure obligations.

listing compliance notice

TDO reported two gas discoveries, Essington-1 and Charlemont-1, with the operator advancing the regulatory process toward Declaration of Location applications. Lab analysis showed Essington CO2 of about 2-4.5% and condensate-gas ratio of 30-33 stb/MMscf, and a decision on optional Charlemont-2 (Charlemont A, 332 Bcf gross, 47% chance of success) was being progressed.

joint venture update

A second default notice was issued for US$4.8m, to be remedied by 8 March 2026; total unpaid cash calls due 6 Feb were about US$7.7m. If the first notice is valid, ConocoPhillips and KNOC could now dilute or buy out TDO's 20% interest.

debt default or forbearance

The first default notice (about US$2.5m) went unpaid by 6 Feb, as did a further US$5.3m cash call. The company says the effect on its VIC/P79 interest is unresolved and the suspension will likely continue. Placement options were up for approval at the 9 Feb General Meeting.

debt default or forbearance

Drilling costs ran well over budget. 3D Energi owes about US$2.5m in joint venture cash calls it cannot pay, and the operator has issued a default notice (remedy to 6 Feb). A further US$5.3m is due 6 Feb. Trading is suspended, and its 20% VIC/P79 interest is at risk of dilution or buy-out.

debt default or forbearance

At the company's request, ASX suspended TDO shares under Listing Rule 17.2, until 6 February 2026 or an earlier announcement. This formalises the earlier trading pause while the company deals with its funding shortfall and the cash-call default.

listing compliance notice

Charlemont-1 is declared a gas discovery after a Waarre C gas sample with 16% CO2, similar to La Bella. Waarre A gas is only 'probable', with no samples, inconclusive pressure data and no Ora test. The well will be plugged and abandoned, ending Phase 1.

drilling result

Charlemont-1 reached total depth shallow of plan (2753m MDKB, about 70m into the Waarre A) after high pressure stopped drilling. Gas is probable in Waarre C, B and A, but wireline logging is needed to confirm. Waarre C gas was unexpected pre-drill.

drilling result

Charlemont-1 unexpectedly hit significant gas in the Waarre C about 160m above the main Waarre A target, with higher than expected pressure at 2,552m. Drilling is paused while the operator assesses design changes. An unplanned gas show and a delay, not a result.

drilling progress report

3D Energi secured firm commitments to raise $14.5m at 14c per share, a 17.6% discount to the last price of 17c, with one free 21c two-year option per share subject to shareholder approval. Proceeds go to Essington-1 testing, Charlemont-1 drilling and working capital, with 103.6m shares to be issued.

capital raising announcement

Charlemont-1, the second Otway well, was spudded on 10 December 2025, targeting 93 Bcf gross mean in the Waarre A at 81% chance of success. It should reach 2830m TVDSS in about 32.9 days. Risks noted include fault seal leakage and elevated CO2.

drilling spud

Ora testing of three Waarre A zones at Essington-1 showed deliverability in two of three, with the third deliberately in poor rock to find the limit of moveable gas. Fluid analysis indicates gas condensate with 3-4% CO2. Lab analysis pending; commerciality still under assessment.

well test result

Gas samples recovered from both Waarre C and Waarre A at Essington-1 confirm a gas discovery, with preliminary low CO2 of 2-4.5%. The company makes no commerciality assessment yet; Ora testing to follow. Firms up the 17 November indications.

drilling result

Essington-1 reached 2735m and found gas in two reservoirs: 58.5m net pay in the main Waarre A and 31.5m in the Waarre C, close to pre-drill predictions. Commerciality is not yet assessed; Ora flow-style testing is next. Ends the wait for the first result.

drilling result

Essington-1 was spudded by ConocoPhillips at 3:15am on 1 November 2025, starting the Otway drilling program. It targets 262 Bcf gross mean (52 Bcf net to 3D Energi) in two reservoirs, taking about 32 days to 2650m. Charlemont-1 follows.

drilling spud

3D Energi raised $9.4M at 11c per share, a 26.7% discount to the last price, with one free 18c option for every two shares. It funds Essington-1 only; Charlemont-1 needs further funding beyond the roughly $12M carry. This addresses the earlier low-cash concern.

