Past year: ▲ 850%(0.20c – 3.50c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
1 Oct 2019drilling scheduled▲ GoodMajor
Operator Vintage signs a letter of intent with Schlumberger for rig SLR-185 to drill Vali-1 in ATP 2021, with spud expected late 2019. Vintage's net best estimate is 17.6 Bcf (35.1 Bcf at 100%), a 34% chance of success; undiscovered, not booked.
1 Oct 2019resource reserve update▲ GoodMajor
Metgasco notes Vintage's Vali estimate of 38.1 Bcf gross (9.5 Bcf net to Metgasco's 25%), double its November 2018 figure of 19 Bcf, due to a larger mapped closure. The well is free-carried for Metgasco by the two farm-outs.
25 Sept 2019business combination▲ GoodMajor
Metgasco's directors unanimously say Melbana's offer, in its current form, materially undervalues the company and advise shareholders to take no action. A formal target's statement recommendation is due by 9 October; the bid closes 24 October.
25 Sept 2019business combination● Neutral
Melbana confirms its bidder's statement and offers were sent to Metgasco holders. The offers are dated 24 September 2019. Administrative notice.
24 Sept 2019business combination● Neutral
Melbana begins sending its bidder's statement to Metgasco shareholders. The offer closes 24 October 2019 unless extended. Metgasco's response is due next.
18 Sept 2019asset acquisition disposition● NeutralMajor
Metgasco sells 8m Byron shares for about $2.72m and uses $1.75m to pay off the Byron SM74 settlement, ending that obligation. It keeps 42,333,383 Byron shares and about $1.33m cash. No further sales are planned.
18 Sept 2019other● Neutral
Substantial holder notice: Metgasco's Byron holding fell from 50,333,383 shares (7.14%) to 42,333,383 (6.00%) after the on-market sale of 8m shares for $2.72m on 17 September 2019.
16 Sept 2019other● Neutral
Melbana sets 17 September 2019 as the record date for sending its takeover documents to Metgasco shareholders. Administrative notice only.
11 Sept 2019investor presentation● Neutral
Conference presentation repeating known facts: L14 Perth Basin farm-in, ATP 2021 farm-outs, and about 7% of Byron. Shows share price 4.4c, cash $0.406m at 30 June and Byron shares $18.62m. Says Metgasco intends to commit to the Cervantes prospect.
10 Sept 2019resource reserve update▲ GoodMajor
Metgasco reported un-risked prospective resources for the Cervantes and Western Brush oil prospects in L14 of 15.6 million barrels gross best estimate (9.3 million net at 60%), with a high case of 42.9 million. The joint venture plans to drill at least one by Q3 CY2020.
10 Sept 2019material agreement● Neutral
Melbana waives breaches of its bid conditions caused by the Bridgeport farm-in and the annual report (including a $10.2m Gulf of Mexico impairment), but the offer remains conditional. It warns it may go to the Takeovers Panel if Metgasco exercises the L14 option without shareholder approval.
10 Sept 2019business combination● NeutralMajor
Melbana lodges its formal bidder's statement for the all-share off-market takeover of Metgasco. This turns the announced intention into a lodged bid. Metgasco's target's statement and recommendation follow.
9 Sept 2019farm in farm out agreement▲ GoodMajor
Metgasco signs a binding option to farm into Perth Basin licence L14 (Jade/RCMA): by 15 Nov 2019 it can commit to drill one well, paying 100% of costs to earn 60% of any discovery, with a second-well option. A new onshore oil project, a strategy shift, while Melbana's bid is pending.
4 Sept 2019other● Neutral
Corporate governance checklist lodged with the annual report, pointing to the company website for the full statement. No new business information.
4 Sept 2019annual report▼ Bad
FY2019 annual report: cash and financial assets fell from $27m to $11.7m after $8.3m was spent on two disappointing Gulf of Mexico wells. Share price fell about 20% to 4.7c. The Vintage farm-in and the Vali-1 well, targeted by Q4 CY2019, were highlighted.
