Past year: ▼ 50%(0.10c – 0.30c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
4 Dec 2007drilling progress report▲ Good
Nixon #1-8 is producing 1,100 mcf/d and Ashby #11-29 started at 1,800 mcf/d and 30 BOPD. Carrin Patman #1 reached 8,800 ft with two oil pay sands; Bourque #1 spudded. ConocoPhillips #4 flows 3,100 mcf/d and 90 BOPD. Company claims 2007 success ratio above 90% (14 wells).
8 Nov 2007drilling progress report▲ Good
Ashby #10-29 started production at 1.8 mmcf/d and 30 BOPD; Ashby #11-29 logged 80 ft of net pay. Claiborne #2-17 spudded, and Nixon #1-8 is due to be fracced. Bourque #1 and ConocoPhillips #5 locations are being prepared.
2 Nov 2007drilling progress report▲ Good
Nixon #1-8 reached 9,092 ft with 20 ft of net pay, to be fracced; Pate #6-18 reached 13,000 ft and will be completed in the Panola and Spiro sands. Ashby #10-29 was fracced and is flowing back. Carrin Patman #1 is at 3,775 ft.
23 Oct 2007farm in farm out agreement▲ GoodMajor
Grand Gulf takes a 12.5% interest in the Carrin Patman #1 well, North Francitas field, Jackson County, Texas, by paying 15% of the first well. Its first Texas interest; the well spudded 21 October, targeting 72,000 bbl of proved undeveloped reserves in a field abandoned in 1973.
16 Oct 2007drilling result▼ BadMajor
Gary A. Fredrick #1 in Vermilion Parish is to be plugged and abandoned because the sands were tight and water wet, ending the 30 Bcf prospect (3.75% interest) as a dry hole. Pate #6-18 (10.4%) is drilling at 8,530 ft; Ashby #10-29 awaits completion.
10 Oct 2007drilling result● NeutralMajor
Gary A. Fredrick #1 reached its 14,200 ft target depth and is preparing to run logs. Ashby #10-29 logs show about 60 ft of sand. The company committed to a 10% interest in the Bourque #1 prospect (12 Bcf target, US$1.2m cost), and ConocoPhillips #4 sales slipped to 15 October.
2 Oct 2007drilling progress report▲ Good
Ashby #8-29 is flowing to sales at 1.34 mmcf/d and 130 barrels of oil a day, the second Custer well online. Gary A. Fredrick #1 reports oil and gas shows at secondary objectives. ConocoPhillips #4 sales are still planned for 10 October.
25 Sept 2007drilling progress report▲ Good
Ashby #9-29 was connected to sales at 1.5 mmcf/d, the first Custer County well since the farm-in. ConocoPhillips #4 sales slipped to 10 October after landowner delays. FHM #1-5 spudded; seven wells are active.
17 Sept 2007drilling progress report● Neutral
Ashby #8-29 reached target depth of 11,730 ft and awaits a completion rig. Gary A. Frederick #1 is drilling ahead at 9,856 ft toward 14,200 ft. No new results.
12 Sept 2007drilling progress report● Neutral
August report: production fell because Pate #5-18 was shut for the Panola frac, and it now flows about 1.1 mmcf/d. Napoleonville 3D data should be processed within weeks. Ashby #8-29 is at 11,380 ft; more Ashby wells follow.
6 Sept 2007drilling progress report● Neutral
Pate #5-18's Panola sands were fracced and the well is being reconnected to sales, commingled with the Spiro. Ashby #9-29 reached target depth and awaits completion; Ashby #8-29 is drilling at 8,987 ft; Gary A. Fredrick #1 is at 5,260 ft.
4 Sept 2007farm in farm out agreement▲ GoodMajor
Grand Gulf is farming into Noble Energy's Section 29 in Custer County, Oklahoma, for a 3.825% interest in four old producing wells, two new wells and at least three more planned in 2007. It pays 3.825% of costs; income starts at 269 mcf/month.
28 Aug 2007drilling spud▲ GoodMajor
Gary A. Frederick #1 (formerly Catapult-1, 3.75% interest, 30 Bcf potential) spudded on 26 August, targeting a sand at 13,400 ft. A workover rig moved onto Pate #5-18 to complete the Panola sands, while Nixon #1-8 awaits a rig.