capital raising announcement

Korea National Oil Corporation has completed its farm-in, taking 29% of VIC/P79 and T/49P after NOPTA and FIRB approvals, cutting ConocoPhillips to 51% as operator. 3D Energi stays at 20% with the US$65M two-well carry unchanged. This resolves the pending KNOC approval thread.

farm in farm out completion

Essington-1 is now due to spud in October 2025, a slip from September, followed by Charlemont-1 later in 2025. The two wells target 355 Bcf mean gross (71 Bcf net), with chance of success of 68-81%. All NOPSEMA approvals are received, closing that thread.

drilling scheduled

Phase 1 wells confirmed as Essington-1 and Charlemont-1, dropping Charlemont-2. The Transocean Equinox is due at Essington-1 in September 2025, then Charlemont-1 later in the year. Carry stays up to US$65M. This resolves the well-location thread.

drilling scheduled

Updated prospective resources across VIC/P79 and T/49P: 51 prospects with 9.2 Tcf gross mean (20% net to 3D Energi). The Charlemont Cluster of seven prospects is high-graded at 1.014 Tcf gross mean. These are unrisked estimates for undrilled targets, replacing the earlier revision work.

resource reserve update

Three possible Phase 1 well locations in VIC/P79 were named: Essington-1, Charlemont-1 and Charlemont-2, with drilling sequence undecided. 3D Energi moved its US$30M carry from T/49P to a second VIC/P79 well, keeping the total US$65M carry for two wells. Drilling is due Q3 2025.

drilling scheduled

Korea National Oil Corporation will take a 29% interest in VIC/P79 and T/49P by farming down ConocoPhillips to 51%, subject to FIRB and other approvals. 3D Energi stays at 20% and the US$65M carry is unchanged. ConocoPhillips remains operator.

farm in farm out agreement

The Transocean Equinox rig has arrived in the Otway Basin. Phase 1 drilling for the two carried wells (up to US$65M carry) is now scheduled for Q3 2025, with up to four optional wells in 2026-2028. Well locations are still unconfirmed.

drilling scheduled

NOPSEMA accepted the Otway drilling environment plan, covering up to six wells in VIC/P79 and T/49P. This resolves the long-running approval thread. Phase 1 drilling is to start in 2025; well locations are still unconfirmed, and well safety approvals remain to be obtained.

regulatory community update

3D Energi applied to NOPTA to surrender its 100% VIC/P74 Gippsland permit, after studies found risks in the Bigfin prospect (earlier 502 Bcf best estimate). No further commitments; surrender likely concluded by end-2024. Resources shift to the Otway drilling. This replaces the earlier plan to seek a farm-out.

asset acquisition disposition

Farmout agreements with ConocoPhillips were amended so the US$30m T/49P well carry can be used in either T/49P or VIC/P79. Total carry stays US$65m, with 20% retained in both permits and no extra cost. Well locations are not yet chosen.

farm in farm out agreement

3D Energi signed a gas sales Right of First Refusal Deed with ConocoPhillips covering its 20% share of any future gas from VIC/P79 and T/49P. ConocoPhillips gets first access; the deed is meant to let 3D Energi capture market-parity pricing. No gas found yet.

material agreement

NOPSEMA approved the two-year environment plan for the Sauropod 3D survey in WA-527-P, covering up to 3,447 km2. Acquisition is possible in January to May of 2024 or 2025. The company is still in talks with farm-in parties; none signed.

regulatory community update

NOPTA approved a two-year suspension and extension of WA-527-P (100% owned). The deadline to acquire the Sauropod 3D survey is now 28 December 2025, and the permit term ends 28 December 2028. The company is still seeking a farm-in partner; none signed.

regulatory community update

Placement raising $3.3m at 5 cents per share, issuing 66.1m new shares, a 5.66% discount to the last close. Funds go to Otway exploration work and working capital. First raising since the 2018 one at 11.5 cents.

capital raising announcement

Reprocessed seismic shows a possible gas-water contact (flat spot) at the Monarch prospect in VIC/P79. Best-estimate prospective resource is 316 Bcf gross, now the largest undrilled prospect in the permit, with a 47% chance of success. 3D Energi holds 20%.

resource reserve update

Following shareholder approval at the 24 November AGM, 3D Oil Limited became 3D Energi Limited from 30 November 2023. The ASX code stays TDO. An amended constitution was also approved and lodged.

