Past year: ▼ 2%(1.80c – 3.60c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
20 Nov 2015investor presentation● Neutral
Presentation explains the acreage expansion to 272,422 gross acres (212,489 net, 78% interest) and the up-to-A$5m raising. It shows cash of A$6.2m (unaudited), rising to A$11m after the raising. Largely repeats the 19-20 November announcements.
20 Nov 2015capital raising announcement● NeutralMajor
A placement of up to 300 million shares at A$0.01 to raise up to A$3m was completed and oversubscribed. A Share Purchase Plan of up to A$2m (A$15,000 per holder) is also offered. Funds go to the new acreage deposit, seismic and working capital. This funds the 19 November acreage deal.
What it means for a shareholder
300m new shares at A$0.010 to raise about A$3.0m. That's 11% dilution: every existing holder's slice gets 11% smaller. If you held A$1,000 of shares (100,000 at the issue price), your slice goes from 0.00427% to 0.00379% of the company. To keep it you'd need 12,824 more shares - about A$128 at the issue price.
Create a free account to see this worked out for your own holding.
19 Nov 2015asset acquisition disposition▲ GoodMajor
The Icewine joint venture was high bidder on 174,240 new North Slope acres, paying a US$947,000 non-refundable deposit. Total cost is about US$5.5m, subject to formal award. Gross acreage rises to 272,242 acres; the company says HRZ potential is over 2 billion barrels recoverable (internal estimate). A small raising is planned.
18 Nov 2015drilling progress report▼ Bad
Drilling stopped at 8,773 feet for drawworks repairs, expected to take about 5 days and stay on budget. Heavier gas readings are described as encouraging for the thermal maturity model, though not proof. This is a setback after last week's fast progress.
13 Nov 2015drilling progress report● Neutral
Icewine #1 resumed drilling 10 November after the blowout preventer test and drilled to 6,258 feet at fast rates. Minor oil shows are seen but judged minor. The next casing point is about 10,450 feet, ahead of the HRZ shale target.
6 Nov 2015drilling progress report● Neutral
Icewine #1 has cemented the 9 5/8-inch casing at 3,515 feet and is testing blowout prevention gear. Drilling ahead in the 8 1/2-inch hole should resume within 24 hours. No new result; the next two to three weeks are described as critical.
5 Nov 2015investor presentation● Neutral
Presentation restates the 22 October spud and the one-billion-barrel shale target, and argues a successful well could support a 2016 farm-out. It cites a ~US$20m market cap and the company's own estimate of US$320m-1.8b value at 20-40% chance of success.
30 Oct 2015drilling progress report● Neutral
Icewine #1 has drilled to 3,515 feet and is setting 9 5/8-inch casing. The company reports no safety incidents and operations on schedule. Next casing point is about 10,300 feet, followed by coring of the HRZ shale target.
23 Oct 2015drilling spud▲ GoodMajor
Icewine #1, the company's first well on the Alaska North Slope acreage, spudded 22 October. It targets 11,600 feet in about 30 days, aiming at the HRZ shale. Definitive shale results will take several months of core analysis.
22 Oct 2015regulatory community update▲ Good
The permit to drill for Icewine #1 is approved by the Alaska regulator, the last permit required. Final rig inspection follows, with spud expected within hours. This resolves the permit delay flagged on 12 October.
19 Oct 2015regulatory community update● Neutral
The extra data requested by the Alaska regulator has been gathered and is being processed. A revised permit to drill is due to be submitted 20-21 October, with spud possible later that week. Rig repairs and testing were done during the delay.
12 Oct 2015regulatory community update▼ Bad
Spill plan approved 9 October, but the permit to drill is delayed by an Alaska regulator request for more information. Resubmission is expected by 19 October, so the 15 October spud slips by about a week or more.
6 Oct 2015debt financing▲ GoodMajor
First drawdown on the US$50m Bank of America facility is done, so the bank and 88 Energy now co-fund Icewine #1 costs. Rig mobilisation is complete with spud set for 15 October; the spill plan is expected within days and the permit to drill by week's end.
24 Sept 2015drilling progress report● Neutral
Kuukpik Rig 5 has started moving from Deadhorse to the Franklin Bluffs pad, with rig-up due before the planned mid-October Icewine #1 spud. The company says conventional potential is secondary because there is no 3D seismic.
18 Sept 2015regulatory community update▲ Good
Alaska's DNR approved the Icewine #1 Lease Plan of Operations, one of three key permits. The spill plan is in final review and the permit to drill was submitted 17 September. Mid-October spud is said to remain on track.
14 Sept 2015investor presentation● Neutral
September roadshow repeats known Icewine facts. It reports A$10.5m cash and 2,339m shares on issue, funding via Bank of America, and rig mobilisation targeted 1 October. Icewine #1 is a ~60-day vertical pilot hole to 11,600 feet.
