Icon Energy Ltd

ASX removed Icon Energy from the Official List under Listing Rule 17.12, effective from the start of trading on 12 January 2026. Its shares had been suspended for a continuous period of two years.

registration revoked

The third $300,000 tranche with the James super fund changes from a share subscription to an interest-free loan due by 31 March 2025. It converts to shares at $0.006 (or a market price, minimum $0.004, once trading resumes) if shareholders approve; any balance is repaid in cash by 31 December 2025.

capital raising announcement

Icon received a notice of proposed grant of petroleum lease PL 1144 over ATP 855, starting the native title 'right to negotiate' process. A step forward on the 30 August 2024 lease application, which is not yet granted.

regulatory community update

December 2024 quarter: cash $455,214, no exploration. Following AGM approval on 29 November, 100m shares were issued to the James super fund (50m for the $300k debt, 50m for $300k cash at $0.006). Renewal and lease applications still being assessed; shares still suspended.

quarterly activities report

September 2024 quarter: cash fell to $257,936 from $449k, with no exploration. Icon applied on 30 August 2024 for a production lease over all of ATP 855 under the new Lake Eyre Basin rules, and the government accepted the application. Renewal still under assessment.

quarterly activities report

A fund linked to chairman Ray James offered a $300,000 interest-free loan, to be repaid by issuing 50m shares at $0.006, plus $600,000 more in two $300,000 share tranches, all subject to shareholder approval. Cash supply for a company with $449k.

capital raising announcement

Icon signed a binding term sheet with Singapore's Consolidated Resources to buy an initial 1.25% of a 30-year coal offtake from a Mozambique mine, for A$0.75m cash, 190m shares at $0.01 and A$1.2m more at completion. A move beyond ATP 855; ASX doubts it is a suitable undertaking; conditions must be met by 30 April 2024.

material agreement

ASX suspended Icon from quotation after an announcement about a transaction that could change its activities. It stays suspended until Icon re-complies with ASX admission rules or satisfies ASX that shareholder approval and re-compliance are not required.

listing compliance notice

The Court issued orders declaring the Department's 17 October 2022 refusal null and void and requiring it to accept Icon's ATP 855 renewal application, with costs to Icon. This formalises the 19 October win, but the permit itself is not yet renewed.

regulatory community update

Justice Brown ruled for Icon, finding the Department made legal errors in refusing its ATP 855 renewal and that the application did address the capability criteria. Orders are still to be agreed, so the permit is not yet restored. This resolves the court fight in Icon's favour.

regulatory community update

Ray James, managing director for 27 years, became Chairman on 6 October 2023. Non-executive director Jeffrey Marvin became Managing Director, with employment terms still to be set by the board.

director officer appointment

Peter Wilson, a coal mining executive, joined the board as non-executive director on 8 September 2023. Chairman Stephen Barry, a director since 1993, resigned because of his commitments as a practising lawyer.

director officer appointment

Half-year to December 2022: loss $4.36m (prior period $0.74m), mainly because the $3.45m ATP 855 asset was written off. Cash was $1.56m, and $4.26m of restoration provisions became current. Icon says it was advised its appeal has a 50% chance of success.

half year report

Suspension ends. Icon says Queensland rejected its ATP 855 renewal applications for failing the financial capability test, and the Department views the permit as expired. ATP 855 was its only tenement; carrying value would fall to nil if not renewed. Senior counsel advice is awaited.

regulatory community update

Icon's shares were suspended at its request on 3 November 2022. Queensland's department says ATP 855, Icon's main asset, has expired and cannot be renewed; Icon's renewal payment was refused and it is seeking legal advice. Suspension is requested until 10 November.

listing compliance notice

Icon signed a non-binding letter of intent with RP Trust Inc, a Labuan, Malaysia trust, for it to farm into ATP 855, targeting binding farm-in and JV agreements by 1 December 2022. Nothing is binding; first named farm-in counterparty after a year of talks.

material agreement

Rights issue closed 5 January 2022 with valid acceptances for 97.15m shares ($0.97m) and 231.65m shares ($2.32m) shortfall, totalling about $3.29m at $0.01. The shortfall placement wasn't explained in the text; shares and options to issue 12 January.

capital raising announcement

Icon will apply to surrender Victorian permit PEP 170 and not pursue PEP 172/173, after the regulator wanted more information on a conventional-drilling work program. This reverses the June 2021 extension of the permits to 2026; focus is now ATP 855.

asset acquisition disposition

Icon launched a 1-for-2 non-renounceable rights issue at $0.01 per share, up to 328.8m shares to raise up to $3.28m, with a free $0.05 bonus option (expiring 12 September 2022) per share. It follows a recent placement to sophisticated investors, mentioned without details.