security holder rights change

ConocoPhillips issued a Letter of Award for the Transocean Equinox rig to drill two firm Otway wells, plus 120 optional days. The rig is expected in Q1 2025. 3D Oil holds 20% and is carried on both wells, up to about US$65m.

contract award

Sequoia 3D processing in T/49P is complete (1,782 km2), later and harder than first expected, with Flanagan reprocessing merged in. Interpretation to rank gas prospects for drilling has begun. This resolves the long-awaited final volume; the company cites about 10 Tcf gross prospective resources, an earlier estimate.

resource reserve update

ASX suspended 3D Oil's shares from quotation for not lodging its periodic report by the due date. Normally lifted once the report is lodged.

listing compliance notice

NOPTA approved transfer of 80% of VIC/P79 and operatorship to ConocoPhillips, completing the farmout pending since July 2022. 3D Oil keeps 20%, receives US$3m and is carried for up to US$35m on one well due by February 2025.

farm in farm out completion

VIC/P79 resource upgrade: Essington (formerly Vanguard) best estimate rises from 161 Bcf to 246 Bcf. Six near-field La Bella leads add a combined 533 Bcf best estimate. La Bella 3D reprocessing has started, taking 8-10 months.

resource reserve update

ConocoPhillips is preparing an environment plan for up to six wells across VIC/P79 and T/49P, with two firm wells planned late 2024/2025 subject to rig availability. 3D Oil holds 20% of both and is carried about US$65m across one well in each permit.

drilling scheduled

3D Oil is awarded gas storage licence GSEL 759 (1.02 km2) over the depleted Caroline CO2 field in onshore South Australia. It will study storage of hydrogen, gas or CO2. The company describes it as a small first step in a broader energy strategy, a move beyond pure exploration.

asset acquisition disposition

3D Oil farms out 80% of VIC/P79 and operatorship to ConocoPhillips Australia for US$3m (~A$4.35m) upfront, keeping 20%. It is carried for the first US$35m of well costs, with a well due by February 2025. Subject to a joint operating agreement and approvals.

farm in farm out agreement

Two new VIC/P79 gas leads, Defiance (32.5 Bcf) and Trident (37.2 Bcf), are added beside the La Bella discovery, totalling 69.7 Bcf best estimate in-permit. They sit alongside the Vanguard prospect (161 Bcf), which was unchanged from the February award.

resource reserve update

3D Oil says the Santos/Carnarvon Pavo-1 light oil discovery, with 46m net pay, upgrades the same play in its 100%-owned WA-527-P next door. It argues Pavo de-risks source and seal there. It is a neighbour's discovery, not a result on 3D Oil's own permit.

regulatory community update

3D Oil was awarded the 2,576 km2 VIC/P79 permit in the Otway Basin, containing the Vanguard gas prospect at 161 Bcf best estimate. The work program includes one exploration well in Year 3. A new Otway asset beyond T/49P, adding drilling commitments.

asset acquisition disposition

Sequoia survey finished on 31 October 2021, covering about 1,700 km2, below the approved 2,450 km2 because of weather. All pre-existing leads were covered and ConocoPhillips' 1,580 km2 minimum commitment is met. Processing and a possible drilling decision come next; 3D Oil paid nothing.

drilling result

3D Oil upgraded VIC/P74 gas estimates after adding Emperor Subgroup volumes. Oarfish rose to 544 Bcf from 338 Bcf, now the largest lead, and Megatooth to 465 Bcf from 204 Bcf, giving an arithmetic best-estimate total of 1,855 Bcf. Farm-out talks continue.

resource reserve update

Sequoia 3D seismic acquisition in T/49P began on 27 August 2021, covering about 2,500 km2 over roughly 60 days. 3D Oil holds 20% and pays nothing; ConocoPhillips may later elect to drill, carrying 3D Oil for up to US$30m.

drilling progress report

ConocoPhillips, as T/49P operator, contracted the Geo Coral vessel for the Sequoia 3D seismic survey, about 2,700 km2 over roughly 60 days from August to October 2021. 3D Oil pays nothing under the farm-out. Firms up the previously planned 2H 2021 survey.

