1 Nov 2011drilling progress report● Neutral
On 31 October the lower section of Tahara #1-28H's first stage was perforated, ahead of the 12-stage frac. Halliburton is on site making final preparations. No flow results yet.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
31 Oct 2011quarterly activities report● Neutral
September quarter: gross revenue US$983,500, receipts US$772,000, production 25.7 Mboe (286 boe/day), slightly lower than June. Tahara drilled and logged, Abunda spudded, third-party gas flowing. Accounts now reported in US dollars from 1 July 2011.
31 Oct 2011annual report● Neutral
Red Fork published its 2011 annual report for the year ended 30 June 2011. The chairman noted depressed US gas prices and a plan to maintain East Oklahoma output, with Big River the growth focus, and a Mississippian reserves update was expected after the 2011 horizontal drilling program.
27 Oct 2011drilling progress report● Neutral
A work-over rig moved onto Abunda #1-21H on 26 October to condition the hole for completing the lateral, with Halliburton on site. No results reported.
18 Oct 2011drilling progress report● Neutral
Completion work has begun on Tahara #1-28H: frac tanks and flow lines are in place and the design is final. The frac will use 12 stages, about 1.2 million gallons of water and 1.1 million pounds of sand. No flow results yet.
17 Oct 2011drilling progress report● Neutral
Abunda #1-21H reached 4,871 feet with different drilling conditions and more pronounced fracturing than Tahara. A second rig will finish its lateral, while the Jerry Scott rig moves off so Tahara can be fracked ahead of schedule and then starts in Noble County.
4 Oct 2011drilling progress report● Neutral
Abunda #1-21H was drilling the lateral at 4,385 feet on 3 October, with 7-inch casing cemented at 4,228 feet. Target remains about 8,400 feet with roughly 4,200 feet of lateral. No results yet.
3 Oct 2011drilling result▲ GoodMajor
Schlumberger logs on Tahara #1-28H give original oil in place of 58.4 million barrels per square mile, with about 835 feet of oil-filled fractures. Company expects recoverable reserves per section could be up to three times industry average (its expectation, not tested). Flow rates still await the frac.
30 Sept 2011annual report● Neutral
Full-year to 30 June 2011: revenue A$3.08m (up 2.3%), loss before tax, depreciation and amortisation A$2.6m, cash A$24.9m, no bank debt. Net assets rose to A$73m from A$46m after A$38.6m net capital raised; exploration spend A$15.4m, mostly Big River leasing.
22 Sept 2011drilling spud● Neutral
Abunda #1-21H, the second Big River horizontal, spudded 21 September from the same pad as Tahara. It targets about 3,100 feet vertical plus 4,200 feet of lateral northward, to about 8,400 feet total depth.
21 Sept 2011resource reserve update● NeutralMajor
Reserves at 30 June 2011 (Lee Keeling): 2P 17.1 mmboe (2.3 Mmbo, 88.7 Bcf), NPV10 US$119.7m, versus 17.8 mmboe a year earlier. Described as stable despite lower gas prices. Mississippian acreage is excluded; an update is expected after the 2011 drilling.
19 Sept 2011drilling progress report● Neutral
Production liner on Tahara #1-28H was cemented by 16 September, and open-hole logs are being processed to design the completion. The rig is being skidded to the Abunda #1-21H location, the second of the five wells, which will spud shortly.
14 Sept 2011drilling result▲ GoodMajor
Tahara #1-28H reached 8,139 feet on 12 September, with about 4,200 feet of lateral in the Mississippi and good oil and gas shows along its length, and no operational problems. It is a first horizontal drilled result only; flow rates await completion and fracture stimulation.
6 Sept 2011material agreement▲ Good
Subsidiary EastOK Pipeline agreed to buy, process and sell about 2 million cubic feet a day of gas from a neighbouring Woodford Shale operator in Wagoner County. It keeps a share of the gas for costs and margin. Gas is already flowing through the Wagoner A facilities.
29 Aug 2011drilling progress report● Neutral
Tahara #1-28H was drilling the lateral at 4,292 feet measured depth on 27 August, with 7-inch casing set at 4,086 feet. Target depth is about 8,500 feet. No results yet.
