Past year: ▼ 90%(0.80c – 12.5c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
10 Apr 2012drilling progress report● Neutral
Gazelle-P3 repairs to the rig's top drive are complete; crews are now fishing for the stuck pipe at 1,070 m, with drilling expected to resume within days. Continues the 2 April setback; no hydrocarbon indications yet.
5 Apr 2012other▲ GoodMajor
Rialto published its AIM Admission Document on 5 April 2012, with admission expected around 12 April. No funds are raised; the whole share capital is admitted, making Rialto dual-listed on AIM and ASX. Follows the Q1 target slightly late.
5 Apr 2012director officer appointment● Neutral
Non-executive director Chaim Lebovits, founder of C&L Natural Resources (sold to Rialto, holder of the CI-202 interest), stood down from the board on 5 April 2012. Second non-executive departure in about two weeks.
2 Apr 2012drilling progress report▼ BadMajor
Gazelle-P3 drill pipe stuck at 1,070 m; during freeing attempts the drill string parted and rig equipment failed. Transocean estimates two weeks of repairs and fishing before drilling resumes. First setback for the three-well programme; total days now prognosed at 59.
27 Mar 2012drilling progress report● Neutral
Gazelle-P3 drilled to 1,000 m after setting 20-inch casing at 545 m; no hydrocarbon indications yet. Prognosed total time is 45 days to drill. Next step is setting 13 3/8-inch casing at 1,540 m.
27 Mar 2012capital raising announcement▲ GoodMajor
IFC and its ALAC fund signed the subscription agreement for about US$20m: 63,707,267 shares at A$0.30 (A$19.1m) plus 15.9m options. IFC board approved 22 March; closing expected mid-April. This resolves the IFC funding thread opened in January.
What it means for a shareholder
63.7m new shares at A$0.300 to raise about A$19.1m. That's 9.3% dilution: every existing holder's slice gets 9.3% smaller. If you held A$1,000 of shares (3,333 at the issue price), your slice goes from 0.000539% to 0.000489% of the company. To keep it you'd need 343 more shares - about A$103 at the issue price.
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26 Mar 2012director officer appointment● Neutral
Non-executive director Glenn Whiddon resigned immediately, only weeks after becoming a non-executive director when Bruce Burrows became chair. Joint Company Secretary Neil Hackett joins the board as non-executive director while a replacement is sought.
20 Mar 2012drilling progress report● Neutral
Gazelle-P3 reached 550 m with 20-inch casing being set. Planned depth is now about 3,685 m, still 60-70 days to drill and test. No new results.
14 Mar 2012half year report● Neutral
Half-year report to 31 December 2011 shows a gross loss of A$3.35m (prior year A$3.91m). It restates the RPS resource estimates and Gazelle development progress. Text provided is truncated, so no further figures are confirmed.
13 Mar 2012drilling spud▲ GoodMajor
Gazelle-P3 spudded 12 March 2012 on the GSF Monitor, first of three CI-202 wells (85% Rialto, operator). Planned depth about 3,400 m, 60-70 days to drill and test. FID now targeted Q3 or Q4 2012; first production by end 2013.
8 Mar 2012capital raising announcement● Neutral
Rialto issued 144,750,000 shares on 8 March 2012 to directors and institutional and sophisticated investors, with the required compliance notice. This matches Tranche 2 of the A$60m placement at A$0.30 (inference on link), completing the placement after shareholder approval.
7 Mar 2012investor presentation● Neutral
Euroz conference presentation repeats known points: A$200m pro forma market cap, enterprise value A$71m, three-well CI-202 programme, RPS resource figures, and AIM listing by end of Q1. Still says drilling expected to start in February. No new information.
5 Mar 2012security holder rights change● Neutral
Rialto will move to amend the 6 March meeting resolution so the IFC placement of up to 63,707,267 shares (with 1 option per 4 shares) can be issued to IFC or associates. Half is intended for IFC's ALAC Fund, subject to finalising the subscription.
2 Mar 2012director officer appointment● NeutralMajor
Non-executive director Bruce Burrows becomes Non-Executive Chairman from 7 March 2012, with Glenn Whiddon moving to non-executive director. Linked to the London relocation and planned AIM listing. The company says the three-well programme is now fully funded.
27 Feb 2012drilling scheduled▲ Good
Transocean's GSF Monitor rig has been released to Rialto and will be towed from Nigeria to CI-202. The Gazelle-P3 well is expected to spud before mid-March 2012, taking 60-70 days to drill and test. The three-well programme should take about six months; the rig has been delayed from the earlier February plan.