contract award

New VIC/P74 prospective resource estimate: four gas leads totalling 370 MMboe best estimate. The largest, Bigfin, holds 502 Bcf gas and 19 MMbbl condensate near Kingfish. Builds on the earlier CGG seismic reprocessing and the BigFin lead flagged in January; these are undrilled leads, not discoveries.

resource reserve update

NOPTA approved Hibiscus entering VIC/P74 on 8 October 2020. 3D Oil stays operator with 50%, completing the arrangement Hibiscus elected in October 2019. The 1,006 km2 permit's work programme is described as fully funded.

farm in farm out completion

NOPSEMA approved the Sauropod 3D seismic survey environment plan for WA-527-P, covering up to 3,447 km2 and scheduled for January-April 2021. Resolves the pending assessment; it aims at Dorado-style channel traps and the Whaleback and Salamander leads.

regulatory community update

NOPTA approved the transfer, completing the T/49P farm-out: ConocoPhillips holds 80% and operates, and 3D Oil keeps 20%. 3D Oil receives A$5m within two weeks; ConocoPhillips funds at least 1,580 km2 of 3D seismic and may carry up to US$30m on a well.

farm in farm out completion

3D Oil and ConocoPhillips signed the JOA, satisfying a key farm-out condition. Revised terms: ConocoPhillips takes 80% and 3D Oil keeps 20% (down from 25%), paying 10% of costs until US$30m is spent on a well. A$5m cash and free survey unchanged; government approval pending.

farm in farm out agreement

3D Oil farmed out T/49P to ConocoPhillips Australia, which takes 75% and operatorship. 3D Oil gets A$5m cash, a free 1,580 km2 3D survey (planned Q3 2020) and a carry of up to US$30m on any well. Conditional on a JOA and government approvals.

farm in farm out agreement

September quarter: no suitable seismic vessel found for the T/49P Dorrigo survey, so a Year 5 suspension and extension was applied for, allowing until 21 February 2021. Sauropod survey now early 2020 or early 2021; VIC/P57 Pointer and Felix now drill-ready; Hibiscus takes 50% of VIC/P74.

quarterly activities report

Hibiscus Petroleum elected to join a joint venture in VIC/P74, taking 50% equity, with 3D Oil remaining operator at 50%. Exercises the pre-bid right noted at the July permit award; brings in a partner on the new Gippsland permit.

farm in farm out completion

3D Oil awarded VIC/P74 (1,006 km2) in the Gippsland Basin next to the giant Kingfish field, with a modest work commitment mostly of buying reprocessed seismic. Hibiscus can elect to take up to 50%. A new exploration permit for the portfolio.

asset acquisition disposition

NOPSEMA approved the environmental plan for the Dorrigo 3D seismic survey in 100%-owned T/49P, scheduled late 2019. Resolves the pending approval thread; the survey targets leads including Seal Rocks (4.64 TCF best estimate, unrisked).

regulatory community update

T/49P's Year 5 work commitment is suspended for 12 months, with the permit term extended; Year 6 ends 21 February 2021. 3D Oil has until 21 February 2020 to complete at least 750 km2 of 3D seismic, and proposes 1,580 km2 in September-October 2019, pending NOPSEMA approval.

regulatory community update

3D Oil raises about A$3.0m at A$0.115 per share: a A$2.5m oversubscribed placement plus a roughly A$0.5m underwritten share purchase plan. Its first raising since 2008, it funds WA-527-P seismic purchase and planning, ending the no-dilution stance.

capital raising announcement

The VIC/P57 joint venture, in which 3D Oil holds 24.9%, was granted a five-year permit renewal, resolving the open renewal thread. First three years are studies and 230 km2 of seismic reprocessing to ready the Felix and Pointer prospects; a well is a later commitment.

regulatory community update

Review of WA-527-P identifies over fifteen oil leads, with three leads totalling a best estimate of 349 MMbbl of prospective oil (unrisked arithmetic total). 3D Oil will start a farm-out campaign this quarter. First resource estimate for this permit, which has no wells.

resource reserve update

June quarter: T/49P best-estimate prospective resource upgraded to about 10 TCF of recoverable gas (Flanagan trimmed to 1.34 TCF; central and southern leads 8.7 TCF). VIC/P57 Pointer gas prospect 235 Bcf and Felix oil 16 MMbbl; JV will renew the permit. Farmout continues.

