Past year: ▼ 83%(23.5c – 1.52 AUD)
Each one in plain English, with the numbers worked through for a shareholder.
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 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.
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.
1 July 2009resource reserve update▲ GoodMajor
Wombat-2 re-frac succeeded: flow initially estimated at 4.3 million cubic feet a day, stabilising at 1.35 million versus 680,000 before. Gaffney Cline puts Greater Trifon 2C contingent resource at 390 bcf, lifting the Trifon plus Wombat 2C total to 683 bcf.
22 June 2009drilling progress report● Neutral
Oil keeps flowing into Wombat-3 but gas and water from the upper zone impede measurement, so operations are suspended pending production tubing. Wombat-2 re-frac is due within two days, adding 180,000 lbs of proppant. North Seaspray-3 clean-out begins.
10 June 2009drilling progress report● Neutral
Coiled tubing equipment has arrived at Wombat-3 to start the workover program. Frac equipment for Wombat-2 is due around 20 June to lift flow from the current 680,000 cubic feet per day. No new results yet.
12 May 2009drilling scheduled▼ BadMajor
Lakes defers Wombat-4, previously planned for early 2009, because of high rig-mobilisation costs, hoping costs normalise within 12 months. It will instead re-enter Wombat-2, Wombat-3 and North Seaspray-3. Cape Energy talks continue at a subdued rate.
29 Oct 2008resource reserve update▲ GoodMajor
Gaffney Cline's independent assessment puts Wombat gas in place at 700 bcf (P50) and 2C contingent resource at 293 bcf. This is the first formal resource figure, updating the 535.4 bcf estimate of 2006. A separate valuation gives $50m-$88m for the 2C case; shares trade at 0.4c.
9 May 2008resource reserve update▲ GoodMajor
Letter says early 3D work shows updip Wombat potential 300 m above Wombat-2 over about 3.3 km, so gas in place may have risen. No new estimate is given; the July 2006 figure was 535.4 bcf. Wombat-4 depends on the capital raising. Chairman warns low market value leaves Lakes open to takeover.
1 May 2008resource reserve update▲ GoodMajor
Preliminary 3D seismic interpretation suggests earlier Wombat wells sit well down-dip of a Strzelecki high, with several new drilling targets outlined. Lakes wants to drill soon, with rig timing subject to the share purchase plan. Preliminary, not a volume booking.
29 Feb 2008drilling result● NeutralMajor
Alberton-1 reached 998 m and was plugged and abandoned 22 February. Logs suggest hydrocarbons below 700 m, hinting at tight gas. Napier High-1 is abandoned for now until a retention lease is granted. Wombat 3D shoot is complete, with processing due in 4–5 weeks.
4 Feb 2008drilling progress report● Neutral
Moving sands at Napier High-1 prompt Lakes to move the rig to Alberton-1 and deepen it to 1,000 m, while a deeper surface casing is installed at Napier. Alberton-1 had found highly biodegraded oil above the volcanics.
9 Jan 2008drilling progress report● Neutral
Napier High-1 has started drilling in PEP 158, with Alberton-1 to be re-entered afterwards and drilled to 1,200 m. The first onshore Gippsland 3D seismic over Wombat is due to start 23 January.
20 Nov 2007drilling progress report● Neutral
Drilltec is on site at Napier High-1 (PEP 158) drilling the top hole, with the rig due by month-end; the well targets about 1,000 m. Alberton-1 re-entry follows. The Wombat 3D seismic is now set for January 2008 and Wombat-4 slips to Q2 2008.
9 Oct 2007drilling progress report● Neutral
Alberton-1 core analyses remain confusing, from biodegraded oil to carbon only. The well stopped at 270 m because of the unsuitable rig, and Napier High-1 may now be drilled first. The new rig is expected in November.
15 Aug 2007drilling progress report● Neutral
Alberton-1 is cased at 258 m and drilling has stopped because the rig is unsuitable; Drilltec's new rig is expected in 6–8 weeks. About 73 net metres of sand with apparent bio-degraded oil were seen, but lab results are inconclusive.
24 July 2007drilling result▲ Good
Alberton-1 in PEP 158 cored loose Latrobe sand at 109–112.57 m showing what appears to be bio-degraded oil, with a faint odour and moderate cut. Lab testing follows; Wombat-3 is to be reopened for testing next week. Shallow shows only, not a discovery.
18 July 2007drilling spud● NeutralMajor
Alberton-1 in PEP 158 began drilling on 17 July 2007 and was at 11 m, setting surface casing. Coring is planned from about 110 m. This is the third well of the four-well programme.
2 July 2007drilling result▼ BadMajor
Boola Boola-2 stopped at 1,887 m when the drill string stuck, after mud pumps ran out of fuel. The lower string was severed for logging, and the well may be re-entered later. Lakes has earned its extra 25%, reaching 75% of PEP 166. The rig moves to Alberton-1.
25 June 2007drilling progress report● Neutral
Boola Boola-2 is at 1,821 m, deepened to find a permeable reservoir and good source rock. Greenearth has agreed to meet some of the deepening costs for geothermal data. No hydrocarbon results yet.
19 June 2007drilling progress report● Neutral
Boola Boola-2 passed its planned 1,500 m depth, reaching 1,509 m, and the well will be extended to 1,700 m. No results reported.
18 June 2007drilling progress report● Neutral
Boola Boola-2 is at 1,444 m and drilling ahead. No new results.
12 June 2007drilling progress report● Neutral
Boola Boola-2 is at 1,116 m and drilling ahead. No new results.
8 June 2007drilling progress report● Neutral
Boola Boola-2 is at 745 m and changing the bit. No new results.
4 June 2007drilling spud▼ BadMajor
Boola Boola-2 spudded 2 June 2007 and was at 576 m, targeting 1,500 m. It seeks the organic-rich shale seen at Hazelwood-1, which was over-mature there. Lakes also terminated the PetroHunter agreement because settlement was late, and will renegotiate.
23 May 2007drilling scheduled● Neutral
The Century rig moves from Hazelwood to Boola Boola-2, with drilling due late the following week to a planned 1,500 m. Lakes says the oil-capable shale found at Hazelwood-1 encouraged this well, which targets the lower Strzelecki and Rintouls Creek.
30 Apr 2007drilling result● NeutralMajor
Hazelwood-1 reached 2,081 m. The Strzelecki was mostly claystone with weaker reservoir rock than elsewhere, but a 260 m organic-rich shale at about 1,820 m gave continuous gas readings. PetroHunter's US financing is delayed, so the US$3m is now due before end of May.
23 Apr 2007drilling progress report● Neutral
Hazelwood-1 is at 1,939 m and drilling ahead. A 3 m core was cut at 1,886-1,889 m. No results given yet.