capital raising announcement

Audited FY21 accounts differ materially from the unaudited ones: the South Australian PRL exploration asset is fully impaired because the joint operation has no budgeted exploration work, despite permits being extended to 2024. Icon says prospectivity and resource certification are unaffected.

annual report

Unaudited FY21 accounts: loss $5.27m (FY20 $2.95m), including a $4.16m impairment. Cash fell to $1.58m from $5.54m; net assets $3.42m. Audited accounts are due by 31 October 2021.

annual report

June 2021 quarter: an unnamed overseas gas company has expressed interest in ATP 855 and is doing due diligence under confidentiality; no terms discussed. Victoria extended PEP 170 and other permits to 1 July 2026, reversing April's expectation of non-renewal. ATP 594 has expired.

quarterly activities report

March 2021 quarter: ATP 594 expired 16 April 2021 and is being relinquished; PEP 170 likely won't be renewed. Icon pitches a 'blue hydrogen' and carbon-separation 'Roadmap' for ATP 855 and says it is talking to potential farm-in partners. Rehab is suspended.

quarterly activities report

Reviewed half-year accounts confirm a $3.69m loss and $4.09m cash. Icon says it will relinquish ATP 594 after failing to find a partner, and the remaining four ATP 855 wells' restoration is rescheduled to three years' time. Halifax testing is delayed.

half year report

September 2020 quarter: ATP 855 rehabilitation and Halifax No.1 Callamurra test delayed by COVID-19, now expected from early-to-mid November 2020. Queensland extended the ATP 855 work program two years to 29 October 2022. Delays have held back finding a joint venturer.

quarterly activities report

June 2020 quarter: ATP 855 work now expected from early September 2020. Plan changed to complete and test Halifax No.1 in a shallower, normally pressured gas zone (97% methane); flows above 1 million cubic feet a day could allow suspension as a producing well. Pipeline within 2 km.

quarterly activities report

December 2019 quarter: farmout talks failed, and Icon says funding is unlikely in current markets. It signed Wellpro Services to plug and rehabilitate six ATP 855 wells in mid-2020 to offer a 'clean slate'. First ATP 594 well, Berella No1, targeted late 2020/early 2021, subject to funding.

quarterly activities report

Ray James's executive service agreement as managing director expired on 31 December 2019. He stays on as a director, must retire by rotation at the next AGM, and remains committed to the company. No new managing director is named.

director officer appointment

2019 Annual Report: no farmout achieved for ATP 855 or ATP 594 in FY19. Cash was $8.83m at 30 June 2019. Asset impairments of $28.2m drove a $31.3m loss, with the chairman saying resource certification is unaffected. Funding search continues.

annual report

Dr Kevin Jih retired as director, CFO and Company Secretary effective 31 August 2019 after ten years. Natalia Fraser, with the company since 2007, becomes CFO and Company Secretary, described as succession planning.

director officer appointment

The 2011 LNG Sales Agreement with Shantou SinoEnergy will terminate on 30 June 2018, as neither party will meet the conditions precedent in time. Icon would have needed 2 Tcf of 2P reserves. This ends the only offtake arrangement for ATP 855 gas.

material agreement termination

Icon sold its Queensland corporate office for $7.1m, settling 12 March 2018, and will lease it back for 3 years with a 3-year extension option. Proceeds fund exploration and working capital, lifting cash to about $13.5m by end-March 2018, from $7.13m at December.

asset acquisition disposition

Queensland declared eight Potential Commercial Areas (PCA 172-179) over all of ATP 855 on 25 August 2017, for 15 years. This secures Icon's 100% title to the Stage 1 gas discovery. Seismic and studies are needed before Stage 2 drilling.

regulatory community update

Queensland's mines department approved transfer of ATP 855 to Icon, now 100% owner and operator. Icon lodged eight Potential Commercial Area applications on 20 April and has agents overseas seeking a funding partner. Resource figures are unchanged (1.57 Tcf 2C).

regulatory community update

Beach Energy withdraws from ATP 855 effective 31 March 2017, so Icon takes 100% and operatorship (previously 35.1%). Icon will seek a new partner to fund Stage 2. This reverses the November 2016 'care and maintenance' position.

asset acquisition disposition

Acquisition of the 293 km2 Harrier 3D seismic survey in ATP 594 (Icon 100%) is complete, the first seismic there in almost 20 years. Velseis in Brisbane is processing the data, which will guide any drilling.

drilling progress report

AGM address: Terrex has begun the ATP 594 seismic survey. The chairman says Beach, the ATP 855 operator, does not wish to restart work in the short to medium term, leaving Icon's interest on care and maintenance. ATP 626 will be relinquished in 2017.