resource reserve update

3D Oil was awarded WA-527-P, a 6,590 km2 Roebuck Basin permit in Western Australia, at 100%, from its December 2016 bid. Commitment is studies then 510 km2 of 3D seismic in Year 3; a well in Year 5 (about $30m estimated). It plans to seek a farm-in partner.

asset acquisition disposition

December quarter: Beach Energy will withdraw from T/49P and assign its 30% to 3D Oil for nil consideration, lifting 3D Oil to 100%. The farmout continues with no deal, and 3D Oil bid in the December offshore acreage round. Operating cash outflow was $556k.

quarterly activities report

Cost cuts worth over $600,000 a year: Chairman Campbell Horsfall and Melanie Leydin leave the board (she stays as Company Secretary), Noel Newell becomes Acting Executive Chairman, and Ian Tchacos joins as a director. Staff pay is cut; Horsfall gets four months' salary.

director officer appointment

NOPTA granted a 9-month suspension and extension of T/49P Year 3, giving the joint venture until about the first quarter of 2018 to drill Flanagan. This gives more time to find a farmout partner, which has not yet been secured.

regulatory community update

Sea Lion-1 is a dry hole: wireline evaluation and fluid sampling found no zones of commercial hydrocarbons, reversing the 9 November hydrocarbon indications. The well will be plugged and abandoned. 3D Oil's 24.9% share of costs was carried to US$7.5m.

drilling result

Sea Lion-1 reached 1,672m total depth, intersected the target zones and encountered indications of hydrocarbons. Whether there is a commercial accumulation is not yet known; wireline logging is still to be analysed. Early, unconfirmed positive.

drilling result

Sea Lion-1 began drilling on 26 October 2015 after the long rig delay, with the West Telesto on site since 22 October. Planned depth is 1,800m over 3–4 weeks, targeting 11.0 mmbbl (P50). 3D Oil holds 24.9%, carried to US$7.5m.

drilling spud

First resource estimate from the Flanagan 3D survey: Flanagan prospect 1.38 TCF recoverable gas (best estimate), and 6.82 TCF across T/49P including five leads. Company calls Flanagan drill-ready and will seek farm-in partners. These are unrisked prospective resources, not discoveries.

resource reserve update

The 974 sq km Flanagan 3D survey in T/49P is complete, on schedule, within budget and without safety incident. Processing and interpretation will take months, with results expected mid-2015. Joint venture now 3D Oil 70%, Beach 30%.

drilling result

Beach Energy will earn a further 10% of T/49P by paying more of the expanded 974 sq km Flanagan survey, taking 3D Oil to 70% and operator, Beach 30%. Final cash share depends on final survey cost. Reduces 3D Oil's cash exposure.

farm in farm out agreement

HiRex exercised its option for 20% of VIC/P57, completing the Hibiscus/HiRex package approved 11 August. 3D Oil now holds 24.9%, fully funded up to US$30m gross cost of Sea Lion-1, due Q2 2015. Regulatory registration still pending.

farm in farm out completion

3D seismic acquisition has begun in T/49P, with 3D Oil at 80% and Beach 20%. The Flanagan survey area is about 970 sq km, up from the 755 sq km planned, and should finish by mid-December, weather permitting.

drilling progress report

Operator CHPL signed rig contracts for the West Telesto jack-up to drill Sea Lion-1, scheduled second quarter 2015, sharing costs with Origin. Sea Lion P50 prospective resource is 11.0 mmbbl. 3D Oil's share is carried up to US$7.5m.

contract award

3D Oil contracted the Polarcus Asima to shoot the 755 sq km Flanagan 3D survey in T/49P from November, with Origin sharing mobilisation costs. Beach funds roughly 40% of cost. Whalebone and Flanagan leads total 7.8 TCF best estimate (company, unrisked); 10+ leads about 20 TCF.

contract award

3D Oil received US$14.05m from CHPL, completing the sale of its 49.9% of West Seahorse for US$16m total. This ends its stake in the field. The earlier US$7.5m for the rig and 5% of P57 funds the Sea Lion well, now due in second quarter 2015.

asset acquisition disposition

NOPTA approved and registered the Hibiscus transaction transfers. 3D Oil is to receive a further US$14.05m for West Seahorse, and the A$9m oil revenue obligation on VIC/P57 is extinguished. HiRex then has one month to take up its 20% VIC/P57 option.