2 Sept 2019business combination● Neutral
ASIC gives Melbana an 18-day extension, to 3 October 2019, to send its bidder's statement so an independent expert's report can be finalised. Metgasco then has 15 days to respond. Takeover offer not yet formally made.
29 Aug 2019farm in farm out agreement▲ GoodMajor
Metgasco signs a binding farm-out of a further 25% of ATP 2021 to Bridgeport (Cooper Basin). Bridgeport funds 32.5% of the first well (up to $1.72m), leaving Metgasco free-carried with 25% non-operated. Subject to ministerial approval.
30 July 2019quarterly activities report● Neutral
June quarter report recaps the Vintage farm-out, the failed SM74 D-14 well, the A$1.75m Byron settlement and Melbana's offer. After option exercise Metgasco holds 50,333,383 Byron shares (7.14%, about A$12.3m). Due diligence on one acquisition is advanced.
25 July 2019business combination● NeutralMajor
Melbana's intention to bid is now unconditional after ASIC relief: 4 Melbana shares per Metgasco share, 50.1% minimum acceptance. Melbana waived the breaches caused by the Byron settlement and option exercise, but other conditions remain.
23 July 2019business combination▼ Bad
Melbana says Metgasco's Byron settlement and option exercise breach some conditions of its proposed takeover offer. It has asked Metgasco for information and reserves rights, including withdrawing or going to the Takeovers Panel.
18 July 2019asset acquisition disposition● Neutral
Byron's release, not Metgasco's, of the same deal: Metgasco exercised its 10m Byron options at 25c, and its extra SM74 costs are capped at A$1.75m on top of about US$4.5m already paid.
18 July 2019asset acquisition disposition● NeutralMajor
After the dry SM74 well, Metgasco settles its exposure by paying Byron A$1.75m by 30 September 2019, capped against further overruns. It also exercised its 10m Byron options at 25c, adding to its Byron holding.
17 July 2019drilling progress report● Neutral
Byron's release, not Metgasco's: Gulf of Mexico operations resumed after Hurricane Barry with no damage, and the rig is preparing to resume plugging SM74 D14. Says Metgasco's 30% interest is earned on completion of plugging.
15 July 2019business combination● NeutralMajor
Melbana announces a conditional intention to bid for all of Metgasco, offering 4 Melbana shares per Metgasco share, implied value about 4c. M&A Advisory (19.59% holder) has agreed to accept absent a superior proposal. Needs 50.1% acceptance and ASIC relief.
15 July 2019business combination● Neutral
Metgasco's board notes Melbana's unsolicited, conditional takeover offer and tells shareholders to take no action. It will talk to Melbana and other interested parties before giving a formal recommendation.
11 July 2019other● Neutral
Byron's release, not Metgasco's: Tropical Storm Barry forced evacuation of Byron platforms and the White Fleet rig on SM74 D14, interrupting plugging work. Operations expected to be shut until about 14-15 July. No effect on Metgasco's interests is stated.
5 July 2019drilling result▼ BadMajor
Byron's release, not Metgasco's: the SM74 D14 bypass well reached 14,933 ft and found wet sands in the primary objective, with only thin, non-commercial hydrocarbon shows. It is being plugged and abandoned. Byron calls the result disappointing.
5 July 2019drilling result▼ BadMajor
Metgasco's own notice: SM74 D-14 reached 14,933 ft, found wet primary sands and was deemed uncommercial; it is being plugged. Metgasco calls it a commercial failure, says it is funded for extra costs, and will review its operations.
2 July 2019drilling progress report● Neutral
Byron's release, not Metgasco's: the SM74 D14 bypass well, kicked off at 13,153 ft after the stuck pipe, is drilling at 13,988 ft. It has not yet reached the zone of interest seen in the original hole. No result yet.
2 July 2019farm in farm out completion▲ GoodMajor
Metgasco executes the formal ATP 2021 farm-out and joint operating agreement with Vintage, matching the 22 May terms: Vintage earns 50% and operatorship, funding 65% of the first well (up to $3.445m). Transfer awaits ministerial approval; Vali well targeted Q4 2019.