investor presentation

Icon will acquire 293 km2 of Harrier 3D seismic in the northern block of ATP 594 (100%, operator), using contractor Terrex, starting late November 2016. This ends the long delay and is meant to define prospects for a later drilling program.

drilling scheduled

Icon and Shantou Sino Energy extended the deadline for conditions precedent on the 40 Mt (2 Mtpa for 20 years) LNG Sales Agreement from 30 June 2015 to 30 June 2018. Icon must still certify 2 Tcf of 2P reserves, and resource estimates are unchanged.

material agreement

ATP 594 (Icon 100%, operator) was renewed by Queensland with a grant date of 17 April 2015. Icon plans a 200 km2 3D seismic survey and two wells to about 1,600 m, and will start talks with potential joint venture partners. Cash was $18.1m, no debt.

regulatory community update

Chevron will not join Stage 2 in ATP 855, so Beach moves to 64.9% and Icon stays at 35.1%. Chevron cited strategic fit. Icon expects modest spending to June, a likely 3D seismic survey in Stage 2, and had $20.9m cash at 31 Dec.

farm in farm out completion

DeGolyer and MacNaughton lifted ATP 855 gross contingent resources to 1C 343 / 2C 1,572 / 3C 5,841 Bcf, from 2C 629 Bcf. Icon's 35.1% share is about 552 Bcf 2C. This is a big step toward the 2 Tcf 2P goal, though still contingent.

resource reserve update

The Queensland Supreme Court struck out in full the Baldwin/Southern Fairway claim against Icon, which had been lodged in April 2014. The claimants may re-plead part of their case, so the litigation is not fully ended.

regulatory community update

Icon reports Geoffrey-1 peaked at 1.1 million cubic feet a day and Etty-1 flowed 77 days at 900,000-700,000 a day (57 million cubic feet total). Redland-1 was shut in after a mechanical wellbore issue, so its deliverability was not assessed. Hervey-1 is not mentioned.

flow test result

First flow results from the ATP 855 campaign: Etty-1 steady at 830,000 cubic feet a day, over 90% from the Daralingie Formation; Geoffrey-1 at 700,000 and rising; Redland-1 still cleaning up. Daralingie is proposed as a Stage 2 priority, subject to joint venture approval.

flow test result

Icon and Shantou SinoEnergy extended the conditions precedent deadline for the 40 Mt, 20-year LNG sales agreement from 30 June 2014 to 30 June 2015. These include Icon delivering a certified 2 Tcf 2P reserves, still not achieved.

material agreement

An independent DeGolyer & MacNaughton report gives ATP 855 a best-estimate 28.49 Tcf gross unconventional prospective resource (P90 21.48, P10 37.74), Icon's share 10 Tcf (35.1%). These are undiscovered volumes, not contingent resources; upgrading needs successful stimulation and flow testing of four wells.

resource reserve update

The threatened ATP 626P claim has now been filed in the Queensland Supreme Court, alleging $221.75m (MOU) and $52.4m (agency agreement), well above the earlier $20-60m estimate. Icon calls it an ambit claim, says ATP 626 remains uncommercial, and will vigorously defend.

regulatory community update

Etty-1, the sixth ATP 855 well, spudded 9 February 2014. It targets 3,800 m, 8.6 km east of Halifax-1, for basin-centred gas in the Permian. Stimulation is planned from Q3 2014, subject to joint venture approval.

drilling spud

A Notice of Petroleum Discovery was lodged for Redland-1. Wireline logs indicate the target interval is gas saturated, with mud gas readings up to 800 units. It follows the Halifax-1 and Keppel-1 notices. Stimulation is planned for Q3 2014.

drilling result

Redland-1 reached 3,804 m on 23 January 2014 with significant gas shows in the Toolachee and Daralingie. It will be cased and suspended. Stimulation now slips to Q3 2014 (Q1 was proposed in December, Q2 on 20 January). Etty-1, the sixth well, is next.

drilling result

Redland-1, the fifth ATP 855 well, spudded 15 December 2013. It targets 3,800 m, 22 km north-west of Geoffrey-1, aiming at the Toolachee and Daralingie Formations. Stimulation is still proposed to start in Q1 2014, beginning with Hervey-1.

drilling spud

Geoffrey-1 reached 4,125 m on 9 December 2013, with good gas shows throughout the Permian section. It will be cased and suspended for stimulation in Q1 2014. Redland-1 is next, with a sixth well subject to joint venture approval.

drilling result

Icon raised A$18.8m by placing about 80.3m shares at $0.235 each to Hong Kong's HK Prosperous Technology, a 62.1% premium to the $0.145 last close. Shares on issue rise to 615.8m, and the investor becomes the largest shareholder. Cash is $41.7m, which management says funds the ATP 855 program.