asset acquisition disposition

Beach Energy's purchase of 20% of the T/49P permit has completed, with 3D Oil receiving the remaining A$2.5m of the A$3m price. 3D Oil keeps 80% and operatorship. Talks continue with other potential farm-in partners.

farm in farm out completion

Hibiscus's subsidiary CHPL exercised its option to buy 3D Oil's remaining West Seahorse (VIC/L31) interest for US$14.05m, subject to NOPTA approval. 3D Oil will then hold no interest in the field. VIC/P57 stake will be 24.9% or 44.9% depending on HiRex.

asset acquisition disposition

Shareholders approved both Hibiscus and HiRex resolutions at the 11 August meeting, carried on a show of hands. Proxies were about 68.6m in favour and 200,000 against. This clears the main hurdle for the restructuring.

agm notice

Binding deals with Hibiscus and HiRex follow the May heads of agreement: US$7.5m for 3D Oil's Britannia rig share and 5% of VIC/P57, about 6.07% of VIC/L31 handed over against US$1.94m owed, plus options over the rest of L31 and 20% of P57. Needs shareholder approval.

material agreement

Beach Energy agrees to pay A$3m for 20% of the T/49P gas permit, valuing it at A$15m. 3D Oil keeps 80% and operatorship. This is the farm-in long sought; a 755 sq km seismic survey is planned for late 2014, and other talks continue.

farm in farm out agreement

3D Oil signs a largely non-binding heads of agreement with Hibiscus and HiRex after funding problems: US$2m working loan, Britannia rig sold to Hibiscus, West Seahorse obligations paid by giving up VIC/L31 equity. Strategy and timing to be reassessed; shareholder approval needed.

material agreement

March quarter report says project debt markets are challenging, so West Seahorse financing needs more time and the final investment decision is delayed until funding is secured. Funding talks with partners are advanced. T/49P farm-out now actively pursued.

quarterly activities report

Independent assessor GCA upgrades West Seahorse to 2P reserves of 6.5 mmbbl (2.9 mmbbl net to 3D Oil's 49.9%), up from the earlier 9.2 mmbbl contingent resource. Capex put at about US$140m. Financing and FID still expected early 2014.

resource reserve update

The regulator awarded the joint venture production licence VIC/L31 over West Seahorse, resolving the pending licence. Final investment decision is expected early 2014 and production early 2015. 3D Oil holds 49.9%, with Hibiscus operating at 50.1%.

regulatory community update

The regulator offered the joint venture a production licence over West Seahorse and approved the field development plan, with 90 days to accept. This is the licence long expected for Q3 2013. Final investment decision has slipped to early 2014 from Q4 2013.

regulatory community update

3D Oil starts formal financing for West Seahorse, capex US$125-150m including the US$15m Britannia rig, plus a US$20m Sea Lion-type exploration well. Banks signal debt of 50-70%. Extra equity may come from farming down its 49.9% or issuing new 3D Oil shares.

capital raising announcement

The joint venture signed a US$12m purchase of the GSP Britannia jack-up rig, plus a US$3m service agreement, to convert into the West Seahorse production platform. Hibiscus's farm-in money funds it. The rig is planned to be sold and leased back, and first oil could come as early as late 2014.

material agreement

3D Oil was awarded 100% of exploration permit T/49P in the offshore Otway Basin, Tasmania (4,960 sq km), next to the Thylacine gas field. Minimum work program is A$13.15m, mostly a 3D seismic survey in year 3. It plans to seek a farm-in partner. This is a new gas-focused permit after T/41P was relinquished.

asset acquisition disposition

The joint venture lodged its West Seahorse production licence application, following a favourable regulator response to the preliminary development plan. 3D Oil expects the licence to be awarded in Q3 2013. This delivers the early-2013 application step flagged earlier.

regulatory community update

The joint venture chose an offshore West Seahorse development: a leased mobile offshore production unit feeding a leased storage tanker, with initial rates up to 12,000 bopd and a 4-5 year field life. It chose this over the onshore plan to cut time to first oil, which stays on track for Q1 2015. WorleyParsons won the FEED contract.

material agreement

The Hibiscus farm-in completes: Hibiscus holds 50.1% of VIC/P57 and becomes operator, 3D Oil keeps 49.9%. Hibiscus will fund the first A$27m, with A$20.25m already deposited in joint accounts. 30,963,000 shares were issued to Hibiscus. Ends the long search for a West Seahorse funder.