11 Sept 2015half year report● Neutral
Half-year accounts to 30 June 2015 restate known facts: 87.5% Icewine interest, 492m barrel unrisked prospective resource, and cost cuts during the period. Auditor is shown as BDO. No new operating result.
10 Sept 2015contract award▲ GoodMajor
Rig contract signed with Kuukpik Drilling for Rig 5 to drill Icewine #1, on schedule for October spud (mid-October per the MD). Company says it is now funded and has a rig, with a short 39-mile move from Deadhorse.
27 Aug 2015capital raising announcement● Neutral
Second technical prospectus, for a nominal 1,000 shares at A$0.01 plus up to 70,000,000 options for nil consideration, lodged to clean up trading restrictions on securities issued after the placement. No new funds raised.
What it means for a shareholder
1,000 new shares at A$0.010 to raise about A$10. That's 0.0000764% dilution: every existing holder's slice gets 0.0000764% smaller. If you held A$1,000 of shares (100,000 at the issue price), your slice goes from 0.00764% to 0.00764% of the company. To keep it you'd need 0 more shares - about A$0 at the issue price.
Create a free account to see this worked out for your own holding.
26 Aug 2015asset acquisition disposition▲ GoodMajor
Transfer of title from Burgundy to 88 Energy's subsidiary is complete: 87.5% working interest over 69 leases, 98,182 acres. This closes the title thread; interest drops to 78% after Icewine #1 spud, scheduled mid October.
25 Aug 2015debt financing▲ GoodMajor
Binding US$50m Bank of America facility signed after due diligence, replacing the earlier non-binding letter. 88 Energy contributes about US$5.7m. With the A$12m raise it says Icewine #1 is fully funded for an October spud, with up to 85% State rebates.
29 July 2015capital raising announcement● Neutral
Technical prospectus for a nominal 1,000 shares at A$0.01 (A$10), lodged to remove trading restrictions on shares from the July placement. It raises no new money; the A$12m placement is unchanged.
What it means for a shareholder
1,000 new shares at A$0.010 to raise about A$10. That's 0.0000877% dilution: every existing holder's slice gets 0.0000877% smaller. If you held A$1,000 of shares (100,000 at the issue price), your slice goes from 0.00877% to 0.00877% of the company. To keep it you'd need 0 more shares - about A$0 at the issue price.
Create a free account to see this worked out for your own holding.
22 July 2015capital raising announcement● NeutralMajor
Oversubscribed placement of up to 1,200m shares at A$0.01 to raise A$12m, in two tranches; the second needs approval at a 21 August meeting. Shares would rise to 2,339m. Drilling is budgeted at about US$16.5m, with part reliant on the unfinalised Bank of America facility. Icewine #1 spud is targeted for October.
What it means for a shareholder
1.20bn new shares at A$0.010 to raise about A$12.0m. That's 51% dilution: every existing holder's slice gets 51% smaller. If you held A$1,000 of shares (100,000 at the issue price), your slice goes from 0.00877% to 0.00427% of the company. To keep it you'd need 105,277 more shares - about A$1,053 at the issue price.
Create a free account to see this worked out for your own holding.
9 July 2015regulatory community update● Neutral
Company sets out the Icewine title steps: the first lease (ADL392301) assigned, new-lease title granted to Burgundy 18 June, remaining assignments to 88 Energy expected mid to late Q3 2015. It expects no issues; the process is described as administrative.
29 June 2015investor presentation● Neutral
June 2015 roadshow repeats Icewine facts: 87.5% interest, 98,182 acres, 492m barrel unrisked resource, Icewine #1 spud now targeted for Q4 2015. Notes a market cap of about A$19.4m. No new announcements beyond the Bank of America letter.
24 June 2015debt financing▲ GoodMajor
88 Energy signed a conditional agreement and non-binding letter of intent with Bank of America for a US$50m facility. The bank may fund specific projects at its sole discretion, subject to due diligence. It is not committed funding yet; it targets Icewine #1 drilling.
16 June 2015other● Neutral
Cenkos Securities replaces RFC Ambrian as the company's AIM Nominated Adviser and broker, effective immediately. Administrative change of adviser with no financial terms given.
12 June 2015admin correction● Neutral
Computershare's Perth office moves to Level 11, 172 St Georges Terrace from 15 June 2015. Phone and postal details are unchanged. Administrative notice only.
4 June 2015investor presentation▲ Good
88 Energy relays Repsol/Armstrong's reported North Slope successes, with flow up to 4,600 barrels of oil a day, about 50 miles from Icewine. It suggests similar conventional potential on its acreage. No result on Icewine itself.
29 May 2015asset acquisition disposition▲ Good
Morocco's ministers signed the assignment, completing exit from the Tarfaya block (the TAO-1 dry-hole permit). This removes a possible US$3.4m liability to Galp. A separate US$3.4m Galp payment remains if market cap reaches US$50m before September 2021.
