Past year: ▼ 38%(0.40c – 1.00c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
1 Apr 2020drilling spud▲ GoodMajor
Kumbarilla Central 1 spudded on 31 March 2020, the first of three Walloon coal seam gas core-holes at Kumbarilla (ATP 2043, 504 PJ 2C). Programme is expected to take about four weeks, then the rig moves to Glenaras.
19 Mar 2020investor presentation● Neutral
Chairman's letter on COVID-19 and oil price falls says Galilee has no direct oil price exposure and cash covers operational plans for two years. Admits the Glenaras pilot has taken longer than expected; pilot still at maximum drawdown. Drilling set to start early April.
11 Mar 2020half year report▼ Bad
Half-year loss to 31 December 2019 was A$5.78M, up from A$2.03M a year earlier, including A$4.31M exploration spend on the Galilee Basin permit. Restates the 3,012 PJ-type resource figures and April 2020 Kumbarilla drilling; no new results.
4 Mar 2020drilling scheduled● Neutral
Lease preparation has begun at Kumbarilla for drilling from early April, and the Glenaras vertical monitoring well is now planned within the same rig programme, either before or after, between early April and early May. It will measure pilot pressure without shutting wells in.
12 Feb 2020drilling scheduled▲ GoodMajor
Savanna Rig 406 is secured for three fully cored Kumbarilla exploration core-holes from April 2020, taking 3-4 weeks. A vertical pressure monitoring well at the Glenaras pilot is under consideration. This confirms the drilling timing flagged earlier, now moved from Q1 to April.
17 Dec 2019production update▲ Good
All pilot wells are now fully pumped down to the coals after the 15L pump upgrade, and gas rates are back to previous levels. Pressure is falling but not yet below critical desorption, which is when gas is expected to build significantly.
10 Dec 2019capital raising announcement▲ GoodMajor
Option exercise raised A$16.25M at A$0.75 per share, with 97% take-up by existing holders. Canaccord's underwriting covers the remaining 750,001 shares (A$0.56M). Galilee says it is fully funded for Glenaras reserves work and Surat and Bowen exploration, resolving the December option expiry.
3 Dec 2019capital raising announcement▲ GoodMajor
Canaccord agreed to underwrite exercise of the 17,900,003 options at A$0.75 expiring 5 December, subscribing for any unexercised. Galilee pays 5% of proceeds in fees. This guarantees the funds, which are for exploration in its three basins, subject to conditions.
28 Nov 2019security holder rights change● Neutral
Routine notice that unlisted options at A$0.50 expire 31 December 2019 unless exercised. Closing price on 27 November was A$0.86. Exercise is optional; this adds no new information.
28 Nov 2019investor presentation● Neutral
AGM presentation largely repeating known facts: resources, five-well pilot, three-basin portfolio. Shows share price A$0.86, 239M shares, market cap A$205M, cash A$11M, no debt. It says produced gas now fuels generators and the pilot's gas rate is recovering to pre-shut-in levels.
27 Nov 2019drilling scheduled▲ GoodMajor
Three Kumbarilla (ATP 2043) core-holes in the Walloon coal seam gas are brought forward to Q1 2020, over a year ahead of schedule. Landholder approvals are secured and rig contract talks are advanced. 667 km of seismic reprocessing is nearly done. The 504 PJ 2C resource is unchanged.
8 Nov 2019production update▲ Good
The larger pump on Glenaras 15L is installed and running, resolving the suspension reported on 24 October. The other four wells kept producing. New flow rates are promised in coming weeks.
1 Nov 2019security holder rights change● Neutral
Routine notice that unlisted options at A$0.75 expire 5 December 2019 unless exercised. Closing price on 31 October was A$0.965, below the A$1.40 high of 2 September. Exercise is optional; this adds no new information.
30 Oct 2019asset acquisition disposition▲ GoodMajor
Galilee was named Preferred Tenderer for PLR2019-1-1, a 1,425 sq km Bowen Basin block in the Denison Trough, for non-cash consideration. It is under 10km from existing gas facilities. This is the company's third basin, after Galilee and Surat.