farm in farm out completion

Hibiscus Petroleum (Malaysia) signs conditional deals to earn 50.1% of VIC/P57 by funding up to A$27m and to take about 13% of 3D Oil for roughly A$2.0m at 6.6c a share. Hibiscus would become operator and get 74.9% of production until its funding is recovered. Replaces the lapsed Oracle deal.

farm in farm out agreement

3D Oil will not renew its 100% T/41P Bass Basin permit after its six-year term. Renewal required a well within three years, which it says could not be justified given high risk and insufficient prospect size. Ends the Dalrymple farm-out effort and leaves VIC/P57 as the sole permit.

asset acquisition disposition

Oracle says it cannot finalise definitive documents on the original timetable and terms, so the 17 February deadline passes without a deal. Talks continue non-exclusively, 3D Oil is reopening talks with other parties and has retained Gresham Advisory Partners. Setback for the farm-out.

farm in farm out agreement

Reprocessing of over 500 sq km of Northern Fields 3D seismic is complete, with clearly better deep imaging. Early review of the Felix prospect (potential over 100 MMbbl) is 'very encouraging'; full evaluation will take months. Resolves the long-delayed reprocessing thread.

other

Non-binding term sheet: Canada's Oracle Energy could earn 50% of VIC/P57 by funding two wells, up to A$30m carried. Likely targets are Felix and Sea Lion. Binding documents are due by 17 February 2012, and Oracle must raise at least A$15m by 30 June 2012. Not yet a firm deal.

farm in farm out agreement

VIC/P57 is renewed for five years from 10 August 2011, keeping all identified leads and prospects. The permit shrinks to about 483 sq km, roughly two thirds of the original, after required relinquishment. Resolves the renewal thread and supports farm-out talks.

regulatory community update

Independent review by Gaffney Cline lifts West Seahorse's best-case recoverable oil 74%, from 5.3 to 9.2 MMstb (low 4.2, high 14.5). Still classed as contingent resource, not reserves, but GCA says it can be booked as reserves once development is committed. Resolves the certification thread.

resource reserve update

3D Oil starts FEED engineering for West Seahorse (2P 5.3 MMbbl), choosing a subsea well piped to shore, with development cost estimated under US$80m. FID is now targeted for second half 2010 and first oil in 2012. Financiers are in discussions; Sea Lion put at 20 MMbbl.

material agreement

3D Oil extends the Vic/P57 farm-out evaluation period, saying numerous parties are interested and need more time. A final investment decision on West Seahorse is possible before end-2010. It also identifies a new Flinders prospect near Felix. This delays the December target.

joint venture update

3D Oil says its 100%-owned Felix prospect in Vic/P57 could hold 100 MMbbl of recoverable oil, about 7 km west of the producing Moonfish field. It is described as ready to drill, and the company aims to secure a farminee to drill within a year.

resource reserve update

3D Oil announces an accelerated growth strategy and a formal process, with Core Energy Group, to find a joint venture partner, aiming for a decision by December 2009. Follows the failed Drillsearch bid and earlier talks with unnamed parties.

other

3D Oil announces Drillsearch's hostile offer failed, with 33.3% total acceptances from a 19.9% pre-bid base against a 50% minimum. Management says it can now return to developing West Seahorse and selective exploration, calling its position secure.

business combination

Drillsearch confirms its offer closed 9 June 2009 and that it and its associates now hold no relevant interest in 3D Oil. It will not compulsorily acquire the rest as acceptances fell short.

business combination

Drillsearch says it will not extend its offer past 26 May or waive the 50.1% minimum, so the bid will lapse. It cites 3D Oil's cash falling from $14.5m to $8.5m over the March quarter. This is the bidder's reasoning.

business combination

3D Oil issues its Target's Statement, with directors unanimously recommending shareholders reject Drillsearch's offer. It argues the offer undervalues the company, giving 33% of the merged group for 67% of combined 2P reserves, and is 24% below 3D Oil's recent average share price. Resolves the pending Target's Statement.

