Past year: ▼ 19%(5.10c – 10.0c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
20 Dec 2016resource reserve update▲ Good
Third-party announcement by Pilot Energy: seismic interpretation shows 14 prospects in WA-481-P across three focus areas. Frankland gas 2C contingent resource is 39 Bcf and Dunsborough oil 5.4 MMbbl. Prospective resource figures are delayed to late January 2017.
19 Dec 2016drilling scheduled● Neutral
Third-party announcement by Pilot Energy: the EP437 joint venture approved the Wye Knot-1 well budget, net cost up to A$1.7m after a $200,000 grant. Unrisked best-case prospective oil is 1.4 MMbbl gross, with a 30% chance of success. Rig tendering begins; no spud date.
19 Dec 2016drilling scheduled▲ GoodMajor
Key, as operator, confirmed the EP437 joint venture approved the Wye Knot-1 budget (about $1.9m before a $200,000 government grant). Best-case prospective oil is 1.4 MMbbl gross, 0.61 net to Key, at a 30% chance of success. Rig tendering starts; no spud date.
20 Oct 2016farm in farm out completion▲ GoodMajor
NOPTA approved transfer of a 40% interest in offshore WA-481-P to Key, completing the option exercised in July. Terms are nil consideration and a 10% net profits interest to the previous owner, plus a pro rata share of tax credits. Pilot holds 60%.
20 Apr 2016farm in farm out completion● Neutral
Third-party announcement by Pilot Energy: the DMP approved transfer of Caracal's EP437 interest to Pilot, completing the deal agreed in November 2015. Interests are Key 43.471% (operator), Rey 43.471%, Pilot 13.058%. Wye Not and Becos seismic will be reprocessed to pick a drilling target.
4 Nov 2015farm in farm out agreement● Neutral
Third-party announcement by Pilot Energy (PGY): it will buy Caracal's 13.058% of EP437, subject to DMP approval. Key and Rey stay at 43.471% each. A new partner replaces Caracal, with no change to Key's share.
1 Oct 2015resource reserve update▲ GoodMajor
Key booked its first reserves and resources in the Canning Basin: West Kora (L15) 2P reserves of 380,000 barrels and 2C contingent resource of 120,000 barrels, plus Point Torment (R1) 2C gas of 4.725 Bcf. Key's interests are 85.40% and 85.23%.
5 June 2015drilling progress report● Neutral
Casing scraper run and brine conditioning are done, and the crew is running perforating guns and completion equipment. Perforating and testing of 12 metres of gross Bookara Sandstone follow. No results yet.
2 June 2015drilling progress report● Neutral
BOP testing at Dunnart-2 is complete and the crew began running in hole on 2 June to start completion operations. Flow back tanks and flare line are installed. Testing is expected to follow within days. No test results yet.
28 May 2015drilling progress report● Neutral
All rig equipment, 3.5-inch tubing, packer, sliding sleeve and Xmas tree are now at the Dunnart-2 site. Perforation and the flow test are expected shortly after rig-up, and the Managing Director is due on site on 30 May.
21 May 2015drilling progress report● Neutral
DCA Rig 6 arrived at the Dunnart-2 site on 20 May. Rig-up is under way, with completion equipment arriving 22 to 25 May. Testing is expected to start towards the end of the following week.
12 May 2015drilling progress report▼ Bad
Dunnart-2 testing is delayed again. DCA Rig 6 is being upgraded after a third-party inspection and is now due on site the week of 18 May 2015, against the mid-April target. Halliburton has pressure-tested the completion equipment.
21 Apr 2015drilling scheduled● Neutral
All DMP approvals for Dunnart-2 testing are now granted and long-lead equipment is ready in Perth. DCA Rig 6 is to mobilise within about three weeks, so testing slips beyond the mid-April target. Key is also talking to two other rig contractors about a larger campaign.
11 Mar 2015drilling scheduled● Neutral
Key now plans Dunnart-2 testing around mid-April 2015, subject to final DMP approvals; the Health and Safety Division has not yet responded. Interval 614-626m will be perforated. Mapping shows at least 10 undrilled EP437 prospects and leads.
