Past year: ▼ 39%(5.00c – 12.0c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
15 Sept 2020drilling progress report● Neutral
Byron paused G2 drilling and evacuated the rig for Hurricane Sally, after setting 9 5/8in casing at 10,612 ft across the Upper O Sand. G1 keeps flowing at about 20 mmcfd and 375 bopd. SM71 was shut in on 13 September because a downstream oil pipeline closed.
10 Sept 2020resource reserve update● NeutralMajor
Collarini's 30 June 2020 estimate: 1P 8.1 MMbbl oil and 58.5 Bcf gas; 2P 17.5 MMbbl and 105.3 Bcf, NPW-10 US$486m (2019: US$562m); 3P 25.3 MMbbl. 2P is down 17% including GI95, and about flat excluding it. Prospective resources rose.
9 Sept 2020production update▲ GoodMajor
SM58 G1 began production on 7 September, within a week of the delayed target, at controlled initial rates of 19.4 mmcfd gas and 375 bopd condensate. G2 is nearing casing point, and G1 is shut in while G2 drills through the Upper O Sand.
1 Sept 2020asset acquisition disposition● NeutralMajor
Byron let the Grand Isle 95 lease lapse at end of August 2020, calling the dry-gas project less attractive than its oilier South Marsh Island and Eugene Island areas. About US$0.2m non-cash charge; 2P gas of 44.6 Bcf removed from inventory.
31 Aug 2020production update● Neutral
Hurricane Laura caused only minor damage to the SM58 and SM71 platforms and the drilling rig. SM71 production was restored on 29 August and G2 drilling should restart mid-week. First SM58 G1 production is delayed about 10 days from the early-September target.
24 Aug 2020admin correction● Neutral
Corrected re-release of the 24 August update. It changes the G2 spud date to 15 August, replacing 15 July. The rest, including hurricane evacuation, SM71 shut-in and early-September G1 start, is unchanged.
24 Aug 2020drilling progress report▼ Bad
G2 reached 4,020 ft with surface casing cemented, but the rig was evacuated for Hurricane Marco and Tropical Storm Laura. SM71 was shut in 23 August and pipeline connections paused. Byron still says SM58 first production is on track for early September, barring further weather delays.
13 Aug 2020production update▲ GoodMajor
SM58 G1 Upper O Sand completion finished about five days early and under budget, with 217 ft perforated. The rig moves to drill G2 to 11,565 ft MD to test the Lower O Sand, which G1 could not log. Pipelines are laid and first production is targeted 1 September.
31 July 2020admin correction● Neutral
Corrected re-release of the June 2020 quarterly report. The readable text matches the 29 July version, with no visible new figures or changes.
29 July 2020quarterly activities report● Neutral
June quarter net revenue was about US$3.7m at US$36.20/bbl oil on 84,988 bbl sold. Cash US$16.6m, borrowings US$18.4m, and 1,023.5m shares on issue after the A$27.6m raising. Extra US$3.5m Crimson note not yet issued. G1 completion began 18 July.
20 July 2020drilling progress report▲ Good
The EOD 264 rig reached the SM58 G platform on 18 July and G1 completion has begun, expected to take 30 days. Pipelines are being laid, including lines to the SM69 E platform for E2. After G1 the rig drills G2 and then E2. First G1 production is still expected by 1 September.
9 July 2020agm notice▲ Good
All seven resolutions at the 9 July general meeting were carried, including director participation in the May placement and ratification of the 106.3m placement shares. This clears the roughly A$2.2m conditional director placement flagged in May.
6 July 2020production update▲ Good
SM58 G platform installation is complete, on schedule and with no safety issues. Pipeline laying began 4 July, the rig mobilises about 20 July, and first G1 production is expected by 1 September. Byron says reusing a platform saved US$8-10m and 9-12 months.
18 June 2020debt financing▲ Good
Byron bought put options at US$39/bbl on WTI for 400 bopd, July-December 2020, paying a US$338,560 premium. With existing physical hedges, about 1,070 bopd (75% of forecast) is covered at a US$46.78 weighted floor, with minimum revenue of about US$10.2m. Builds on the April hedges.
17 June 2020capital raising announcement▲ GoodMajor
The share purchase plan raised about A$13.8m at A$0.13 after a 20% scale-back, against a A$4m target and A$17.3m of applications. With the placement, A$27.6m is raised, so G2 can be drilled straight after G1. A$2.2m director placement awaits approval.
9 June 2020production update▲ Good
Load-out of the SM58 G platform has begun, with installation over about three weeks, pipelines from early July and the EOD 264 rig due mid-to-late July to complete G1. The final development plan was approved 4 June, allowing up to four wells. Continues the May raising's plan.
