Past year: ▼ 77%(0.30c – 1.50c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
4 Dec 2019farm in farm out agreement● NeutralMajor
Santos conditionally exercised its option for 80% of Beehive (WA-488-P), but only if it farms part of it down by 4 March 2020 and the permit year is extended to suit 2021 rig availability. If it proceeds, Melbana keeps 20%, free-carried on Beehive-1. Otherwise Melbana keeps 100%.
5 Nov 2019farm in farm out agreement● NeutralMajor
Santos exercised its option over Beehive (WA-488-P) while Total declined. Santos can now take 80% by funding 100% of the Beehive-1 well, with a decision due by 4 December 2019. If not exercised, Melbana stays at 100%. Resolves the Total/Santos decision, but only half-way.
3 Oct 2019farm in farm out agreement● NeutralMajor
Melbana agreed to Santos and TOTAL's request to extend their Beehive (WA-488-P) option period by one month. They now have until 4 November 2019 to decide, and the options expire 4 December 2019. They said technical work was complete and they needed time for commercial analysis and internal approvals.
2 Jan 2019farm in farm out agreement▲ GoodMajor
Melbana signed the binding Block 9 farmout with AGMI subsidiary AMEC, which would fund 100% of costs from 1 January 2019. Alameda and Zapato wells are due by 1 November 2019, a third by July 2020. Melbana keeps 12.5% of profit oil. It is subject to Cuban and Chinese approvals.
3 Dec 2018farm in farm out agreement▲ Good
Melbana agreed with Total and Santos to bring forward Beehive well planning, funded by them, so Beehive-1 could spud in 3Q 2020 if they take up their 80% option. Extra seismic processing was dropped, and a firm backstop date now starts the six-month option window.
8 Oct 2018farm in farm out agreement▲ GoodMajor
Melbana signed a non-binding letter of intent for Anhui Guangda Mining Investment (AGMI) to fund three Block 9 wells (Alameda, Zapato, Piedra) by July 2020 and carry all later costs. Melbana keeps 12.5% of profit oil. Binding deal targeted by 1 December 2018.
14 Aug 2018drilling result▲ Good
The Beehive 3D seismic survey was completed safely, extended by about 100 km2 to cover a new lead, Egret, at no cost to Melbana. Total and Santos have six months from receiving processed data to exercise their option; Melbana keeps 20%, carried through the first well.
7 Aug 2018resource reserve update▲ GoodMajor
Independent expert McDaniel lifted Block 9 best-estimate oil in place 24% to over 15.7 billion barrels and recoverable prospective resources 13% to 718 million. Beehive best estimate is 388 MMboe, with chance of success up to 20% from 16%. Unrisked prospective, not discovered.
24 July 2018drilling progress report▲ Good
Acquisition of the Beehive 3D seismic survey (~600 km2) has begun, with completion expected before end August 2018. Fully funded by Total and Santos, it feeds their decision on exercising options for 80%.
6 Mar 2018drilling progress report● Neutral
Pukatea-1 finished at 3,100m; deep logs could not be run because of a down-hole obstruction. The rig is released and the Mt Messenger oil zone is completed for a production test, within the well budget. A good test would improve the odds of restarting the suspended Puka field.
27 Feb 2018drilling result▼ BadMajor
Pukatea-1 reached 3,100m without intersecting the Tikorangi Limestone primary target, which carried a 12.4 MMboe best estimate. About 160m of intermittent hydrocarbon shows will be logged. The well will be plugged back to test the Mt Messenger oil zone, which may restart Puka field production.
20 Feb 2018drilling progress report● Neutral
Pukatea-1 is drilling towards the top of the Tikorangi Limestone, expected within days, with casing to be set there first. The report shows 2,815m depth. No new result.
13 Feb 2018drilling result▲ GoodMajor
Logs show 4.5m true vertical thickness of net oil pay in Mt Messenger over a 10.4m gross interval, in line with pre-drill expectations. Together with Puka-2, this moves Melbana towards modest production. Drilling continues to the main Tikorangi target.
7 Feb 2018drilling result▲ Good
Pukatea-1 hit the Mt Messenger secondary target 2m high to prognosis, with encouraging oil shows over a 14m gross interval. Wireline logging will judge their significance. An early positive for restarting the suspended Puka field, not yet confirmed.
6 Feb 2018drilling progress report● Neutral
Pukatea-1 has reached 1,470m, about 52% of the way to the primary target, and is on schedule. It is about to drill through the Mt Messenger secondary target. No result yet.