business combination

West Seahorse 2P reserves plus best-estimate contingent resource rise to 8.7 MMstb from 7.86 MMstb in August 2008. 1P reserves rise 32% to 4.1 MMstb. This used independent consultants, and 3D Oil is considering seeking a joint venture partner for development.

resource reserve update

Drillsearch formally lodges its Bidder's Statement: 4 Drillsearch shares per 3D Oil share, for all 3D Oil shares. This turns the intended bid into a formal offer, which 3D Oil's board has said it intends to reject.

business combination

3D Oil's board formally recommends shareholders reject Drillsearch's all-scrip offer, calling it opportunistic. It says Drillsearch's share price fell over 30% since the interest was announced. A full Target's Statement is expected in late March.

business combination

Chairman Peter Willcox steps down, citing the takeover workload and other commitments. Director Campbell Horsfall becomes chairman and company secretary Melanie Leydin joins the board. Gresham Advisory (financial) and Baker & McKenzie (legal) are hired to handle the Drillsearch bid.

director officer appointment

3D Oil's board says its present intention is to reject Drillsearch's intended all-scrip offer, as it does not reflect the company's value. MD Noel Newell, holding 18%, does not intend to accept. Shareholders need take no action.

business combination

Drillsearch announces its intention to make an off-market takeover for 3D Oil at 4 Drillsearch shares per 3D Oil share, with a 50.1% minimum acceptance condition. It already holds a relevant interest in 19.9%. This turns the earlier pre-bid agreements into a firm intended bid.

business combination

3D Oil responds to Drillsearch's deal with holders of 19.9% of its shares, under which they would accept a bid of at least 4 Drillsearch shares per share. No offer exists yet and no action is needed. Cash is about $12m (6c a share).

business combination

West Seahorse is now put at 7.86 MMstb of 2P reserves plus best-estimate contingent resource, down from the earlier 10.3 MMstb. It splits 4.63 MMstb 2P reserves and 3.23 MMstb contingent. This is an in-house estimate; independent certification is planned.

resource reserve update

Wardie-1 found oil in thin sands at 1,582-1,594m, but reservoir quality is too poor to keep, so it will be plugged and abandoned. 3D Oil says it is funded with no work commitments outstanding; Sea Lion (20.7 MMbbl mid-case) is next.

drilling result

Wardie-1 spudded on 10 May from the same location as West Seahorse-3, and was at 136m. 3D Oil also says West Seahorse-3 is suspended and can be completed as a producer or sidetracked; a velocity variation put deeper zones lower than predicted.

drilling spud

West Seahorse-3 found an 8m oil column in the top Latrobe N1 sand, confirmed by fluid samples, with excellent reservoir quality. The other two expected oil zones (N2.6 and P1) were deeper than predicted and showed no moveable oil. The well is to be suspended; Wardie-1 follows.

drilling result

West Seahorse-3 spudded at 4.15am on 24 April 2008, the first well of the campaign. It was at 105m depth, with the Latrobe Group primary target expected the following week.

drilling spud

3D Oil raises $7.02m through a placement of 13.5m shares at 52c to institutional and sophisticated investors via Veritas Securities. Funds go to the West Seahorse and Wardie wells, a FEED study and working capital. It adds to the funding after the IPO's final call.

capital raising announcement

Final 15c call on partly paid shares received from 98% of the 110m shares, $16.23m, completing the $44m IPO funding. Shortfall of 1.81m shares ($271,727) faces forfeiture and sale. Company says it is fully funded for the West Seahorse-3 and Wardie drilling.

capital raising announcement

Wardie prospect, 1km south-west of West Seahorse, will be drilled early 2008 ahead of Sea Lion because of lower risk. A discovery could use West Seahorse facilities. Resource estimates not yet prepared; West Seahorse-3 and Wardie-1 could be drilled from one location.

drilling scheduled

Peter Willcox, former BHP Petroleum chief executive (1986–94) and Telstra director, is named chairman from 5 November, on $120,000 a year plus 4 million options. Resolves the vacancy left by Ian Gorman's resignation.

director officer appointment

Chairman Ian Gorman resigns from 21 September 2007 due to ill health. Campbell Horsfall will act as chairman while a replacement is sought.

director officer appointment

ASX confirms 3D Oil was admitted to the Official List on 16 May 2007. Quotation of 110,000,000 partly paid shares (paid to 25c, 15c more due 6 December 2007) starts 22 May.

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