Past year: ▼ 83%(23.5c – 1.52 AUD)
Each one in plain English, with the numbers worked through for a shareholder.
29 Oct 2010annual report● Neutral
2010 annual report. The chairman calls the Beach farm-in the year's highlight: $10m for up to 15%, then up to 50% with a further $40m, matching about $50m Lakes has spent in PRL 2. Reviews Wombat-4 and the Latrobe Fuels deal. Largely repeats known facts.
18 Oct 2010material agreement▲ Good
Lakes signed a research-exchange agreement with NWGI, a PetroChina subsidiary, to study Gippsland tight gas, including advanced seismic reprocessing using Lakes data. No money or equity is stated; it is a first step toward commercialisation.
7 Oct 2010farm in farm out agreement▲ GoodMajor
Somerton Energy will earn up to 5% of PRL 2 from Lakes by funding 33.3% of fracture testing Wombat-2 and Boundary Creek-2, costing up to $3.33m. It can earn up to 16.7% total with a further $13.33m. Subject to final documents; Beach operates.
30 Sept 2010annual report● Neutral
Statutory accounts for the year to 30 June 2010, with directors' report and corporate details. The excerpt is truncated and gives no financial figures. Board unchanged; Leslie Smith is CFO and Company Secretary after Raymond South retired on 1 June 2010.
10 Sept 2010capital raising announcement● NeutralMajor
Lakes placed 210m shares at 0.65 cents to raise $1.365m before brokerage, for current work programs. No shareholder approval needed.
What it means for a shareholder
210m new shares at A$0.0065 to raise about A$1.4m. That's 3.7% dilution: every existing holder's slice gets 3.7% smaller. If you held A$1,000 of shares (153,846 at the issue price), your slice goes from 0.0028% to 0.00269% of the company. To keep it you'd need 5,874 more shares - about A$38 at the issue price.
Create a free account to see this worked out for your own holding.
10 Aug 2010farm in farm out completion▲ GoodMajor
Lakes and Beach sign an unconditional $50m PRL 2 farm-in: up to 15% for $10m, then up to 50% total for a further $40m. Subject to Victorian government approval. Beach will use best endeavours to complete stage one within 12 months. Wombat-3 oil re-entry is added to stage one.
1 June 2010director officer appointment● Neutral
Leslie Smith, already CFO, becomes Company Secretary from 1 June 2010, replacing Raymond South, who resigned from the role after an orderly handover.
14 Apr 2010farm in farm out agreement▲ Good
Beach's own release confirms the conditional PRL 2 farm-in: up to 15% for $10m in phase 1 and up to a further 35% for $40m in phase 2, with Beach as operator. Subject to documentation and regulatory approval. Repeats the Lakes announcement.
14 Apr 2010farm in farm out agreement▲ GoodMajor
Lakes accepts Beach Energy's offer to earn up to 50% of PRL 2: 15% for $10m funding Wombat-4 and Boundary Creek-2 fracture tests, then up to 35% more for $40m. Beach would become operator. Subject to due diligence and Beach board approval.
6 Apr 2010farm in farm out agreement▲ GoodMajor
Latrobe Fuels can earn up to 50% of a portion of PEP 166 by drilling up to two wells to 2,000m at its own cost, with the first to start by 31 December 2010. It also gets first right of refusal over Lakes' share of any production.
9 Mar 2010half year report▼ BadMajor
Half-year to December 2009: loss of $60,360, helped by a $1.47m investment gain, after raising $10.56m from rights and partly paid issues. In February 2010 the government refused the PEP 158 retention lease; Lakes is exploring appeals, with $2.74m of costs at risk of write-off.
18 Jan 2010investor presentation● Neutral
January 2010 shareholder update: Wombat-4 has 27 potential gas zones, with estimated 8.8 mmscf/d if all were fractured (about 3.4 for the best five). The chairman says over $50m has been spent in PRL 2. 2010 plan includes Wombat-4 fracturing in Q3. These are company estimates.
30 Nov 2009drilling result▲ GoodMajor
Wombat-4 is declared a tight gas discovery. Three Latrobe tests flowed small amounts of gas at unmeasured rates, and the Strzelecki (1,350-2,500m) appears gas saturated but will need fracturing to flow. Casing is being set for later fracturing. Oil and condensate are indicated.
27 Nov 2009investor presentation● Neutral
AGM presentation repeating known material: Gaffney Cline resource figures (683 bcf 2C), Palliser valuation ranges and Wombat-2 re-frac. Shows 5.5bn shares on issue and a market value of about $44m at 0.8c. No new results.