15 Aug 2011drilling spud▲ GoodMajor
Tahara #1-28H, the first Big River horizontal, spudded 13 August. It targets about 3,100 feet vertical plus roughly 4,500 feet of lateral in the Mississippi Lime, to about 8,698 feet total depth. This starts the five-well program.
8 Aug 2011drilling scheduled▲ Good
Rig moved onto the twin-well pad in Pawnee County; Tahara 1-28H is due to spud this week, taking 25-30 days, followed by Abunda 1-21H. Both are expected drilled, logged and cased about 60 days after the first spud, with roughly 8,500 feet of lateral in total.
1 Aug 2011quarterly activities report● Neutral
June quarter: gross revenue A$1.10m, receipts A$0.844m, production 26.75 Mboe (297 boe/day), slightly up on March. Moebius #4-28 was completed and put on pump at about 20 barrels of oil a day. A review of option-based incentives toward a performance share scheme has begun.
25 July 2011investor presentation● Neutral
July 2011 investor presentation. Shown are 269.7m shares, A$25.0m cash, nil debt, a 46c share price (22 July) and a A$124m market cap. Mostly repeats known facts. Text is truncated, so later content is not visible.
21 July 2011asset acquisition disposition▲ Good
Mississippian acreage rises to about 55,000 net acres, up from the 50,000-acre target passed in June. It spans five counties (Grant, Kay, Noble, Payne, Pawnee), all at 100% working interest with NRI of 81.25% or better. Leasing continues.
30 June 2011drilling scheduled▲ GoodMajor
Seismic interpretation is complete and the first two Pawnee County horizontal wells are chosen, with a rig being moved in. A contractor is secured for the five-well 2011 program and committed to 2012; continuous operations are planned to the end of 2011. Red Fork holds a majority interest and is operator.
20 June 2011asset acquisition disposition▲ GoodMajor
Mississippian acreage passes the 50,000 net acre target, with interests in about 250 sections and majority control of 55 (supporting over 165 locations). Seismic is processed over an initial area, completion slots are secured, and the first horizontal well is to be drilled shortly.
26 May 2011drilling result▲ Good
Three shallow Woodford Shale wells (Cherry #1-32, #1-4, #1-9) at East Oklahoma Central each cut over 50 feet of shale with gas shows. They are cased and shut in; no flow rates are given, and the company is still building production with minimal capital.
13 May 2011drilling result▲ Good
EastOK #1-24, the first Big River well, intersected 210 feet of naturally fractured Mississippian limestone with oil and gas zones, at the upper end of expectations. It sits next to the planned McMurtry horizontal well; detailed log analysis is due in about two weeks.
9 May 2011asset acquisition disposition▲ Good
Mississippian acreage up 40% in three weeks to about 41,000 net acres, from 30,000. Red Fork has an interest in about 240 sections across seven counties, with over 700 potential horizontal locations, and is on track to exceed 50,000 acres by mid-year.
5 May 2011capital raising announcement▲ Good
The share purchase plan closed oversubscribed. Final allocations are yet to be confirmed after registry reconciliation; the final amount raised is not stated, and the plan was capped at A$5m.
5 May 2011admin correction● Neutral
Administrative cleansing notice: on 4 May the company issued the 68,562,500 second-tranche placement shares at A$0.32, raising A$21.94m before costs. This completes the A$28.5m placement; no new information.
27 Apr 2011quarterly activities report● Neutral
March quarter: gross revenue A$1.08m, production 25.24 Mboe (280 boe/day), hit by cold weather. Covers the A$28.5m placement, Big River leasing to 20,000 acres, and 3D seismic. Second placement tranche goes to a shareholder meeting on 2 May.
18 Apr 2011asset acquisition disposition▲ Good
Mississippian holdings reach about 30,000 acres, up 50% in six weeks from about 20,000, helped by over 7,000 acres won in a federal lease sale. Leases are 100% working interest, NRI 80% or better; the target remains about 50,000 acres by mid-year.
12 Apr 2011drilling spud● Neutral
EastOK #1-24 spudded 8 April in Noble County, to about 5,900 feet as a Granite Wash test, with the Mississippi sampled. It may become a producer or a water disposal well for the first horizontal wells at Big River.