capital raising announcement

Geoffrey-1, the fourth well in the ATP 855 program, spudded on 14 October 2013, later than the late September to early October guidance. It targets 4,266 m, 36 km north-east of Hervey-1, and stimulation is proposed for Q1 2014, starting with Hervey-1.

drilling spud

Maiden contingent resource for Halifax-1 in ATP 855: gross 318 Bcf 1C, 629 Bcf 2C and 1,115 Bcf 3C. This delivers the booking previously targeted, a first step toward Icon's goal of 2 Tcf 2P reserves.

resource reserve update

Halifax-1 now flows 0.7 MMscfd, with 239 MMcf produced. Hervey-1 stimulation is expected in December 2013. Keppel-1 hit strong gas from the over-pressured Epsilon and is suspended, with a Notice of Petroleum Discovery. Geoffrey-1 expected to spud late September to early October.

drilling result

Icon received a claim letter from Ronald Baldwin and Southern Fairway (formerly Babcock & Brown Australia Infrastructure) over a 2008 agency agreement and MOU for ATP 626P gas sales. They allege damages of $20-60m and $15-30m. Icon gives the figures no credence and no proceedings have started.

other

Icon acquired Goondi Energy's (Stanwell subsidiary) 50% in ATP 626, lifting its stake to 100% after Goondi exercised its right to exit. Icon plans a new seismic and drilling program there. Price not stated.

asset acquisition disposition

The put option sale completed on 25 June 2013: Icon transferred 4.9% of ATP 855 to Beach for US$18m. Icon now holds 35.1%, Beach 46.9% and Chevron 18%, resolving the option pending since February.

farm in farm out completion

Icon exercised its put option, obliging Beach to buy a 4.9% interest in ATP 855 for US$18m. Icon's stake drops from 40% to 35.1%, completion due 25 June 2013. Icon says the cash will fund its ATP 855 exploration program.

farm in farm out agreement

Keppel-1 spudded 3 June in ATP 855, 25 km north-east of Halifax-1, to over 4,500 m. It is described as the deepest Nappamerri Trough well to date. Hervey-1 is drilling at 1,404 m.

drilling spud

Hervey-1 spudded 26 May in ATP 855, 30 km east of Halifax-1, to about 4,200 m. A material contingent resource is expected to be booked if testing succeeds. Halifax-1 is flowing 1.1 MMscfd, continuing its decline.

drilling spud

Icon said Halifax-1's 4.2 MMscf/d peak was reached while a faulty temperature gauge let wellhead temperature exceed its recommended maximum. The well was flowing an unconstrained 1.7 MMscf/d, and Hervey-1 was due to spud in early May, followed by Keppel-1.

well test result

Responding to an ASX share price query, Icon notes Beach reported lower Halifax-1 flow. Gas now flows unconstrained at 1.8 MMscfd after a March rain shut-in, not returning to its prior rate. The JV proposes six more ATP 855P wells by end-2014, subject to approval.

price query

Halifax-1 now flows gas at 3.9 MMscfd, up from 2.23 MMscfd on 14 February, with a peak of 4.2 MMscfd in early March. The well is still flowing back stimulation fluid. A stronger result, though not yet a stabilised rate.

flow test result

Beach will farm out up to 60% of PEL 218 and ATP 855 to Chevron for up to US$349m over two stages. Icon, holding 40% of ATP 855, waived pre-emptive rights and gets a put option to sell 4.9% to Beach for US$18m by 30 June 2013.

farm in farm out agreement

Icon welcomes Chevron into ATP 855, keeping its 40%, and confirms Beach has completed its 2011 farm-in commitments by funding Halifax-1. It also holds the US$18m put option over 4.9%. A 2C resource is now targeted for later in 2013, and five more wells are planned.

farm in farm out completion

Icon reports Halifax-1 flowing back gas at an initial constrained 2.23 MMscfd, with the rate expected to rise as fluid clears. This is the first gas flow after stimulation and supports the Cooper Basin play extending into Queensland.

flow test result

Icon and Shantou SinoEnergy extended the deadline for conditions in the March 2011 LNG sales agreement (40 Mt over 20 years) to 30 June 2014, including the 2 TCF 2P reserves certificate. Also confirms Halifax-1 stimulation starting 22 December 2012.

material agreement

Icon says Halifax-1 hydraulic stimulation starts mid-December 2012: 15 stages between 2,670m and 4,267m, with Queensland approvals in place. Flow testing follows, and a 2C resource booking is expected in Q1 2013 if successful. This firms up the earlier 'late November, subject to approval' timing.

drilling scheduled

The share purchase plan drew applications for 18.6 million shares, raising $4.1m at $0.22, on top of the $10m placement. Shares on issue will be about 533.4 million after allotment on 7 December 2012.

