Past year: ▼ 77%(0.30c – 1.50c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
19 Oct 2007drilling progress report● Neutral
Heron-2 weekly report: after about five days of rig commissioning and repairs, the 26-inch hole began on 19 October. Well is high pressure/high temperature. Pre-drill mean gas-in-place is 5,620 Bcf for Epenarra, 3,790 Bcf Heron North, 1,750 Bcf Heron South. No results yet.
19 Oct 2007price query▼ BadMajor
MEO says a substantial shareholder sold about 3.5m shares on market and refused to state its intentions. The company is worried about the share price impact and has begun a strategy to ensure any offer for the company reflects full value. Seller not named.
15 Oct 2007drilling spud▲ GoodMajor
Heron-2 spudded late on 12 October 2007 in NT/P68 (MEO 90%, Petrofac 10%). The 30-inch casing is set at 108m; planned depth is 4,300m, testing the Epenarra Darwin Formation and deeper Elang/Plover. Heron-3 horizontal well follows depending on results.
5 Oct 2007drilling progress report● Neutral
The West Atlas rig arrived safely in Darwin on 4 October and was unloaded. A 36-hour tow to the Heron-2 site is due to begin shortly, with spud still expected around 11 October. NT's Chief Minister cited about A$100m of drilling spend by Christmas.
5 Oct 2007admin correction● Neutral
Amended re-release of the rig arrival notice, correcting the tow start date to 6 October from 5 October. Spud still expected around 11 October. Nothing else changed.
5 Oct 2007admin correction● Neutral
Correction to a director's interest notice for Andrew Rigg: the date of change should read 26 September 2007, not 28 July 2007. Administrative only.
3 Oct 2007regulatory community update● Neutral
NT government consented to drill Heron-2 and the safety case was approved, completing approvals. The rig's shipping delays push the expected Heron-2 spud from 6 to about 11 October 2007.
28 Sept 2007director officer appointment● Neutral
John Newton resigned as a director. He is Executive Chairman of Xtract, which bought Cambrian, MEO's largest shareholder; the company says this could be seen as compromising his independence. Board falls to five.
28 Sept 2007other● Neutral
Cambrian (owned by Xtract) sold 5m MEO shares at A$1.10 to institutions including Lehman Brothers, cutting its stake from 22.8% to 21.3% (71.4m shares). The West Atlas rig left Singapore for Darwin, with Heron-2 spud still expected around 6 October.
27 Sept 2007annual report● Neutral
Annual financial report for the year to 30 June 2007, with directors' report and review of operations. The extract is truncated and gives no financial figures, so nothing new can be stated from it.
12 Sept 2007investor presentation● Neutral
September investor update restating known facts: rig handover 22 September, Heron-2 spud 6 October, Commonwealth drilling approval granted. Adds Fugro seismic inversion supporting mapping. Wells are funded; MEO still seeks a second farm-in partner for 10-15%.
12 Sept 2007drilling progress report● Neutral
Fugro's vessel finished shallow coring at Heron-2, Heron-3B, Heron-3C and Blackwood-1, giving seabed data needed for rig insurance. It now moves to Tassie Shoal for deeper coring (about three days), enabling FEED studies if drilling confirms commercial gas.
12 Sept 2007resource reserve update▲ Good
Fugro's analysis of 2006 3D seismic outlines gas-charged zones in the Darwin (Epenarra) and Elang/Plover reservoirs, which the company says raises confidence in its mapping and well locations. This is not a resource change. Rig still on schedule for 6 October spud.
12 Sept 2007other● Neutral
Santos notice of substantial holding: its 20.67m shares fell to 7.52% of MEO, a change dated 3 May 2007, because of dilution, not selling. A late filing with no new trading.
12 Sept 2007other● Neutral
Second Santos notice: its unchanged 20.67m shares now equal 6.21% of MEO, dated 16 July 2007, again from dilution by new share issues, not selling. Administrative.
28 Aug 2007regulatory community update▲ GoodMajor
The Commonwealth environment department ruled the 2007 NT/P68 drilling campaign is not a controlled action, so no further environmental assessment or ministerial approval is needed and drilling can proceed as scheduled. Clears a regulatory step before Heron-2.