2 Oct 2014drilling result▲ GoodMajor
Key's preliminary read is at least 5m of good-quality, thought-to-be oil-bearing sand at the top of the Bookara, in line with resource assumptions, with oil shows over 20m. Mud invaded the sand, so wireline samples were mixed. The joint venture agreed in principle to production test Dunnart-2, subject to budget and approvals, and Key is in talks on up to three further EP437 wells.
1 Sept 2014drilling progress report● Neutral
Dunnart-2 is cased with 7" to 657m and suspended, ready for a production test once the Department of Mines and Petroleum approves a program. Rig 7 is released. Only two 50cc fluid samples were recovered before a tool failure, and Key is discussing Rig 7 use in the Canning Basin.
27 Aug 2014drilling progress report▲ Good
Preliminary logs suggest reservoir-quality sand at the top of the Bookara, and fluid samples are still to be assayed. Approval to suspend the well with 7" casing has been received. Daily reports end; the joint venture will decide on production testing.
26 Aug 2014drilling progress report● Neutral
Wireline logging has been completed in two suites and the formation tester tool is next, with interpretation under way. Key has applied to the Department of Mines and Petroleum to suspend the well with 7" casing for possible production testing.
25 Aug 2014drilling result● NeutralMajor
The second 13m drill stem test failed mechanically, so it is invalid and not a reservoir issue. Dunnart-2 was drilled to its 670m total depth, with further live oil shows, and wireline logging is next to assess net pay.
22 Aug 2014drilling progress report▲ Good
The hole was cleaned out and another 11m of Bookara Sandstone drilled to 627m, with fluorescence and oil shows. Key is preparing a second open hole drill stem test over 614-627m. No test result yet.
21 Aug 2014drilling progress report● Neutral
A drill stem test was run over 614-616.87m, but the tools are being pulled to check for a misrun or plugging, as fill was noted in the hole. The joint venture is considering re-running the test or drilling deeper first. No valid result yet.
20 Aug 2014drilling result▲ GoodMajor
Dunnart-2 reached the top of the Bookara Sandstone at 614m, about 1m high to prediction, with live light oil (preliminarily 34° API) in the first 2.87m drilled. An open hole drill stem test is planned to confirm whether the oil is recoverable.
19 Aug 2014drilling progress report▲ Good
Drilling Report 6: two gas shows (33.7 and 27.3 units) were recorded at about 529-531m in the Kockatea Shale, roughly ten times background. Drilling is at 612m, just above the Bookara Sandstone target, with the shows still to be evaluated by logs.
18 Aug 2014drilling progress report▲ Good
Drilling Report 5: an encouraging gas show was met at 460-475m in the Cattamarra Coal Measures, several times higher than at Dunnart-1, though the rock is not reservoir quality. Drilling is at 496m, heading for the Bookara Sandstone at about 617m, then a drill stem test.
11 Aug 2014drilling progress report● Neutral
Drilling Report 4: rig maintenance is done and the blowout preventer is being fitted and tested. Drilling of the 8 1/2" section toward the Bookara Sandstone is next, with daily reports to follow. No new result.
4 Aug 2014drilling progress report● Neutral
Drilling Report 3: 9 5/8" casing is cemented at 294m and rig maintenance continues before the blowout preventer is fitted. The fixed-price turnkey contract means the joint venture bears no cost while waiting. No new geological result.
28 July 2014drilling progress report● Neutral
Drilling Report 2: 9 5/8" casing is run at 294m, and the Cadda Formation came in within one metre of prediction. Key also let Crocker Group test a new logging tool at no cost, and is in talks to use it in the Canning Basin.
21 July 2014drilling progress report● Neutral
Drilling Report 1: the 13 3/8" conductor is set at about 85m and cemented. The next step is drilling to about 300m, with the Bookara Sandstone target at about 617m. No hydrocarbon shows yet, none expected at this depth.
14 July 2014drilling spud▲ GoodMajor
Drilling of Dunnart-2 began at 10am on 13 July 2014, the well Key has long worked toward, targeting 2 million barrels best estimate. Time to drill, test and log to total depth is expected to be four weeks.
2 July 2014drilling progress report● Neutral
DCA Rig 7 and equipment are on site at Dunnart-2, with the derrick raised. Drilling is expected to start within days, slightly after the early-July spud earlier flagged.
