21 May 2008debt financing▼ Bad
Central drew a fourth $1m bond tranche from D.B. Zwirn: 400 bonds issued for $4m, of which 300 have converted into 19,999,998 shares, 10.0% of issued capital. DBZ held 3,366,666 shares at 20 May.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
16 May 2008regulatory community update▲ GoodMajor
Subsidiary Merlin West was awarded Special Prospecting Authority 7/04-5, covering 30,000 km2 of the western Amadeus Basin for an aerogravity survey, valid to 15 November 2008. This resolves the pending grant; results will guide which areas are applied for as licences.
15 May 2008investor presentation● Neutral
Notice of a Boardroomradio audio broadcast by the managing director on new southern Amadeus leads, 15 May. No new information in the notice itself.
15 May 2008resource reserve update▲ Good
New Magee seismic delineates 11 new leads in the southern Amadeus Basin. Mt Kitty (up to 1.7 TCF prospective recoverable, with helium and condensate) and Ooraminna (up to 0.7 TCF) are to be drilled. Drilling is said to start within a fortnight with Blamore 1.
13 May 2008capital raising announcement▼ Bad
D.B. Zwirn converted 50 bonds ($500,000) into 3,333,333 shares at 15 cents. Total converted is 250 bonds into 16,666,665 shares, 7.1% of issued capital. Quoted shares now 235,770,946 per the Appendix 3B.
13 May 2008farm in farm out agreement▲ GoodMajor
PXA formalised a farm-in to Merlin's EP 97 Simpson, Bejah and Dune blocks: it funds 22.5% of Madigan seismic and of one well per block, to keep 15% of each block. Simpson 1 is mandatory. Drilling is now expected by end May, later than planned.
13 May 2008investor presentation● Neutral
Notice of a Boardroomradio audio broadcast by the managing director on the PXA farm-in to the EP 97 blocks, 13 May. No new information in the notice itself.
9 May 2008capital raising announcement● NeutralMajor
Letter to shareholders on the 1-for-5 non-renounceable rights issue at 15 cents, announced 6 May, record date 16 May. It raises up to $5.81m (38.7m shares) and is the planned offset to bond dilution; 11.3m shares had been issued to D.B. Zwirn.
9 May 2008capital raising announcement● Neutral
Letter to optionholders on the 1-for-5 rights issue at 15 cents. To take part they must exercise options by the 16 May record date. Administrative notice of the existing offer.
9 May 2008debt financing● Neutral
Central drew a third $1m convertible bond tranche from D.B. Zwirn, taking bonds issued to 300 ($3m). 200 bonds have converted into 13,333,332 shares, 5.7% of issued capital, continuing the dilution the rights issue aims to offset.
9 May 2008resource reserve update▲ Good
A technical note says new log correlations and 180 km of 2008 seismic at Magee reveal new gas, helium and condensate plays in the southern Amadeus Basin. Mt Kitty 1 and Magee 2 are planned. No volumes given; these are interpretations, not drilled results.
8 May 2008investor presentation● Neutral
Notice of a Boardroomradio audio broadcast by the managing director on the fractured shale oil play on 8 May. No new information in the notice itself.
6 May 2008resource reserve update● Neutral
New seismic over the Gypsum prospect in EP 115 supports a Horn Valley Siltstone fractured-shale oil concept, with a high estimate of up to 30 MMbbl undiscovered oil in place. This extends the untested Bakken-style idea from 24 April; the play has never been tested in the Amadeus Basin.
2 May 2008drilling progress report● Neutral
Third water well rig is being mobilised to Blamore 1; road work still precedes Hunt Rig 2 moving in, so the spud remains delayed. Madigan seismic is 130 km done with 7 km left. A 2008 drilling schedule is appended, with oil discovery the stated focus.
2 May 2008drilling result▲ Good
The 2008 seismic acquisition, about 1,000 km, finished 2 May. A technical note on the Blamore access line says the Blamore structure looks unfaulted by Miocene movement, which hampered earlier explorers. This is a preliminary interpretation, not a drilling result.
28 Apr 2008contract award● Neutral
Coretrack, a third party, says Central plans to run its core-logging tool, using Baker Hughes coring services, at Blamore 1. Hunt Rig 2 is expected to mobilise in the next few weeks. Minor supplier-side news; adds no new result.
28 Apr 2008drilling progress report● Neutral
Rawson says recording has begun on the Madigan 2D seismic survey after Guinevere and Vivienne were finished in EP 93, expected to finish by 5 May 2008. Merlin, Central's subsidiary, can earn 80% of one EP 97 block by funding a well and 100 km of seismic.
28 Apr 2008drilling progress report▼ Bad
A second water well (363m) is on line for Blamore 1 road compaction; a third is due in 7-10 days, then 7-10 more days of road work before Hunt Rig 2 can move. Water-equipment problems have delayed the planned 25 April Blamore 1 spud. CBM93001 will be drilled after Blamore 1.
24 Apr 2008resource reserve update● Neutral
A technical note compares the Horn Valley Siltstone to the US Bakken shale and says it may host up to about 10 billion barrels of undiscovered oil in place (high estimate). It has never been flow tested, so this is an unproven, conceptual estimate.
24 Apr 2008investor presentation● Neutral
Notice of a Boardroomradio audio broadcast of the managing director's Canning versus Amadeus Basin presentation. No new information in the notice itself.
23 Apr 2008quarterly activities report● Neutral
March quarter report: about 700 km of 2D seismic acquired and Pedirka line clearing started. Blamore and Simpson high-case oil in place is updated to 71 and 161 MMbbl (Simpson was 190 in earlier notes). Road access to both sites was gained.
18 Apr 2008other● Neutral
A proposed technical paper by Central's geology manager and a consultant argues the Amadeus Basin may be more prospective than the Canning Basin, citing an 11% commercial success rate versus 2%. The authors call the conclusions preliminary.
18 Apr 2008admin correction● Neutral
Corrects the 17 April bond release: Central has issued 200 bonds of $10,000 each for $2,000,000 to D.B. Zwirn, not 2,000. Other figures unchanged.
17 Apr 2008debt financing● Neutral
Central drew a second $1m convertible bond tranche from D.B. Zwirn, taking total drawn to $2m. 1,000 of the bonds' worth has converted into 6,666,666 shares, 3.6% of issued capital. The text has an error corrected next day.
16 Apr 2008capital raising announcement● Neutral
A second D.B. Zwirn conversion: 30 bonds worth $300,000 became 2,000,000 shares at 15 cents. Quoted shares rise to 187,031,345. Further dilution under the bond facility.
10 Apr 2008contract award▲ GoodMajor
Central signed a binding contract with Hunt Energy for Rig 2 to drill Blamore 1 and Simpson 1, with options for three CBM wells and Mt Kitty, Ooraminna and other wells. The rig is due from the Cooper Basin within weeks, which resolves the open rig-contract thread.
8 Apr 2008capital raising announcement● Neutral
Appendix 3B for the 4,666,666 shares issued to D.B. Zwirn on bond conversion at 15 cents, for working capital. Quoted shares rise to 185,031,345.
8 Apr 2008capital raising announcement● Neutral
D.B. Zwirn converted 70 bonds worth $700,000 into 4,666,666 Central shares under the bond facility approved in December 2007. That is the first conversion, at 15 cents a share, adding to the share count.
8 Apr 2008investor presentation● Neutral
Notice of a Boardroomradio audio broadcast of the managing director's progress report. No new information in the notice itself.
7 Apr 2008admin correction● Neutral
Re-release of the 4 April progress report correcting typos (for example, seismic completed at Magee, not Madigan) and adding a Pedirka map. No new substance.