capital raising announcement

Icon raised $10.0m through a placement of about 45.5 million shares at $0.22, an 18.5% discount to the last close of $0.27. Proceeds fund Icon's share of Halifax-1 costs and a further ATP855P well. A share purchase plan at the same price follows.

capital raising announcement

Icon says preliminary logs indicate Halifax-1 is likely gas saturated across a Permian zone over 1.3km, the thickest REM at about 460m. Stimulation is planned for late November, subject to approval; a 2C resource guidance is expected in Q1 2013. These are preliminary readings, not a booked resource.

drilling result

Halifax 1 reached total depth of 4,267m, beyond the planned 4,130m. The well will be cased and suspended for fracture stimulation in Q4 2012, subject to Queensland environmental approvals. Log interpretation follows.

drilling result

Halifax 1 was spudded on 4 August in ATP 855P, targeting 4,130m with total depth expected in about 55 days. It is Icon's first shale gas well, 12km from Beach's Encounter 1; Beach funds most of the cost under the farm-in.

drilling spud

Beach and Icon agreed to drill a vertical exploration well, Halifax-1, in ATP 855P from July 2012 instead of a horizontal well planned for late September. Beach funds the first $16m less Icon's $1.75m, to take 60% of the permit.

farm in farm out agreement

Eolus 1 reached 1,200m with 10.4m of net coal and four drill stem tests. Icon calls seam thicknesses encouraging, and the well is cased and suspended pending study of completion methods, possibly horizontal drilling. This completes the two-well ATP 626P campaign.

drilling result

Windom 1 reached 1,200m and logs show 11.8m of net coal, better than expected, but four drill stem tests indicated low permeability. The well will be plugged and abandoned; the rig moves to Eolus 1.

drilling result

Icon and Beach began a 425km 2D seismic survey in ATP 855P (Icon 40%, Beach 60%), due to finish mid to late March, with drilling expected in June. Icon estimates about 20 TCF recoverable, which it says would exceed the Shantou LNG needs if drilling confirms it.

joint venture update

North Maroon DW1 tests at 1,835-1,860m and 1,568-1,593m flowed formation water, with some gas in the upper test, so no oil flowed. Icon says the sandstone is good reservoir with oil shows, but a trap is not yet defined. South Maroon and other locations are being considered.

drilling result

North Maroon DW1 was spudded in ATP 626P and drilling ahead. It targets the Precipice Sandstone and is planned to take 21 days to about 2,100m. Icon holds 100% after Stanwell's Goondi declined to participate. Spud slipped from the planned 24 November.

drilling spud

Icon re-appointed Managing Director Ray James for a further five years from 31 December 2011. The chairman says this supports the strategy of establishing reserves to satisfy the gas sale agreements.

director officer appointment

Icon signed an Atlas Drilling contract to drill North Maroon DW1 in ATP 626P, targeting the Precipice Sandstone that produces at the Moonie oilfield. Stanwell's Goondi chose not to participate, so Icon holds 100%. A change from the coal seam gas focus; spud planned 24 November.

drilling scheduled

Icon says Beach has secured the Ensign #65 rig for the ATP 855P farm-in well, arriving April 2012 and drilling by June 2012 at the latest. Beach funds Icon's share of the ~$16m programme except Icon's $1.75m. First ATP 855P drilling timetable since the July settlement.

drilling scheduled

Icon and Beach settled the ATP 855P dispute with a signed farm-in. Icon transfers 40% to Beach (subject to Ministerial approval), leaving Icon 40%. Beach funds Icon's share of an estimated $16m work programme, except $1.75m Icon pays. Icon gets 33.333% of PEL 218 post-Permian.

farm in farm out agreement

Lydia-13 was plugged and abandoned at 825m because coal permeability was too low for economic gas production. That ends the four-well programme with no wells kept. A follow-up programme from 1 July, possibly outside the farm-in area, needs approvals.

drilling result

Icon signed a binding LNG Sales Agreement with Shantou SinoEnergy for 40 million tonnes over 20 years, first delivery by 30 June 2016, replacing the April 2010 MOU. It is offtake only, subject to conditions, including a minimum 2 TCF of 2P reserves, which Icon does not yet have.

material agreement

Beach has started Federal Court proceedings against Icon over its claimed entitlement to earn up to 40% of ATP 855P. A hearing is listed in Adelaide the following week. This escalates the earlier dispute.

joint venture update

Icon confirms the dispute with Beach: it says no final farm-in terms were agreed and it keeps its 80% of ATP 855P. Icon says it is not concerned, since the permit is needed to supply gas for the proposed China LNG deal.

joint venture update

Beach Energy says it is in dispute with Icon over ATP 855P. Beach claims a current 25% interest, plus an option to earn another 15%, from the October 2009 farm-in letter. Icon disputes this. The unsigned farm-in has now become a conflict.