25 Oct 2019other● Neutral
Appendix 4G, the checklist pointing to the corporate governance statement for the year to 30 June 2019. Administrative filing with no new information.
25 Oct 2019other● Neutral
Annual corporate governance statement, reporting against ASX recommendations as at 12 September 2019. Routine compliance document with no new operational or financial information.
25 Oct 2019annual report● Neutral
2019 annual report: cash A$11.6M, no debt. Chairman says that if all options are exercised cash would reach about A$30M by December 2019, funding a possible expanded 2020 drilling programme. The next few months are called defining; gas has begun in small quantities.
24 Oct 2019production update▼ Bad
Gas reached up to 35-40 thousand cubic feet a day, but well 15L's high output caused pump problems and production there is temporarily suspended. A larger pump is due within two weeks; the other four wells keep producing.
9 Oct 2019production update▲ Good
Gas rose to 25-30 thousand cubic feet a day. Well 15L matches the best old well, indicating even coal performance with no strong directional permeability. Water is 6,700 barrels a day, down from a 7,500 peak. A pump upgrade on 15L was completed.
23 Sept 2019production update▲ GoodMajor
First measured gas from the Glenaras pilot: 15-20 thousand cubic feet a day in aggregate and rising, with water about 6,400 barrels a day and levelling off. Turns early unmeasurable gas into a metered flow, though the volume is still small.
13 Sept 2019annual report● Neutral
Financial statements for the year to 30 June 2019 show a loss of A$11.45M (prior year A$10.32M), including A$7.75M of Glenaras exploration spend. Restates known resources, the pilot and ATP 2043. Strategy is a balanced portfolio while commercialising Glenaras.
11 Sept 2019investor presentation● Neutral
Good Oil Conference presentation largely repeated known facts: 308/2,508/5,314 PJ resources, the five-well pilot, a ~500 PJ reserves target and the Jemena pipeline. It showed a share price of A$1.11 (6 Sept), market cap A$255M, cash A$11.6M and no debt.
6 Sept 2019director officer appointment▲ Good
Gordon Grieve, a Piper Alderman partner chairman with 30+ years as an energy lawyer, joined the board as an independent non-executive director on 6 September. He advised on Eastern Star Gas's sale to Santos. The chairman calls it a pivotal time as the company moves toward development.
2 Sept 2019production update▲ GoodMajor
Gas has started flowing from the Glenaras pilot, though at rates too small to measure. All wells are below the critical desorption pressure, with water at about 6,800 barrels a day. First gas ahead of the roughly three-month drawdown expected from late July.
14 Aug 2019production update▲ Good
All five Glenaras wells remain on continuous production, now flowing over 6,200 barrels of water a day combined, up from over 4,200 on 5 August. Still about double the old two-well pilot. No gas rates yet; three months of drawdown still expected.
5 Aug 2019production update▲ Good
All five wells are producing over 4,200 barrels of water a day combined, about double the old two-well pilot at the same drawdown stage. Wells communicate directly. No gas rates yet; three months of drawdown still expected.
1 Aug 2019resource reserve update▲ GoodMajor
ATP 2043 (Surat Basin, 384 sq km) was formally granted at 100% for six years from 1 August 2019, with an independently certified 504 PJ 2C contingent gas resource. This lifts the company's total 2C resource to 3,012 PJ.
31 July 2019production update▲ GoodMajor
All five Glenaras lateral wells are online and on continuous production, with surface facilities complete and the A$8M programme on budget. Production will be ramped up over coming weeks. This starts the roughly three-month drawdown needed to see gas.
11 July 2019flow test result▲ Good
Glenaras 14L showed strong early productivity and quick pressure response in the older 10L and 12L wells, which the company says confirms good coal connectivity. Jemena also lodged its voluntary environmental impact statement application and federal referral for the Galilee Gas Pipeline.
8 July 2019drilling progress report▲ Good
Pumps are installed in 14L, 15L and 16L and pipelines are complete. Commissioning and flow testing of 14L has begun, with 15L and 16L to follow in about 10 days. The three-month drawdown for material gas is unchanged.
