Past year: ▲ 5%(19.5c – 28.0c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
16 Nov 2018debt financing▲ Good
Financial close reached on the US$95m senior facility; the proceeds repaid the subordinated and old senior debt. Net debt at 31 December is forecast below US$70m and calendar 2018 EBITDAX at US$75-80m. Completes the refinancing announced 5 November.
15 Nov 2018regulatory community update▼ BadMajor
Meeting with the PNG Petroleum Minister on 9 November failed to resolve the PDL 10 cancellation and Stanley Gas Agreement termination notices. Repsol and Horizon issued notice of intention to refer the dispute to arbitration, which they say stays any cancellation until arbitration ends or the notices are withdrawn.
6 Nov 2018director officer appointment● Neutral
Kyle Keen appointed Assistant Company Secretary. Administrative appointment with no business impact.
5 Nov 2018debt financing▲ GoodMajor
Signed a new US$95m reserves-based senior facility with ANZ, Westpac and ICBC, maturing July 2022, at LIBOR+2.75%. It will repay the remaining US$20m subordinated debt and US$76.2m senior debt. Security covers producing oil assets only, not PNG gas. Company says the new rate halves composite funding costs.
30 Oct 2018quarterly activities report▲ Good
September quarter: revenue US$28.8m, operating cashflow US$20.7m, cash US$41.6m, net debt down US$14m to US$74.6m. A further US$20m of subordinated debt was prepaid in October, leaving US$20m. Management expects 2018 revenue to beat the US$95-105m guidance by US$10-15m, if oil prices hold.
11 Oct 2018remuneration report● Neutral
Board granted CEO Michael Sheridan 5,135,087 share appreciation rights, subject to shareholder approval at the 28 November AGM. Vesting depends on total shareholder return versus the ASX200 Energy Index, with a reference price of A$0.1439. Follows his July 2018 appointment terms.
27 Sept 2018agm notice● Neutral
Horizon will hold its 2018 AGM on Wednesday 28 November 2018. Administrative notice; a separate notice of meeting will follow.
20 Sept 2018investor presentation● Neutral
Morgans PNG investor tour presentation, essentially the same slides as the 12 September Good Oil deck. Reserves, debt and forecasts are unchanged; market cap is quoted at A$163m. No new information.
12 Sept 2018investor presentation● Neutral
Good Oil Conference presentation repeating known figures: FY2018 EBITDAX US$68.5m, net debt US$88.6m, 2P 8.9 mmbo. New items are FY2019 forecasts of operating cashflow US$70-80m and EBITDAX US$65-75m, and market cap A$156m.
24 Aug 2018other● Neutral
Revised Securities Trading Policy lodged under Listing Rule 12.10, approved by the board 21 August 2018. Administrative, with no business impact.
23 Aug 2018annual report▲ Good
FY2018: revenue US$100.0m, EBITDAX US$68.5m (up 52%), net debt down to US$88.6m. Statutory loss US$1.6m before tax after a US$20.5m non-cash charge on IMC options, versus underlying profit of US$18.9m. CNOOC expects WZ 12-8E FID in 2018.
23 Aug 2018other● Neutral
Annual corporate governance statement and Appendix 4G, approved by the board on 23 August 2018. Compliance filing with no new business information.
23 Aug 2018investor presentation● Neutral
Full-year results presentation repeating reported figures: revenue US$100.0m, EBITDAX US$68.5m, net debt US$88.6m, breakeven US$38/bbl. No new information.
23 Aug 2018resource reserve update▲ GoodMajor
At 30 June 2018, 2P oil reserves rose 1 mmbbl to 8.9 mmbbl, helped by Maari moving from 10% to 26% (+3.1 mmbbl). Oil/condensate contingent resources fell 1.9 mmbbl to 27 mmbbl; PNG contingent sales gas rose 49 PJ to 505 PJ.
22 Aug 2018admin correction● Neutral
Corrects the webcast day to Thursday 23 August 2018, 11am AEST. Administrative, with no new information.
22 Aug 2018other● Neutral
Notice of a shareholder webcast on full-year results. Administrative, with no new information; it gives the wrong day, corrected in the next notice.