joint venture update

Icon signed Atlas Drilling to drill three wells in ATP 626P, with an option for two more, ending the wait for drilling to resume. Further wells are planned for ATP 855P, PEL 218 and PEP 170. Cash was $19.8m at December.

drilling scheduled

The SinoGas LNG deal has slipped again: a new state-owned joint venture, Shantou SinoEnergy, is now the counterparty and needs government sign-offs, so signing by 31 Dec 2010 was postponed with no new date. Icon says drilling restarts in 2011, after the wet season.

material agreement

Icon raised $5.9m by placing 29.5m shares at 20c with three Chinese investors, each agreeing to hold for at least 12 months. Shares on issue rise to 469.3m (6.29% dilution). Funds support Queensland, SA and Victoria operations and the SinoGas talks.

capital raising announcement

Queensland formally granted ATP 855P, in the Nappamerri Trough next to PEL 218, after a native title deed with the Wongkumarra people that includes 50,000 Icon shares. Icon holds 80%, with the Beach farm-in to earn 40% still unsigned. This resolves the long-pending grant.

regulatory community update

Icon won a competitive bid for onshore Gippsland Basin block VIC/G-10(5), to become PEP 170, with 100% interest. It sees tight gas and oil potential, a possible gas source for the China LNG deal, and plans seismic and drilling in the first three years.

asset acquisition disposition

At SinoGas's request, Icon extended the deadline to sign the China LNG gas sale agreement from 31 August to 31 December 2010. The deal is not yet signed, so the 20-year, 40 Mt LNG plan slips four months.

material agreement

Stanwell committed an unconditional $30m to Stage 2 of the ATP 626P farm-in, with ministerial consent, taking total spend to $36m toward 340 PJ of 2P reserves. Stanwell gets an immediate 50% of the four-block area. This resolves the open August decision and starts a new drilling program.

farm in farm out completion

After the price rose from 21c to 25.5c, Icon said it knew of no unannounced information. It disclosed that the first-stage report went to Stanwell on 17 June. Stanwell must say by 16 August whether it will seek ministerial approval, and decide on stage 2 by 16 October 2010.

price query

Icon signed a non-binding MOU with China's SinoGas subsidiary for exclusive supply of 40 million tonnes of LNG (about 2.2 TCF) over 20 years, valued at A$23-32 billion. A binding gas sale agreement is due by 31 August 2010; supply sources are not yet secured.

material agreement

Icon spudded Tommy 1, the first of the nine wells in ATP 626P and the first of five in its 100% area outside the Lydia area. The wells will supply data for reserve certification by NSAI.

drilling spud

Lydia Pilot 2 flowed gas at 30,000 cubic feet a day, the first gas flare in ATP 626P. This is not commercial: the independent certifier NSAI's threshold is 250,000 cubic feet a day. An early sign after dewatering began on 11 August.

flow test result

Icon confirms a signed letter of agreement under which Beach can earn up to 40% of ATP 855P in a deal valued at up to $8.5m, plus a $3.5m share subscription needing shareholder approval. Icon keeps the geothermal permits. Binding documents and approvals are still needed.

farm in farm out agreement

Beach Petroleum says it agreed terms to earn up to 40% of Icon's ATP 855P in the Cooper Basin. It would fund seismic for 25%, then a well (Icon's share capped at $7m) for 15% more, and take over as operator. It would also subscribe $3.5m of Icon shares.

farm in farm out agreement

Icon says Wakefield No.1 logs show 8.9 m of coal in the Winton Formation with gas shows up to 112 units, a potential new coal seam gas play. It was not a drilling objective, and the results are preliminary. Gas content tests are pending, and core holes are planned. Icon holds 33.33% of PEL 218.

drilling result

Icon signs a nine-well drilling contract with Major Drilling in ATP 626P: five wells in its 100% area and an option for four in the Lydia area, 730-1,250 m deep. This firms up the planned stage 2 drilling. Seismic is 80% done, and pilot water tests show potable water.

contract award

Wakefield-1 is cased and suspended after oil and gas shows at multiple levels, but wireline logs are inconclusive over the key zones. The joint venture will consider a cased-hole evaluation to test for commercial oil. This is not a discovery, and the earlier hope of up to 11 million barrels remains unproven.

drilling result

NSAI raises the Lydia farmin area's 2C contingent resource to 357 bcf from 260 bcf, and gas in place to 773 bcf from 564 bcf. This is the 13% of ATP 626P that Stanwell may farm into. Reserves still await flow data from the pilot wells.

resource reserve update

Wakefield No.1 in PEL 218 began drilling on 10 September 2009 and was at 468 m by the next morning. Target depth is 2,380 m, aiming at up to 11 million barrels. Icon will rise from 10% to 33.3% after the well.