26 May 2020capital raising announcement● Neutral
Offer document for the share purchase plan: eligible Australian and New Zealand holders can buy up to A$30,000 of shares at A$0.13, aiming to raise up to A$4m. The offer closes 12 June 2020. This follows the 19 May placement.
19 May 2020investor presentation● Neutral
Investor presentation supporting the May 2020 raising, pitching SM58 coming into production. Repeats known points: 2P reserves of 17.4 mmbo and 150 bcf at 30 June 2019, and the SM58 G platform nearly complete. No new substance visible in the readable text.
19 May 2020capital raising announcement● NeutralMajor
Byron raises A$16m via a placement of 123.1m shares at A$0.13, plus an A$4m share purchase plan and up to US$3.5m more from Crimson. Funds complete the SM58 G platform, now due for installation in early June. Directors' loans are extended a year to 31 March 2022.
What it means for a shareholder
123m new shares at A$0.130 to raise about A$16.0m. That's 13% dilution: every existing holder's slice gets 13% smaller. If you held A$1,000 of shares (7,692 at the issue price), your slice goes from 0.000962% to 0.000834% of the company. To keep it you'd need 1,185 more shares - about A$154 at the issue price.
Create a free account to see this worked out for your own holding.
7 May 2020production update▲ Good
With oil prices recovering, Byron lifted SM71 output to about 2,900 bopd and 7.0 mmcf/d gross, up from the roughly 1,900 bopd curtailed level of 31 March. About 5.0 mmcf/d of gas comes from F4, where Byron holds 100% working interest.
30 Apr 2020quarterly activities report● Neutral
March quarter: net sales 89,010 bbl oil, net revenue about US$4.6m at US$47.40/bbl. Cash US$18.2m, borrowings US$18.3m. F4 averaged 9.0 mmcf/d gas; F5 found gas but was abandoned for a sidetrack. SM58 installation timing is under review. Shares on issue 810.9m.
22 Apr 2020debt financing▲ Good
Byron added hedges on the LLS/WTI differential and roll, fixing an all-in price of US$50.20/bbl before transport on 670 bopd for June-December 2020. Hedged revenue is estimated at US$9.1m for April-December. Production is held to hedged volumes. Builds on the December 2019 hedge.
31 Mar 2020production update▼ BadMajor
Because of the oil price collapse, Byron shuts in SM71 F1 and cuts F3 to 1,850 bopd, taking field output to about 1,900 bopd gross to match hedged volumes. Cash was US$18.3m and debt US$18.9m at 29 Feb. SM58 platform and pipeline installation is under review, which may delay start-up.
31 Mar 2020production update▼ Bad
Otto repeats Byron's advice that SM71 F1 will be shut in and F3 cut to 1,850 bopd, taking field output to about 1,900 bopd gross, because Louisiana Light Sweet now trades at a discount to WTI. Otto notes the F5 well is abandoned and the rig is being released.
30 Mar 2020regulatory community update● Neutral
Byron reports no COVID-19 interruptions at the SM71 platform, the F5 rig or SM58 G platform construction in Abbeville. Staff in Lafayette and Australia are working remotely. Continues the earlier screening update.
23 Mar 2020drilling result▼ Bad
Otto's release repeats the F5 result: 36 ft of D5 gas pay, 12 ft and 20 ft of oil pay in the I3 and J sands. Otto says the pay may have been faulted out. The joint venture will temporarily abandon the well for a future sidetrack, citing COVID-19 crew-change risk.
23 Mar 2020drilling result▼ BadMajor
SM71 F5 reached 8,505 ft and found 36 ft of net gas pay in the D5 target, but the sand is isolated and gas-bearing, so marginal to uneconomic. It also found 12 ft and 20 ft of oil pay in the I3 and J sands. The well is suspended for a later sidetrack because of COVID-19.
17 Mar 2020drilling progress report● Neutral
SM71 F5 was spud on 8 March and reached 3,600 feet, with surface casing cemented. Drilling is on schedule to a planned 8,688 feet. Byron has introduced COVID-19 screening for offshore staff and reports no issues so far.
17 Mar 2020production update● NeutralMajor
SM71 F4 began producing about five days earlier at 8.3 mmcf/d of gas with little liquid, because it hit a small gas cap above an oil leg. Byron says oil may take several months to arrive; the gas equals roughly 500 bopd in value.
6 Mar 2020half year report● Neutral
Half-year to 31 December 2019: profit US$0.5m (previous year US$7.6m) on lower revenue, US$13.0m, and a US$5.1m write-off including the dry SM74 D14. Cash US$20.7m, borrowings US$14.3m.