8 Aug 2018production update▲ GoodMajor
Two Block 22/12 infill wells (WZ 12-8W-A7H and A8H) began production with combined initial test rates of almost 3,500 bopd gross, exceeding expectations. They were drilled in 28 days against 37 budgeted; Horizon holds 26.95%.
25 July 2018quarterly activities report▲ Good
FY2018 revenue US$100.0m and operating cashflow US$75.1m; June quarter cashflow US$28.4m with the Maari 26%. Cash US$27.6m, net debt US$88.6m. Two China infill wells began drilling. PDL 10 response lodged 24 July; Stanley early condensate scheme re-emerging.
5 July 2018regulatory community update▼ BadMajor
Repsol received further PNG Minister notices to cancel PDL 10 and its pipeline licence, and to terminate the Stanley Gas Agreement on 4 January 2019; participants must show cause by 25 July. Horizon calls them without merit and procedurally invalid. Escalates the earlier PDL 10 dispute.
2 July 2018material agreement● Neutral
Former CEO Brent Emmett will advise the board under a consultancy to 31 December 2019, up to 10 days a month at A$22,000 a month, focused on developing the PNG resources. Details the consultancy foreshadowed on 21 June.
28 June 2018director officer appointment● Neutral
Michael Sheridan formally appointed Managing Director and CEO from 1 July 2018 on a three-year term. Fixed pay is A$750,000 a year, with short-term bonus up to 50% and annual share appreciation rights worth up to 50% of fixed pay. Confirms the 21 June succession.
21 June 2018director officer appointment● NeutralMajor
As foreshadowed at the 2017 AGM, CEO Brent Emmett (CEO since 2002) and Alan Fernie retire 30 June 2018. CFO Michael Sheridan becomes CEO and director from 1 July; Richard Beament becomes CFO. Emmett and Fernie stay on as consultants.
12 June 2018joint venture update● NeutralMajor
Repsol agreed to sell its PNG interests, including about 40% of Elevala/Ketu and Stanley, to Balang (China Changcheng group), with completion expected by Q4 2018. Horizon welcomes Balang as its new partner, so its Western LNG partner is set to change.
31 May 2018farm in farm out completion▲ GoodMajor
Horizon completed the purchase of Todd's 16% of Maari/Manaia, lifting its interest from 10% to 26%. Completion payment was US$16.8m after adjustments, about US$13.1m net, funded from cash. Maari 2P reserves rise to 5.0 mmbbl. Resolves the pending acquisition.
4 May 2018price query● Neutral
Reply to an ASX query: Horizon first received the PDL 10 cancellation notice on 23 March 2018 and disclosed it on 2 May, after a false social media report. It says it relied on the exception to disclosure and confirms it complies with the Listing Rules.
2 May 2018regulatory community update▼ BadMajor
Horizon says PDL 10 (Stanley field, 30% interest, about 20% of Western LNG resource) has not been cancelled, but the PNG Minister issued a notice of intention to cancel it. Horizon and Repsol call the notice procedurally invalid; no action is to be taken pending a presentation before 1 October 2018.
30 Apr 2018quarterly activities report▲ Good
March quarter operating cashflow US$20.0m, net debt down to US$85.6m. All Maari approvals received, with completion due in May. A three-well WZ 12-8W workover lifted Block 22/12 output from about 9,000 to 10,000 bopd.
13 Mar 2018investor presentation● Neutral
Euroz conference presentation repeating known points: US$60-70m a year cashflow, net debt US$94.3m, US$130m Osaka Gas payment on LNG FID. States market cap A$176m and a claim of favourable valuation versus peers. No new results.
26 Feb 2018half year report● Neutral
Half-year to December 2017: revenue US$36.4m (up 15%), operating cashflow US$24.3m, net debt down to US$94.3m. Statutory loss widened to US$9.5m, driven by a US$9.2m non-cash charge on the IMC options after the share price rose 121%.
26 Feb 2018investor presentation● Neutral
Half-year results presentation repeating the reported figures: revenue US$36.4m, net debt US$94.3m, free cashflow breakeven US$34/bbl. Adds Beibu cost recovery entitlement of US$76.7m remaining and that Western LNG resources are undergoing independent certification.