9 Aug 2007drilling scheduled● Neutral
The Catapult-1 prospect is renamed Gary A. Frederick #1 (30 Bcf potential), with the rig due around 15 August. Nixon #1-8 rig is due end of August, and Spiro #6-23 should be ready by mid October.
11 May 2007drilling progress report● Neutral
Reed #4-8 has been perforated and the pipeline laid to the site, with fracture treatment scheduled 12 May. Pate #5-18 is drilling ahead at 10,428 ft.
4 May 2007drilling result▲ GoodMajor
ConocoPhillips #4 reached 11,962 ft, with pay confirmed at 11,650 ft in the Miocene K sand. The well will be completed, with the completion rig expected in about three weeks. Alto's interest is 7.5%. No flow rate yet.
2 May 2007drilling progress report▲ Good
ConocoPhillips #4 shows strong gas in a sand at 11,459-11,475 ft at the predicted depth. A gas contract is signed for Reed #4-8, with pipeline laying next week. Pate #5-18 is at 8,840 ft.
12 Apr 2007drilling result▲ GoodMajor
Reed #4-8 reached 9,724 ft, with about 150 ft of sand, 50 ft of net pay and a gas flare while drilling. Alto holds 8%. It will now be completed; flow rates are not yet known.
11 Apr 2007drilling progress report● Neutral
Reed #4-8 is nearing its 9,700 ft total depth. Gas flow figures will likely come only after pipeline connection, and completion could take weeks. Pate #5-18 is at 309 ft and ConocoPhillips #4 at 3,023 ft.
10 Apr 2007drilling spud● Neutral
Pate #5-18 spudded 9 April; the Louisiana well, corrected to ConocoPhillips #4, spudded 5 April. Reed #4-8 is at 8,435 ft. All three wells of the new program are now drilling.
4 Apr 2007drilling spud● Neutral
Reed #4-8 in Oklahoma spudded on 2 April and was at 400 ft, with a 9,700 ft target. Pate #5-18 is due to spud 6 April and the Louisiana ConocoPhillips well was expected to spud that day.
27 Mar 2007drilling scheduled▲ GoodMajor
Three wells due to spud by early April 2007: Pate #5-18 (25% after forced pooling) and Reed #4-8 (8%) in Oklahoma, and ConocoPhillips #1 (7.5%, paying 10%) in Louisiana. Napoleonville seismic data is due for processing by mid-June, with drilling by Q4 2007.
12 Oct 2006farm in farm out agreement▲ GoodMajor
Alto signed to join Legend Petroleum's five-well Louisiana Gulf Coast program at 7.5%–10% per well, costing about $1.3m. It targets about 3 BCF net reserves; first well due early November 2006, program complete by January 2007.
8 June 2006drilling result▲ GoodMajor
The third Little Sandy well (Tussey-1) found a new gas pool, open flowing 120,000–190,000 cubic feet per day, though it cannot be produced soon because of pipeline access. Home Run is steady at 220,000 per day, and Cornstalk wells flowed up to 130,000 per day from a secondary target.
13 Mar 2006drilling result▲ Good
The first Cornstalk well in West Virginia reached 1,101 metres and was cased; four cores were bubbling gas. The rig has moved to the second well. Ascent pays Alto's 29% share of the first three wells; the first well awaits fracing.
9 Mar 2006drilling result▲ GoodMajor
Alto finished its initial Home Run drilling with nine wells that all showed gas, the last being Gary Oliver #1 with multiple shows. Several wells are fraced and awaiting connection to the gathering system, and all nine are to go into production.
28 Feb 2006drilling result▲ Good
Two more Home Run wells (Prichard #4 and #5) flowed naturally at 84,000 and 94,000 cubic feet per day. All six wells drilled so far have shown gas; first production is expected within weeks.
23 Feb 2006drilling spud● Neutral
The first well in an approved five-well West Virginia program spudded at Cornstalk, targeting Devonian shale to 1,158 metres. Operator Ascent pays Alto's 29% share of the first three wells' costs.
16 Feb 2006drilling result▲ GoodMajor
Home Run: two fraced wells (Blair #3, Ison #3) show strong gas flows, and two other wells flowed naturally at total depth. Management says this validates the project; Alto funds the program to earn a 50% working interest.
3 Feb 2006drilling result● Neutral
The third Little Sandy well reached about 688 metres, intersecting 148 metres of Devonian Shale with gas indications. The first two wells flowed gas at modest, unstabilised rates and are shut in; Alto holds 30% and is carried.