2 Feb 2012capital raising announcement● Neutral
Rialto issued 56,250,000 shares to employees and institutional investors on 2 February 2012, with the required compliance notice. This appears to be the first tranche of the placement (announced as about 55.25m shares), plus some employee shares (inference).
1 Feb 2012capital raising announcement● Neutral
Invitation letter to eligible shareholders for the share purchase plan: up to $15,000 each at $0.30 per share, capped at $8m in total, closing 15 February 2012. Terms already announced on 27 January.
31 Jan 2012other● Neutral
Required cleansing notice for the share purchase plan, which offers up to 26,666,667 shares at $0.30 to raise up to $8m, opening 1 February 2012. Administrative; no new substance.
27 Jan 2012capital raising announcement▲ GoodMajor
Raising A$60m at A$0.30 per share (about 200m shares, a 14% discount to last close) in two tranches, plus an up to A$8m share purchase plan. The IFC investment is now set at about 63.7m shares at A$0.30 plus 15.9m options at A$0.50. Funds the three-well CI-202 programme; AIM listing targeted by end of quarter.
What it means for a shareholder
63.7m new shares at A$0.300 to raise about A$19.1m. That's 15% dilution: every existing holder's slice gets 15% smaller. If you held A$1,000 of shares (3,333 at the issue price), your slice goes from 0.000889% to 0.00076% of the company. To keep it you'd need 566 more shares - about A$170 at the issue price.
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27 Jan 2012other● Neutral
ASX lifted the trading suspension on Rialto shares before trading on 27 January 2012, after the equity raising announcement. Administrative.
27 Jan 2012investor presentation● Neutral
Equity raising presentation repeats the A$60m placement at 30c, the A$8m purchase plan and the IFC placement. Pro forma shares are about 665m, with pro forma cash of A$129m (31 Dec 2011) and market cap about A$200m at 30c.
23 Jan 2012investor presentation● Neutral
January 2012 operations update repeats known facts: three-well CI-202 campaign from February, Gazelle FDP approval, IFC US$20m proposal, and an AIM listing intended by end of Q1 2012. Accra 18% still awaits approvals. No new information.
19 Jan 2012other▲ Good
Block-wide 3D seismic survey of 891 km2 over CI-202 (Rialto 85%, operator) is complete, with contractor Polarcus. Processing starts shortly to refine prospect maps and the five existing discoveries' resources. No new resource numbers yet.
16 Jan 2012capital raising announcement▲ GoodMajor
Agreement in principle for the World Bank's IFC to invest about US$20m via a private placement of shares and warrants, to fund the CI-202 drilling due February 2012. It needs IFC board approval after a 60-day disclosure period, plus shareholder approval. This answers the funding need flagged earlier.
28 Dec 2011security holder rights change● Neutral
Issued 9,645,000 performance rights and 4,050,000 options (exercisable at $0.43, expiring 21 Dec 2016) to employees under plans approved at the 29 Nov 2011 AGM, including to MD Schrull and COO Nieto. Routine staff incentive issue; 1,791,667 options cancelled.
16 Dec 2011regulatory community update▲ GoodMajor
Côte d'Ivoire approved the Gazelle field development plan, with a 25-year exploitation area, and a gas sales MOU was signed for up to 100 mmscfd. Production is targeted for Q4 2013 at 8,000 bopd, later than earlier targets. Drilling starts February 2012; FID is expected mid-2012.
29 Nov 2011drilling scheduled▲ Good
Gazelle field development plan was submitted on 4 November, with approval expected by year end. The GSF Monitor rig is expected to be available in late Q1 2012, and long-lead drilling items are arriving in Abidjan. A new Deputy General Manager has been hired.
28 Oct 2011investor presentation● Neutral
October 2011 presentation at the RBC African Oil Conference in Toronto repeats the September deck: 85% of CI-202, cash about A$53m, market cap A$169m, and RPS resources. No new information.
27 Oct 2011annual report● Neutral
2011 Annual Report repeats known facts: A$59.1m cash at 30 June and no debt, two raisings totalling A$88m in the year, the RPS resource figures, and a 3-well (2 firm) programme from Q1 2012. AIM listing is still being pursued.
28 Sept 2011annual report● Neutral
Financial report for the year to 30 June 2011: net loss A$7.98m (A$3.44m prior year) on revenue of A$1.45m. The 25% C+L Natural purchase cost A$17.9m including costs. Cash was A$59.1m with no debt, per the annual report highlights.
