6 July 2020business combination▲ Good
88E says its XCD holding now guarantees it will reach the compulsory-acquisition threshold, so the offer will not be extended beyond 13 July. Holders who delay may wait up to about 50 days for their 88E shares.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
29 June 2020business combination● Neutral
XCD notes 88E now holds 82.57% of its shares and 81.35% of options, and urges remaining holders to accept before 13 July to avoid a roughly six-week compulsory-acquisition delay. An XCD-side repeat of known progress.
25 June 2020business combination▲ Good
88E extended the XCD offers to 13 July 2020, holding 79.84% of XCD shares and 79.22% of options. 88E nominees now form a majority of XCD's board. This moves the takeover closer to the 90% compulsory-acquisition level.
18 June 2020business combination▲ GoodMajor
88E declared its XCD offers unconditional and final (2.4 shares per XCD share, 0.7 per option, no increase), with payment within 7 business days. It holds 59.27% of XCD shares, so the takeover is now effectively assured; it plans compulsory acquisition if it reaches 90%.
18 June 2020business combination● Neutral
XCD's own release echoing 88E's declaration that the offers are unconditional and final. XCD's board still recommends acceptance, the independent expert still finds the offers fair and reasonable, and no superior proposal has appeared. No new substance beyond ref 2.
16 June 2020business combination▲ Good
88E reports acceptances for over 37.58% of XCD shares and about 18.31% of options, and all XCD directors have accepted for their own holdings. The 90% compulsory-acquisition threshold is not yet reached; offers close 25 June 2020 unless extended.
27 May 2020business combination● Neutral
88E notified that it has finished dispatching its bidder's statement and offers to XCD holders. The offers are dated 25 May 2020 and scheduled to close 5pm Perth time on 25 June 2020 unless extended or withdrawn. Procedural.
25 May 2020business combination● Neutral
XCD Energy issued its target's statement, with its directors unanimously recommending that holders accept 88E's offers, absent a superior proposal and subject to the independent expert continuing to find the offers reasonable. Text shown is mostly the cover and contents.
25 May 2020business combination● Neutral
88E began dispatching its bidder's statement and confirmed the offers for XCD Energy are now open for acceptance, as of 25 May 2020. Procedural step only.
21 May 2020business combination● Neutral
Cover letter releasing the clean replacement bidder's statement for the XCD takeover, dated 21 May 2020. Dispatch to XCD holders starts 25 May. It repeats the terms already announced.
21 May 2020well test result● NeutralMajor
Lab tests on Charlie-1 show the Torok liquid is about 50 degrees API but still condensate gas, with a gas-oil ratio of 17,000-23,500 cf/bbl. 88E sees signs of oil updip and in the Seabee, and says its original Heavenly location will anchor the ongoing farm-out. More lab results are due.
21 May 2020business combination● Neutral
88E lodged a supplementary and replacement bidder's statement for the XCD takeover. Offers open 25 May 2020 and are scheduled to close 25 June 2020 unless extended. Terms remain 2.4 shares per XCD share; this sets the timetable.
20 May 2020resource reserve update▲ Good
XCD Energy (the takeover target) reports its Project Peregrine royalty cut from 1.5% to 1.3%, and a higher chance of success for its Merlin and Harrier prospects after ConocoPhillips' Harpoon well found hydrocarbons. Total unrisked prospective resource is about 1.6bn barrels; target's statement due soon.
18 May 2020other● Neutral
Administrative notice setting the register date for the XCD takeover as 7pm Perth time on 19 May 2020, which determines who is sent the offer documents. No substantive information.
12 May 2020business combination● Neutral
88E served its formal bidder's statement for the takeover of XCD Energy, offering 2.4 88E shares per XCD share and 0.7 per listed option. The offer dates were left blank at this stage. It formalises the already-announced terms.
