10 Nov 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 at 2,982 m, drilling ahead after a wiper trip following the aborted test. Planned depth is 3,023 m. Beach operates with 40%. No new result.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
9 Nov 2006well test result▼ Bad
Keeley-1's first drill stem test (2,941-2,968 m) was aborted for mechanical reasons, but indicated the zone has low permeability. Drilling continues toward 3,023 m. Beach operates with 40%. A discouraging early sign.
9 Nov 2006drilling result▼ Bad
Anzon repeats that Cutter-1 reached 2,930 m, with water-wet primary sandstones and poor-quality shallow gas sands not commercially significant. The well is being plugged and abandoned. Beach holds 20%. Repeats the Tap and AWE announcements.
9 Nov 2006drilling progress report● Neutral
Magellan's weekly report puts Keeley-1 at 2,968 m on 8 November and says its first test failed for mechanical problems. Magellan earns 30% only on a commercial discovery; Beach operates with 40%. Repeats known facts.
8 Nov 2006drilling progress report● Neutral
Beach weekly report: Cutter-1 at 2,930 m with water-wet sands, being abandoned; Byrock-2, Glenaire-1ST1 and Pasticcio-1 cased and suspended; Might and Power-1 cementing casing after one 2-barrel oil recovery; Keeley-1 at 2,968 m preparing a test.
8 Nov 2006drilling result▼ Bad
Tap confirms Cutter-1 was water wet in the main Shag Point sandstones; the shallow gas shows are not likely to be economic at Cutter. The well will be plugged and abandoned. Beach holds 20%. Tap will study the Barque prospect.
8 Nov 2006drilling progress report● Neutral
Keeley-1 reached 2,968 m and a drill stem test of the lower Patchawarra (2,941-2,968 m) was about to start, after a sand showed fluorescence, elevated gas and reasonable porosity. Beach operates with 40%. Result pending.
7 Nov 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 at 2,953 m, still drilling in the Patchawarra with elevated gas readings noted in several sands. Beach operates with 40%. No test result yet.
7 Nov 2006resource reserve update● NeutralMajor
Beach clarifies in response to shareholder enquiries that proved and probable reserves at 1 July 2006 were 101.0 mmboe (Cooper/Eromanga 69.8, Gippsland 19.6, Surat 11.7). A further 36 mmboe Basker-Manta-Gummy contingent resource needs a gas contract and development approval.
6 Nov 2006drilling result▼ BadMajor
Cutter-1 reached target depth: the main Shag Point sands were water wet, with gas shows in shallower rocks. A disappointment against the earlier 70-80 mmbbl potential; Tap sees implications for the nearby Barque prospect. Beach holds 20%.
6 Nov 2006drilling result▼ Bad
AWE confirms Cutter-1 reached 2,930 m with water-wet primary sands. Shallow gas shows have poor reservoir quality and are unlikely to be commercially significant. Beach holds 20%. The rig moves to Taranaki.
6 Nov 2006capital raising announcement● NeutralMajor
Beach's 2-for-7 rights issue (about A$247m, A$1.39 per share) left a shortfall of 50,069,714 shares, with about 72% of rights taken up. The underwriters cover the shortfall. This completes the funding for the Delhi acquisition debt paydown.
6 Nov 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 at 2,876 m, with several Patchawarra sands showing elevated gas readings to be assessed after logging. Beach operates with 40%. Encouraging signs only, not a confirmed result.
6 Nov 2006well test result● Neutral
Might and Power 1: a McKinlay test recovered 2 barrels of oil; other Murta tests were misruns. Casing will be run for possible completion as an oil well, with the Murta evaluated later. Beach holds 33.3%. Modest result, not yet a commercial discovery.
3 Nov 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 drilling ahead at 2,640 m in the Patchawarra Formation toward planned 3,023 m. Beach operates with 40%. No results yet.
3 Nov 2006drilling result▲ GoodMajor
Byrock-2 (Beach 46.95% operator) flowed 10 barrels of oil with no water from the Toolachee Formation, confirming an oil discovery. Byrock-1 found oil in the same formation in 1986. The well will be cased as a future producer.
3 Nov 2006drilling progress report● Neutral
Stuart now says Might and Power 1's second test was a misrun and the first Murta test is considered invalid, so the Murta will be retested. A McKinlay test follows. Beach holds 33.3%. Still no valid result.
2 Nov 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 drilling ahead at 2,513 m in the Patchawarra Formation toward planned 3,023 m. Beach operates with 40%. No results yet.
2 Nov 2006drilling progress report● Neutral
Magellan's weekly report repeats Keeley-1 at 2,425 m on 1 November, with a 10 Bcf best-estimate and 29 Bcf high-estimate prospect. Magellan earns 30% only if commercial; Beach operates with 40%. No new information.
2 Nov 2006well test result▼ Bad
Stuart reports the first drill stem test at Might and Power 1 (Murta, 1,158-1,168.5 m) recovered no hydrocarbons, a setback after earlier oil shows. A second test in the McKinlay is being prepared. Beach holds 33.3%.
1 Nov 2006drilling progress report● Neutral
Might and Power 1 has run logs at 1,507 m and is preparing a drill stem test of 1,158-1,168.5 m in the Murta Member. Follows earlier oil shows. Beach holds 33.3%. No test result yet.
1 Nov 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 at 2,425 m in the Patchawarra Formation, the main gas target, changing drill bit. Planned depth 3,023 m; Beach operates with 40%. No result yet.
1 Nov 2006material agreement▲ GoodMajor
Tipton West JV (Arrow 60%, Beach 40%) signs a processing agreement with APA for a A$31m gas plant, initially 10 PJ a year to Braemar Power Station. Completes first-stage funding; conditional on subsidiary agreements. Advances Tipton West, where first gas was due Q1 2007.
1 Nov 2006material agreement▲ Good
APA confirms it will build, own and operate the A$31m Tipton West gas processing plant with Arrow and Beach, operating 15 years. Commissioning and first revenue expected March 2007. Repeats the Arrow announcement from APA's side.
1 Nov 2006drilling progress report● Neutral
Beach weekly report: Keeley-1 at 2,425 m; Glenaire-1ST1 at 3,701 m cementing liner; Byrock-2 preparing DST; Yanda-19 cased as future oil producer; Cutter-1 at 2,045 m; Might and Power 1 preparing DST. No new results.
31 Oct 2006quarterly activities report▲ Good
September quarter: production 2.42 mmboe and revenue A$89.5m, boosted by the Delhi acquisition (A$590m, ~21% Cooper Basin JV interests). Reserves now about 100 mmboe. Delhi supplied about 90% of production.
31 Oct 2006drilling progress report● Neutral
Might and Power 1 reached 1,507 m, past the planned 1,480 m, and is pulling out to run wireline logs. Beach holds 33.3%. No results yet.
31 Oct 2006quarterly activities report● Neutral
Press release on the September quarter: production 2.42 mmboe, revenue up 226% to A$89.52m, reserves about 100 mmboe. Basker-Manta full-field production now expected in early December, later than the early November previously expected.
31 Oct 2006drilling progress report● Neutral
Great Artesian reports Keeley-1 at 2,229 m, drilling ahead in the Nappamerri Group toward planned 3,023 m. Beach operates with 40%. No results yet.
31 Oct 2006drilling progress report● Neutral
Tap reports Cutter-1 at 2,027 m with casing installed, expected to reach about 3,000 m in 7 to 10 days. Beach holds 20%. No result yet.