Past year: ▲ 850%(0.20c – 3.50c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
13 Dec 2006farm in farm out agreement▲ GoodMajor
CS Energy farms into part of PEL 16, spending $11 million to earn an initial 15%, with a goal of 540 PJ of 2P reserves in 15 months. Heads of agreement to supply 18 PJ a year to Swanbank, worth over $1 billion. Major step for the company.
8 Dec 2006other● Neutral
Notice that 19,690,914 shares come out of ASX escrow on 22 December 2006. Administrative; the text gives no reason, though more shares become freely tradable.
4 Dec 2006capital raising announcement● Neutral
Formal share purchase plan offer letter and terms: up to $5,000 per holder at $0.32, closing 15 December, $2 million underwritten by Taylor Collison. Directors intend to take up their maximum. Repeats the 28 November price announcement.
4 Dec 2006other● Neutral
Blank application form for the share purchase plan at $0.32 per share, $500 minimum and $5,000 maximum. Administrative document with no new information.
28 Nov 2006capital raising announcement▲ Good
Share purchase plan price set at $0.32, an 11% discount to the 5-day average price. Taylor Collison underwrites up to $2 million, so at least that much is backed, resolving the previously unstated size.
16 Nov 2006admin correction● Neutral
Corrects a typo in the 13 November share purchase plan release: the closing date is Friday 15 December. Attaches an amended shareholder letter. No change to the offer ($5,000 cap, 10% discount).
15 Nov 2006material agreement▲ Good
APA's own release confirms it was chosen as preferred partner after a competitive process, and will build, own and operate the 30 MW station. It expects approvals in early 2007, with financial close shortly after.
15 Nov 2006material agreement▲ GoodMajor
Australian Pipeline Trust (APA) is appointed preferred infrastructure partner for the 30 MW Richmond Valley Power Station, to build and operate it. A Development and Tolling Agreement is still to be signed. This answers the search for an investor partner.
15 Nov 2006investor presentation● Neutral
AGM presentation repeating known facts. Gives an estimated power station capital cost of $34 million, financial close targeted for March quarter 2007, and 2007 aims of more than 100 Bcf 2P and a conventional well.
13 Nov 2006capital raising announcement● NeutralMajor
Share purchase plan lets existing shareholders buy up to $5,000 of shares at a 10% discount to market price, with the price set on 28 November. Funds go to reserve drilling, power station assessment and working capital. No total raise size is stated.
3 Nov 2006investor presentation● Neutral
Conference presentation restating known facts: 21 Bcf 2P, 1,080 Bcf 3P, 30MW power station with power from early 2008, core drilling from December. Shows share price $0.33, market value about $30m and cash of $2.0m.
19 Oct 2006contract award▲ GoodMajor
Metgasco signs Mitchell Drilling Contractors for the reserve upgrade program, up to four core wells starting early December. The aim is over 100 PJ of 2P reserves, up from 22 PJ today.
16 Oct 2006annual report● Neutral
Re-release of the 2006 annual report lodged on 29 September, with the same content: 3P 1,123 PJ, 2P 22 PJ, 30 MW power station. No new information.
4 Oct 2006director officer appointment▲ Good
Nicholas Heath, a former ExxonMobil Australia director with over 30 years in petroleum engineering and gas marketing, joins as non-executive director, effective immediately. Adds gas-marketing experience as Metgasco starts to commercialise its reserves.
29 Sept 2006annual report● Neutral
2006 annual report restates the March 2006 certified reserves: 3P 1,123 PJ and initial 2P 22 PJ, the largest certified in NSW. Chairman says 2P covers under 10% of PEL 16 and the goal is wider 2P reserves. Power station is 30 MW.
19 Sept 2006regulatory community update▲ Good
Metgasco received the NSW Planning Department's environmental assessment requirements for the 30MW Richmond Valley Power Station and Casino Gas Project, and is starting the required studies. This is a step in the approvals process, not an approval.