drilling spud

NSAI estimated gas in place in ATP 626P at 6,115 PJ, up from 5,438 PJ certified in July 2008. Contingent resources were 1,150 PJ (2C) and 1,773 PJ (3C); a Lydia farmin area report was still due, and upgrades to reserves need commercial flow rates, which could take months.

resource reserve update

Queensland's minister has granted ATP 849P, effective 1 September, a 12-year permit of nearly 4,000 sq km near Mitchell. Icon operates with 80%, Deka and Well Traced 10% each. Two wells are planned. This completes the long-pending permit award.

regulatory community update

NSAI certifies Icon's first coal seam gas resource: 260 PJ (2C contingent) in the Lydia Pilot area, 13% of ATP 626P. It may become reserves once water flows stabilise. All three pilot wells are flowing, and tenders are out for 11 wells from October.

resource reserve update

Tingan 2 in ATP 626P found a new coal seam gas reservoir in a thin 1.5 m coal, with good permeability and good flows on a drill stem test. Icon (100%) calls it a new play. Gas content is not yet measured. Lydia 3 dewatering starts within days.

drilling result

Icon will take part in the Wakefield 1 oil well in PEL 218, South Australia, expected to spud about 6-7 September with Beach as operator. Drilling lifts Icon's interest from 10% to 33.3%. It targets up to 11 million barrels, and Icon suggests success could add 12-15 cents per share.

drilling scheduled

Icon starts preparing a 300 km seismic program in ATP 626P and plans up to 12 stratigraphic wells (4 inside, 8 outside the Stanwell area). Preliminary core analysis shows the coals 100% gas saturated. Dewatering is due within two weeks.

drilling scheduled

The share purchase plan drew applications for about 58.3m shares, about $17.5m, nearly three times the $5-6m expected. With the placement, cash is over $30m at 30 June. Icon plans eight stratigraphic holes and 147 km of seismic outside the Stanwell area.

capital raising announcement

Drawdown tests at Lydia Pilot produced free gas to surface from all wells, with up to 320 barrels of water per day from Lydia 3. Icon calls it a new gas province. It is a positive early sign, but no commercial flow rate is stated.

flow test result

Icon has commitments for a placement of 45-46m shares at 30c, led by Intersuisse, plus a share purchase plan at 30c up to $15,000 per holder. The plan could add up to about 100m shares. This revives the capital raising abandoned in April.

capital raising announcement

LP-4 reached 819 metres, intersecting 12 well-developed Walloon coals with gas readings of 40-75 units against 2-9 background. Icon calls the gas saturation excellent. No reserves are certified yet and the 5.4 TCF figure remains an unproven gas-in-place resource; gas flow rates await dewatering.

drilling result

Icon says a planned placement of up to 45 million shares at 24 cents was abandoned after confidentiality was lost and the shares were halted. It still intends to announce a share purchase plan of up to $10,000 per holder. LP-4 had reached 331 metres.

capital raising announcement

Lydia Pilot LP-4 started drilling on 4 April 2009 and had surface casing cemented at 103.6 metres. It is the first well under the Stanwell farm-in, which could earn Stanwell 50% if it funds the $36m program. Planned total depth is 800 metres.

drilling spud

At the 23 February EGM, all six resolutions failed, including appointing three requisitioned directors (Baldwin, Petherbridge, Sticklen) and removing James, Barry and McNamara. The sitting board keeps control, resolving the requisitioned board-control fight flagged on 10 February.

agm notice

Chairman urges shareholders to reject a group that has requisitioned an EGM seeking to take control of the board. He cites the Stanwell deal and plans a 12-well coring program in 2009, and says the sales agency agreement with Mr Baldwin will be terminated. Outcome unknown.

other

Icon signed the Stanwell gas sale and joint operating agreements, meeting the conditions of the farm-in, and received the $6m Stage 1 payment. Drilling starts February/March 2009. Stanwell can add $30m for 50% of four blocks, and the 225 PJ gas sale depends on Stage 2.

farm in farm out completion

Icon signed a farm-in with Queensland Government-owned Stanwell: $6m for a pilot on four of 30 ATP 626P blocks, then optionally $30m more for a 50% interest in them. Stanwell would buy up to 225 PJ over 15 years. It is conditional on agreements by 30 January 2009. This replaces the earlier farm-in and gas sale talks.

farm in farm out agreement

Chairman Martin Pyecroft, a director since 1997, resigned for health reasons. Managing Director Ray James becomes chairman as well, with Stephen Barry named Lead Director to cover governance. The board plans to add an independent director.

director officer appointment

Icon placed 14.3 million shares at 19 cents to raise $2.717m, funding new coal bed methane pilot wells in ATP 626P around Lydia No.1. PEL 218 seismic (33.33% farm-in) starts October 2008, with a first well by October 2009.