21 Aug 2007drilling scheduled▲ Good
Drilling remains on schedule: West Atlas rig to be handed to MEO by 22 September, helicopter available from 15 September, and Fugro coring starts about 31 August. Heron-2 is expected to spud around 6 October 2007, firming up the earlier September estimate.
2 Aug 2007capital raising announcement● Neutral
Offer letter for the second share purchase plan for buyers between 5 and 7 June who missed the first one: up to A$5,000 at A$1.00, closing 10 August 2007. Administrative follow-through of the ASIC relief.
30 July 2007quarterly activities report● Neutral
June quarter report: Petrofac farm-in, 52.6m 25c options exercised for about A$13.2m, placement of about A$39.2m net, and A$7.85m of share purchase plan funds received. Elang/Plover gas is dry with 15-25% CO2 likely, suited to methanol. West Atlas rig due September.
27 July 2007agm notice● Neutral
General meeting presentation asking holders to ratify the 41.25m-share placement at A$1.00 issued on 8 June, plus a company update repeating known facts. Cash is shown at A$77.6m and shares at 333m. Nothing new.
17 July 2007capital raising announcement▲ Good
ASIC granted relief so MEO can offer a second share purchase plan, at A$1.00 for up to 5,000 shares, to buyers between 5 and 7 June who missed the first plan because trades did not settle in time. Fixes the problem raised on 4 July.
12 July 2007investor presentation● Neutral
July presentation restating known facts, updated for the raising: 333m shares, A$78.2m cash, and interests now NT/P68 90% and Timor Sea LNG 90%. Says Petrofac signed 29 May and parties are negotiating for a further 15%.
6 July 2007drilling progress report▲ Good
Fugro finished seafloor surveys at the four planned wells (Heron-2, Heron-3A, Heron-3B, Blackwood-1) without incident. Fugro also won the contract for shallow coring, starting early August, then Tassie Shoal boreholes to allow FEED studies in 2008 if drilling succeeds.
4 July 2007capital raising announcement▼ Bad
Some buyers of shares just before the 7 June cut-off missed the share purchase plan, because sellers failed to settle in time to be on the register by 13 June. MEO says this is a dispute between buyers and sellers and it will not intervene.
22 June 2007capital raising announcement● Neutral
Offer letter for the share purchase plan: eligible Australian and New Zealand holders at 13 June 2007 can buy up to A$5,000 of shares at A$1.00, closing 6 July. Funds go to working capital for the gas-to-liquids projects and NT/P68 appraisal. Terms of an already announced raise.
8 June 2007other● Neutral
Three directors were allowed to sell a small part of their holdings, after exercising their April 2007 options. The company says a trading blackout had stopped them selling earlier to cover exercise costs. No sizes or amounts are given.
5 June 2007investor presentation● Neutral
Investor presentation repeating known NT/P68 facts (5.6 Tcf Epenarra, 5.5 Tcf Heron North) and the Petrofac farm-in terms. It shows 275.1m shares, a A$1.10 price and Cambrian at 28.0%. Says other parties are negotiating for a further 10-15%.
5 June 2007capital raising announcement● Neutral
Re-release of Petrofac's London announcement of its 10% NT/P68 farm-in, which is conditional on government approval of the assignment. Also reminds buyers they must acquire shares by 7 June 2007 to join the A$1.00 share purchase plan. Nothing new.
4 June 2007farm in farm out agreement▲ GoodMajor
Petrofac Resources farms into NT/P68 for 10% by funding 25% of 2007 appraisal well costs, with an option to reach 15% and to join the LNG/methanol projects. Alongside, a placement of 41.25m shares at A$1.00 raised A$41.25m, plus a share purchase plan. Follows the earlier partner talks.
28 May 2007drilling progress report▲ Good
Fugro's reservoir study and JRS's stress work identified target zones and fracture orientation for the appraisal wells, now fixed. Site surveys at well locations (35-70m water) are under way. MEO is negotiating with several farm-in parties but plans to sell only a minority interest.