11 Sept 2006capital raising announcement● NeutralMajor
Placement of 11,775,000 shares at 20 cents raised $2.355m, about 15% of capital, well below the 30 cent price of the October 2005 raise. Funds go to drilling to expand 2P reserves toward 100 PJ and to working capital.
What it means for a shareholder
11.8m new shares at A$0.200 to raise about A$2.4m. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.
Create a free account to see this worked out for your own holding.
11 Sept 2006investor presentation● Neutral
Investor update restating strategy: 30MW power station first, 200MW pre-feasibility, and a goal of 100 PJ 2P. Reserves are 22 PJ 2P and 1,123 PJ 3P. Lists cash on hand of $500k and about $9.5m spent to date.
10 Aug 2006drilling result▲ GoodMajor
Middle Creek #1 reached 633m. Logs indicate the top seam is the Richmond, 6.95m thick and gas charged, with 16m more gas-charged coal below. Company says this adds about 150 km² of potential development area, extending the field 15 km south-west. Coring follows when a rig is available.
3 Aug 2006drilling result▲ Good
Middle Creek #1 hit a 5m gas-bearing coal seam at 412m that looks like the Richmond seam, plus two more gas-bearing seams. If logging confirms it, the South Casino field extends 15 km south-west.
1 Aug 2006investor presentation● Neutral
Conference presentation restating known facts: 1,080 Bcf 3P, 21 Bcf 2P, 100% of PEL16 and 75% of PEL13 on farm-in. Aims for over 100 Bcf 2P and power delivery from early 2008. Share price $0.27, market value about $21m.
28 July 2006drilling progress report● Neutral
Middle Creek #1 is drilling ahead at 186m after setting casing at 78m. Target is about 600m. No coal results yet.
26 July 2006regulatory community update▲ GoodMajor
NSW Planning Minister declared the Casino Gas Project and 30MW Richmond Valley Power Station a Major Project, which the company says will streamline approvals. Metgasco has begun inviting infrastructure investors to take part in ownership and development.
17 July 2006drilling spud● NeutralMajor
Metgasco-Molopo Middle Creek #1 spudded 17 July in PEL 13, to about 600m, 23 km south-west of South Casino. This is the first reserve-expansion well and counts toward earning the initial 51% under the Molopo farm-in.
17 July 2006drilling spud● Neutral
Molopo, Metgasco's PEL 13 farm-in partner, announces the same Middle Creek #1 spud. States Metgasco funds 100% of the well, largely satisfying its obligation to earn 51%, with an option to 75% for a further $267,000.
8 June 2006other● Neutral
Notice of an audio broadcast with the MD on coal seam gas reserves. No new information; repeats the 1,080 Bcf 3P and 21 Bcf 2P figures.
31 May 2006drilling progress report● Neutral
MSC-9 is producing water at up to 147 barrels/day, more than modelled, which the company reads as a larger dewatered area. MSC-10 is erratic and suspended for a pump replacement. Company says a preferred fracture direction was identified. Core well for PEL 13 expected by end June.
19 May 2006investor presentation● Neutral
Analyst interview with MD David Johnson. Restates 21 Bcf 2P booked versus about 40 Bcf needed for the 30MW plant. Targets approvals by December 2006 and construction from about January 2007. Horizontal wells still dewatering; model peak 450–750 mcf/day.
12 Apr 2006flow test result▲ GoodMajor
First flow rates from the horizontal wells: MSC-9 peaked at 101,000 scf/day and MSC-10 at 13,000 scf/day, still early in dewatering. MSC-9 is well above the 10,000–15,000 scf/day of the earlier vertical pilot wells, though MSC-10 had a gas block.
3 Apr 2006drilling progress report▲ Good
Both horizontal wells (MSC-9 and MSC-10) are dewatering and producing gas and water, all flared. The company says early rates match its reservoir model, and the drilling rig is leaving site.