23 Nov 2009drilling result▲ GoodMajor
Four Wombat-4 Strzelecki tests (e.g. 1,383-1,478m) all flowed gas at unmeasured rates. Consultants judge the whole 1,350-2,500m section gas saturated, but it will need fracturing. A Latrobe test at 1,171-1,174m gave a little wet gas before the tool failed.
16 Nov 2009drilling result▲ GoodMajor
Wombat-4 reached 2,500m total depth. Logs, a drill stem test and core data indicate oil and condensate as well as gas in the Strzelecki. Tight gas may need fracturing to flow, so more tests and later stimulation are planned.
9 Nov 2009drilling progress report▲ Good
Wombat-4 is at 2,404m with total depth extended from 2,000m to 2,500m. Numerous gas shows, some possibly with light oil or condensate, and the Latrobe appears hydrocarbon bearing. Lakes calls the results extremely encouraging; no test rates yet.
4 Nov 2009drilling result▲ GoodMajor
A drill stem test of the Strzelecki between 1,383m and 1,478m in Wombat-4 flowed gas to surface at an undisclosed rate. Gas is mostly methane with heavier hydrocarbons up to C5. The well is at 1,680m, with 2,000m planned.
29 Oct 2009drilling progress report▲ Good
Wombat-4 reached the top of the Strzelecki at 1,350m, where gas readings rose significantly, with hydrocarbons up to C5. Lakes will set 7-inch casing and run a drill stem test, and expects better flows than earlier Wombat wells.
26 Oct 2009annual report● Neutral
Annual report for 2009. The chairman says Lakes came through a challenging year in good shape and calls Wombat-4 probably its most significant well. It restates the Wombat-2 flow blockage and Wombat-3 oil. The extract is truncated and gives no financials.
26 Oct 2009drilling progress report● Neutral
Wombat-4 is at 1,204m. Elevated gas readings were seen in several Latrobe zones, but their significance is unknown until logs are run. Plan is to drill 20-30m into the Strzelecki, log, then case.
19 Oct 2009drilling spud▲ GoodMajor
Wombat-4 spudded on 17 October and is at 302m, setting surface casing. It is the first onshore Gippsland well drilled with 3D seismic, about 1.5 km southwest of Wombat-2, targeting the Strzelecki at about 1,311m and the Latrobe as a secondary target.
13 Oct 2009drilling progress report● Neutral
Wombat-4 rig is on site, two weeks late because of further approvals, with spud expected late that week. Lakes also offers staff 38m partly paid shares at 1.5c, and directors 150m on the same terms subject to AGM approval on 27 November.
2 Oct 2009admin correction● Neutral
Section 708A notice accompanying a new share issue (Appendix 3B), confirming the company is up to date with its reporting and disclosure obligations. Administrative; no new substance.
30 Sept 2009annual report● Neutral
Annual report for the year to 30 June 2009. The visible text covers only the corporate directory and director profiles; no financial figures are readable in the extract.
31 Aug 2009capital raising announcement▲ GoodMajor
The 1-for-4 rights issue closed with $9.3m of applications, against about $11m sought, so it was not fully subscribed. Wombat-2 chemical treatment on 21 August has not freed the gas flow, which remains reduced. Wombat-4 is still expected to spud in late September.
17 Aug 2009well test result▲ GoodMajor
Lab tests show Wombat-3 oil is unaltered and not biodegraded, API gravity 34-51, similar to Bass Strait oil. Lakes also clarifies its share of the PRL 2 valuation is $79-155m, since it holds 50% of Trifon, Gangell and Seaspray.
14 Aug 2009resource reserve update▲ GoodMajor
Palliser Strategic Management values the PRL 2 gas assets at $104-217m (P50), against Lakes' market value of about $44m. Wombat-2 flow has settled at 600,000-700,000 cf/day, down from a 1.8m peak; a chemical wash is planned for 18 August.
29 July 2009capital raising announcement▼ Bad
Cover letter sending shareholders their rights issue forms; offer closes 21 August, $3m underwritten. Update: North Seaspray-3 suspended as the 2005 frac may have reached an aquifer. Wombat-4 is planned as a roughly 2,000m future production well.
27 July 2009regulatory community update● Neutral
Lakes welcomes Western Australia halving its tight gas royalty to 5%, calling it validation of tight gas. Restates over $40m spent in PRL 2 and Wombat-4 as the next step. No new Lakes results.
