Past year: ▼ 33%(83.5c – 1.29 AUD)
Each one in plain English, with the numbers worked through for a shareholder.
1 Aug 2011drilling result▲ Good
Drillsearch (60% of PEL 91) restates the Bauer-1 discovery: 15m oil column, up to 2 million bbl gross recoverable, calling it the largest McKinlay-Namur find in the permit. Production expected December quarter 2011; Searcy-1 is next.
1 Aug 2011drilling result▲ Good
Cooper Energy (25% of PEL 92) confirms the Rincon-1 discovery, a 5m gross oil column in the Namur, versus a pre-drill estimate of 0.551 million bbl P50. It will be a production well tied into the PEL 92 system. Elliston-1 is next.
1 Aug 2011drilling result▲ GoodMajor
Beach announced two oil discoveries: Bauer-1 in PEL 91 (15m column, up to ~2 million bbl gross, online Q4 2011) and Rincon-1 in PEL 92 (5m column, up to 500,000 bbl gross). Bauer is the third PEL 91 well to succeed, after Hanson-1 and Snellings-1.
28 July 2011quarterly activities report● Neutral
June quarter production was 1.57 MMboe (+4%), FY11 6.55 MMboe; revenue A$108.9m, net cash A$173.3m. Western Flank output was hurt by the shut Tantanna pipeline, with oil trucked at about 4,000 bbl/d versus 6,000. PEL 92 added about 2.3 MMbbl net reserves.
25 July 2011drilling spud● Neutral
Drillsearch reports Bauer-1, fourth of five PEL 91 wells (Beach 40% operator), spudded 24 July. Mean prospective resource is 840,000 bbl in the Namur, high side 1.36 million bbl. Drilling expected to take 10-14 days.
19 July 2011regulatory community update▲ Good
Petratherm reports the Paralana 2 fracture stimulation succeeded, with the stimulated zone reaching about 900m east of the well at 3,500-4,000m depth, beyond the 500m target. This helps site Paralana 3. Beach holds 21% (inferred from earlier context).
15 July 2011farm in farm out agreement▲ GoodMajor
Beach and Icon settled the ATP 855P dispute, dropping the Federal Court case. Icon transfers 40% to Beach (subject to Ministerial approval); Beach funds Icon's share of a ~A$16m gross horizontal pilot well bar Icon's A$1.75m. Icon gets 33.333% of PEL 218 Post Permian.
15 July 2011farm in farm out agreement▲ Good
Beach's own release confirms the ATP 855P settlement: court case discontinued, 40% transferred from Icon (subject to approval), Beach to drill a horizontal shale pilot well. Resolves the dispute set for trial 18 July. Repeats Icon's release.
12 July 2011flow test result▲ GoodMajor
Holdfast-1 flowed gas at an average of 1.8 MMscf/d, reaching about 2 MMscf/d, from 3,100-3,500m, beating expectations for a vertical data-gathering well. A material shale resource booking is due in late July/early August, and Encounter-1 stimulation is expected in the December quarter.
12 July 2011flow test result▲ Good
Adelaide Energy (10% of PEL 218) repeats Beach's Holdfast-1 result of about 2 MMscf/d, with no formation water seen so far. It expects to progress the material resource booking in coming months. Third-party restatement.
12 July 2011flow test result▲ Good
Media release on Holdfast-1's flow of up to 2 MMscf/d, steady at about 1.8 MMscf/d. Management calls it significant and expects higher rates from horizontal wells. The 2012 pilot program is two horizontal wells, one per location. Repeats the ASX release.
8 July 2011regulatory community update● Neutral
Petratherm reports the Paralana 2 fracture stimulation has begun, expected to finish by the end of the following week. It aims to create fractures beyond 500m and will help site the Paralana 3 production well. Beach, with 21%, is a partner.
6 July 2011drilling progress report● Neutral
June report: Turton-1 and Westall-1 in PEL 92 were dry; Parsons-5 succeeded. Snellings-1 was cased as a discovery and Arno-1 is drilling. Holdfast-1 clean-up began. Wandilo South-1 was dry; ZZ-4 in Egypt was cased and suspended for later flow testing.
6 July 2011drilling scheduled▲ GoodMajor
The PEL 92 joint venture approved a 12-month program to June 2012 of nine exploration wells plus 3D and 2D seismic, costing over A$24 million. It targets a risked mean gross reserve addition of about 1.8 million bbl. Beach holds 75%.