7 May 2020business combination● Neutral
Duplicate release of the 7 May announcement: 88E and XCD agree to merge via a recommended takeover at 2.4 88E shares per XCD share and 0.7 per option, with XCD holders getting about 20% of the combined group. No new information.
7 May 2020business combination▲ GoodMajor
88E and XCD agreed to merge under a Bid Implementation Agreement, with improved terms: 2.4 new 88E shares per XCD share (valued at 1.2 cents) and 0.7 per option. XCD's board unanimously recommends acceptance, subject to the independent expert. XCD holders would own about 20% of the combined group; equity valued at about $8.9m.
27 Apr 2020business combination● NeutralMajor
88 Energy announced its intention to make an off-market takeover bid for XCD Energy, an Alaska North Slope explorer: 1.67 new 88E shares per XCD share (valued at 1.0 cent) and 0.5 per listed option. XCD holders would own up to 15% of the combined group. No agreement yet; holders of 18.5% of XCD shares have pre-bid agreements.
27 Apr 2020business combination● Neutral
XCD Energy says 88E's offer was an unsolicited, non-binding proposal received on 24 April. The offer carries conditions including a 90% minimum acceptance. XCD's board makes no recommendation and tells shareholders to take no action.
20 Apr 2020resource reserve update▲ GoodMajor
Third-party log interpretation shows over 280 feet of net pay across the Seabee, Torok and Kuparuk, which the company says compares favourably with pre-drill expectations. Lab work must confirm it and will lead to a revised prospective resource. Cost cuts exceed A$750,000 a year.
7 Apr 2020drilling result▼ BadMajor
Charlie-1 found gas condensate in the Torok Formation (Middle and Lower Stellar) but Indigo was water-bearing, Charlie poorly developed and Lower Lima too poor to sample. Premier will withdraw and the well will be plugged. 88E expects no drilling cost. Mixed result, ending the oil-focused pre-drill hopes.
7 Apr 2020admin correction● Neutral
Updated re-release of the 7 April Charlie-1 result: the text is the same, with a corrected date (the first version was dated 7 March). Condensate found in Torok, Premier withdrawing, well to be plugged. No new information.
31 Mar 2020drilling result● Neutral
Charlie-1 reached total depth of 11,112 feet on 30 March 2020, having logged all targets including the HRZ. Logging-while-drilling shows are largely consistent with Malguk-1. Significance awaits wireline logging, about 7 days.
19 Mar 2020drilling progress report● Neutral
After a minor weather delay, surface casing is set and the blowout preventer test passed. Production hole drilling is imminent, with logging results expected in early April. The company says COVID-19 has had no impact so far. No new result.
11 Mar 2020drilling progress report● Neutral
Charlie-1 surface hole reached about 3,500 feet and casing is being run before the 8.5-inch production hole. Routine progress with no new result.
3 Mar 2020drilling spud▲ GoodMajor
Charlie-1 began drilling at 0600 on 2 March 2020 Alaska time, the well 88E has built toward since 2016. Premier funds costs up to US$23m. Targets total 1.6bn barrels gross (480 MMBO net) prospective; flow testing is expected to finish in April.
26 Feb 2020other● Neutral
Corporate governance statement for 2019: the board does not use separate committees, with the full board covering those duties. Administrative disclosure with no new operational or financial information.
26 Feb 2020annual report● Neutral
2019 annual report. The chairman's letter says the rig is on location for Charlie-1 (1.6bn barrels gross, 480 MMBO net mean prospective), and notes Winx-1 failed and the Premier farm-out was done. Financial figures are not visible in the provided text.
26 Feb 2020admin correction● Neutral
Appendix 4G for the year to 31 December 2019, lodged with the annual report. It points to the corporate governance statement on the company website. Administrative filing with no new operational or financial information.
24 Feb 2020investor presentation● Neutral
February 2020 presentation says rig is mobilised, ice road complete and permits approved, spud imminent. Logging results expected late March or early April, with flow tests to follow. Snapshot: cash A$28m including JV funds, 7,109m shares. No new results.