30 Jan 2018drilling progress report● Neutral
Pukatea-1 is on schedule, with surface casing set at 601.7m, about 28% of the way to the primary target. The Mt Messenger secondary target is expected in about a week. No result yet.
24 Jan 2018drilling spud● NeutralMajor
Pukatea-1 spudded on 24 January 2018 in New Zealand (Melbana 30%, TAG Oil 70% operator), targeting ~3,170m. The primary target carries a 12.4 MMboe best estimate and 19% chance of success. This starts the well flagged as company-changing if it succeeds.
18 Jan 2018drilling progress report● Neutral
The Nova-1 rig is mobilising to the Pukatea-1 site, with drilling now expected about 25 January to a depth of ~3,170m over ~33 days. Repeats the 12.4 MMboe best estimate and 19% chance of success; no new result.
5 Jan 2018drilling scheduled● Neutral
Pukatea-1 (NZ, Melbana 30%) is due to spud about 23 January 2018, taking roughly 33 days. The operator sees a ~50% chance of moveable oil in a shallower Mt Messenger target. Net dry-hole cost rises about A$400k to ~A$2.0m from ~A$1.6m.
12 Dec 2017farm in farm out agreement▲ GoodMajor
Total and Santos will fully fund a 3D seismic survey over the Beehive prospect (WA-488-P) for an option on 80%. If exercised, Melbana keeps 20% and is carried through the first well. Resolves the ongoing Beehive farm-out talks; survey expected mid-2018.
10 Nov 2017drilling result▲ Good
Reprocessed 3D seismic over AC/P50 and AC/P51 (Melbana 55%) shows better data and an amplitude-supported objective above the Ramble On prospect. Rouge Rock funded the work (about A$1.15m). Preliminary only; supports the planned further farm-out.
7 Sept 2017drilling progress report▲ Good
Road and drilling pad works for Pukatea-1 in New Zealand (Melbana 30%) finished on time and on budget; drilling is still expected mid-January 2018. Best estimate 12.4 million boe, 19% chance of success. Melbana is still looking to cut its NZ funding while keeping exposure.
28 Aug 2017farm in farm out agreement▲ GoodMajor
Petro Australis exercised its option to take 40% of Cuba Block 9, subject to Cuban approvals. Melbana would keep 60% and operatorship, with Petro Australis paying 40% of certain back costs and future costs. This resolves the open option; the two-well plan for 2018 stays on track.
31 July 2017drilling scheduled▼ BadMajor
Operator TAG Oil delayed Pukatea-1 (Melbana 30%) from late October-November 2017 to mid-January 2018, for road, pad and rig work; the well must still be drilled before 23 February 2018. Melbana is considering ways to reduce its New Zealand funding while keeping exposure.
26 July 2017farm in farm out completion▲ GoodMajor
Rouge Rock exercised its option for 45% of AC/P50 and AC/P51, earned by reprocessing work valued at about A$1.15m on which Melbana was free carried. Melbana now holds 55%, subject to Far Cape's 5% back-in option. A joint farm-out is planned for 2017-18.
28 June 2017drilling scheduled▲ Good
PEP51153 joint venture (Melbana 30%, TAG Oil operator) started road and pad works and signed a letter of intent for the Nova-1 rig. Pukatea-1 expected to start late October-early November 2017; best estimate 12.4 million boe, 19% chance of success.
5 June 2017drilling scheduled▲ Good
Melbana says its two-well Cuba Block 9 campaign is on track, with the first well (Alameda or Zapato) expected to spud in first half 2018, about 12 months away. A Cuban engineering firm is engaged for well design and permitting. Well sites inspected. No well committed or funded yet.
22 Mar 2017resource reserve update▲ GoodMajor
Block 9 potential lifted again to about 12.5 billion barrels in place and 637 million barrels prospective (from 612 million), due to a new shallow U1 lead of 25 million barrels. Alameda-1 (130 million barrels, 4,000m, ~80 days) and Zapato (71 million) are the top drill targets. Unrisked.
1 Mar 2017drilling scheduled▲ Good
The PEP51153 joint venture (Melbana 30%) ordered long lead equipment for Pukatea-1, with drilling planned from mid-October to early November 2017. A step toward the well already approved in December; resource figures unchanged.
1 Feb 2017resource reserve update▲ GoodMajor
Cuba Block 9 exploration potential upgraded by more than 50% to about 12 billion barrels in place, with 612 million barrels prospective (best estimate, 100%), up from 395 million. 18 prospects and leads; Alameda highgraded. Unrisked, drilling not yet committed.