4 July 2011investor presentation● Neutral
Beach's Asian roadshow presentation repeats known points: FY11 production guidance of about 6.5 MMboe, 2P reserves of 66 MMboe and total 363 MMboe at June 2010, and growing east coast gas demand. No new results in the readable text.
1 July 2011drilling spud● Neutral
Arno-1, the third of five PEL 91 wells (Beach 40% operator, Drillsearch 60%), spudded 30 June. Mean prospective resource is 790,000 bbl in the Namur and 280,000 bbl in the Birkhead, high side up to 1.3 million bbl and 530,000 bbl. Drilling takes 10-14 days.
1 July 2011debt financing▲ GoodMajor
Beach replaced its A$35 million working capital facility with a A$150 million revolving corporate credit facility backed by Commonwealth Bank. It does not expect to use it immediately; it is meant to support the planned exploration and development campaign for FY2012. Beach was previously debt free.
30 June 2011drilling result▲ GoodMajor
Parsons-5 in PEL 92 (Beach 75%) found a six-metre oil column, the program's fifth success. Beach's preliminary work points to a Parsons Field reserve increase of more than 800,000 barrels. Tie-in is expected in the second half; Wheatons-1 is next.
30 June 2011drilling result▲ Good
Cooper Energy (25% of PEL 92) reports Parsons-5 reached 1,384m and found about 6m of oil in good Namur sandstone. It will be cased and suspended. Confirms Beach's release; Cooper gives no reserve figure.
28 June 2011drilling result▲ GoodMajor
Holdfast-1 fracture stimulation was completed in seven stages and the shales fractured vertically, which favours horizontal production wells. Flow testing starts early July for about three months, with a resource booking in early August. Encounter-1 stimulation slips to the December quarter.
24 June 2011asset acquisition disposition▲ GoodMajor
Beach sold its entire Ramelius Resources shareholding for A$25 million cash, a further A$3.3 million profit. Beach once held 22.7%. It calls the gold stake non-core and says the cash will help fund oil and gas programs.
22 June 2011regulatory community update● Neutral
Petratherm, a Paralana partner (Beach 21%), says the main Paralana 2 fracture stimulation is scheduled for the first week of July, ending a delay from equipment availability. The target is to detect microseismic events beyond 500 metres. Third-party update, not a Beach release.
21 June 2011drilling result▲ GoodMajor
Snellings-1 in PEL 91 is a second new oil field discovery in the five-well campaign (Beach 40% operator, Drillsearch 60%). A 2-hour test recovered 31.5 bbl of oil; extent of the oil column is uncertain, so side-wall cores are being taken. Online expected Q4 2011. Ensign #18 moves to Arno-1.
15 June 2011investor presentation● Neutral
Managing Director Reg Nelson's UBS conference presentation repeats known themes: Western Flank oil, the Impress deal (7.9 MMbbl gross reserves), PEL 218 shale gas in place of 40-80 Tcf, and a resource booking expected in 2011. No new results in the readable text.
14 June 2011drilling progress report● Neutral
Stimulation of Holdfast-1 in PEL 218 began over the weekend, the first shale-targeted flow stimulation at depth in the Cooper Basin. Expected to finish within two weeks, with flow testing from early July. Repeats the timetable already given.
8 June 2011drilling progress report● Neutral
Beach is rigged up and ready to stimulate the Holdfast-1 shale gas well in eight stages over about two weeks, first flow results early July. Encounter-1 is delayed by a stuck work string, but the early 2012 pilot program is unaffected. Resource addition still expected July/August.
6 June 2011drilling spud● Neutral
Snellings-1 spudded 6 June, the second of five PEL 91 wells (Beach 40% operator, Drillsearch 60%). Gross prospective resource is 430,000 bbl mean, up to 1.0 million bbl high side. Drilling expected to take 10-14 days.
3 June 2011drilling result● Neutral
Drillsearch reports Hanson-1 cased and suspended as a future Namur oil producer, up to 1 million bbl gross recoverable. The Birkhead test recovered only trace oil. Ensign #18 moves to Snellings-1. Confirms earlier results.
1 June 2011security holder rights change● Neutral
Of the 2007 executive options, 2,258,977 vested on pro-rata performance and 1,505,981 lapsed unexercised. Other options and rights remain on issue. Routine incentive plan administration.
1 June 2011drilling progress report● Neutral
May report: Parham-1 and Stenhouse-1 in PEL 92 were dry and abandoned, ending the run of Western Flank successes; Turton-1 is drilling. Hanson-1 discovery made, Birkhead test recovered only trace oil. ZZ-4 hit stuck tools. PEL 218 completions installed.