capital raising announcement

Icon placed 16 million shares to raise $2.801m: 11m at 20.1 cents, 4m at 7.5 cents and 1m at 29 cents. Funds go to administration and dewatering tests on ATP 626P. The 5m shares at 7.5c and 29c settle an agency agreement tied to a gas sales MOU.

capital raising announcement

Icon says the three ATP 626P wells found promising coal seams, with prospective recoverable gas of 0.9–1.25 TCF. This is unproven and needs testing. Stitch's oil target remains untested, with a plug set for a possible later sidetrack. Icon is now focused on coal seam gas.

resource reserve update

Stitch No.1 stopped at 1,943 metres with no commercial Precipice sandstone found, only clays, so the oil target failed. It will be completed as a coal seam gas well. The three wells show extensive Walloon coals, roughly 20 by 14 km.

drilling result

Stitch No.1 hit 1,652 metres and the Precipice target sandstone is absent at this level, which Icon calls disappointing. Coal methane results from the Walloons are better than expected, with Natasha water at 520 ppm salinity and pilot drilling being considered.

drilling result

Stitch No.1 started drilling 18 November 2007 to about 2,000 metres, targeting the Precipice sandstone as at Moonie. Natasha and Lydia are complete; Natasha flowed some gas, while Lydia flowed 3,880 barrels of water a day from a sand above the coal.

drilling spud

Icon sold its ATP 765P/766P interests to Santos for $4.5m including GST, and takes 100% of ATP 626P as Santos withdraws effective 2 July 2007. Stitch No.1 is now expected late August to September 2007, with two coal bed methane wells planned for Q4.

asset acquisition disposition

Icon signed a non-binding letter of intent with PetroSun to take a 20% interest in an Australasian algae biodiesel licence, via a new company. Icon would issue 20m shares, 5m options at 5c and 55% of Icon Drilling. Due diligence runs to 30 June 2007.

material agreement

2006 annual report says the Indonesian bid failed after the February 2007 market fall; the placement was cancelled and the money returned. Stitch No.1 still has no firm date. Bayou Choctaw is deprioritised in favour of Australia. Dr Ray McNamara joins as director and company secretary.

annual report

Icon signed heads of agreement to buy up to 75% of an Indonesian production sharing contract for US$4-6m, at least US$1.4m in cash and the rest in shares (about 350m shares afterwards). It needs approvals and a partner for US$4-5m of work; the 16 leads include two discovery wells.

asset acquisition disposition

Company secretary and CFO John Cummins, in the role since the 1997 listing, died on 23 December 2006. Director Stephen Barry has been appointed company secretary.

director officer appointment

ATP 626P was renewed for 18 years, making the Santos subscription unconditional. Santos applied for 10m Icon shares at 6.76c, and the Santos farm-in can now complete. Stitch No.1 will likely miss August 2006; no new spud date was given.

farm in farm out completion

Horizon reports AMI-1 tested at 3.1 mmcfd of rich gas and 60 bopd from the Cib Haz formation, with production expected online in about 2 weeks. Drilling is hoped to resume by mid-July with a new rig.

well test result

AMI-1 has been completed as a producing well, with a first production test due soon. The rig could not handle the pressures at 8,630 feet and was released; the deeper zone will be tested by twinning the well later. New-rig drilling is expected in 2-3 months.

drilling result

Icon declares the first target zone in AMI-1 a commercial discovery, with 74 feet of net oil pay at 7,700-7,773 feet. The well is cased for production and drilling toward 9,100 feet continues. Icon holds 19%.

drilling result

Horizon reports AMI-1 logs and cores show oil-saturated sands at 25-30% porosity, with a preliminary 74 feet net pay in 3 zones. The drill string stuck and was backed off; casing will be set above it.

drilling result

Icon confirms AMI-1 logs and cores show 34-38 API oil, with preliminary pay of 219 feet gross and 74 feet net across 3 zones. The drill string became stuck and was backed off; Icon holds 19%.

drilling result

Icon signed agreements with Santos: Santos subscribes 10m shares at 6.76c ($676k, conditional) plus 20m options for $100k. Santos farms into ATP 626P, earning 50% by drilling Stitch No.1, and takes a 63% stake in ATP 765P/766P, carrying Icon (27.75%).

farm in farm out agreement

Australian Mineral Interests No.1 began drilling on 17 February 2006 at Bayou Choctaw, Louisiana, targeting Frio sands to 9,100 feet over about three weeks. Icon holds 19% and is carried; three back-to-back wells are planned.

drilling spud

A Louisiana court dismissed with prejudice the environmental damage claim against Icon and its partners over the Wilberts Lease, ending the litigation. The first Bayou Choctaw well is about to start.

regulatory community update