Past year: ▲ 60%(3.50c – 6.80c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
28 Nov 2013other● Neutral
AGM chairman's address acknowledges shareholder frustration over Arrowsmith-2 delays. Arrowsmith-2 is shut in pending removal of a faulty gas mandrel, and a horizontal pilot well, Arrowsmith-3, is planned afterwards. RFC Ambrian is appointed to help find funding partners.
27 Nov 2013other● Neutral
Norwest notifies that an Edison Investment Research report is on its website. The announcement carries no substance beyond a link notice.
26 Nov 2013investor presentation● Neutral
AGM presentation restates the Arrowsmith strategy, the 2.6 TCF prospective and 316 Bcf contingent resources, and the search for funding partners. Net Perth Basin acreage is shown as about 2,295 km2, down from the 2,543 km2 in earlier material. Largely repeats known facts.
25 Oct 2013annual report● Neutral
Annual report for the year to 30 June 2013. It describes Arrowsmith-2 as a gas and oil discovery confirmed by independent resource estimates, with flowback continuing. It also notes a 3D seismic program and a UK 2D survey, and the Chairman cites regulatory and service delays.
18 Oct 2013flow test result● Neutral
Arrowsmith-2 has averaged about 315,000 scf/d since flowback began on 18 September, far below the 3.5 million scf/d initial peak. 7,320 bbls of fluid have been recovered, with about 9,055 bbls of stimulation fluid still in the well. The well will later be shut in to rebuild pressure.
20 Sept 2013flow test result▲ Good
Partner AWE (44.25%) relays Norwest's initial 3.5 million scf/d Arrowsmith-2 flowback rate and calls the smaller-tubing recompletion a success. It expects testing to continue for the rest of 2013. No new data beyond Norwest's release.
20 Sept 2013flow test result▲ GoodMajor
Arrowsmith-2 flowback began 18 September from three co-mingled zones, with a peak constrained rate of 3.523 million scf/d. Rate fell to 0.91 million scf/d after 18 hours as stimulation fluid unloaded. Testing is expected to run two to three more months.
16 Sept 2013drilling progress report● Neutral
Arrowsmith-2 completion work restarted after the 10 September packer setback, with the well completed at 2,645m. Testing of the High Cliff Sandstone is delayed until the other zones clean up; the company says the program and budget are unchanged.
10 Sept 2013drilling progress report▼ Bad
At Arrowsmith-2 the completion packer could not be run below 2,646m and was set at that depth, so the plan will be modified. This is a setback to the three-week High Cliff test schedule. Norwest will announce a revised program and restart date.
30 Aug 2013capital raising announcement▲ GoodMajor
The share purchase plan took up 95.46m shares at 3c, raising $2.86m (80% take-up). Norwest also placed 33.33m shares at 3c to sophisticated investors for $1.0m. Total about $3.86m, funding exploration and working capital, following the 3c offer and adding to the December cash of $4.28m.
What it means for a shareholder
95.5m new shares at A$0.030 to raise about A$2.9m. That's 8.9% dilution: every existing holder's slice gets 8.9% smaller. If you held A$1,000 of shares (33,333 at the issue price), your slice goes from 0.00342% to 0.00312% of the company. To keep it you'd need 3,266 more shares - about A$98 at the issue price.
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22 Aug 2013drilling progress report● Neutral
Arrowsmith-2 operations restarted 22 August 2013 to install a completion packer isolating High Cliff, then flow High Cliff for 2-3 weeks, followed by Irwin River Coal Measures and Carynginia. The whole program is expected to take 3-4 months.
5 Aug 2013capital raising announcement● NeutralMajor
Norwest offers eligible shareholders a share purchase plan of up to 120 million shares at 3 cents, raising up to $3.6m, with up to $15,000 each. Funds go to exploration and working capital. The price is below the 5c SPP of mid-2012; it would dilute holders who do not take part.
What it means for a shareholder
120m new shares at A$0.030 to raise about A$3.6m. That's 11% dilution: every existing holder's slice gets 11% smaller. If you held A$1,000 of shares (33,333 at the issue price), your slice goes from 0.00342% to 0.00305% of the company. To keep it you'd need 4,105 more shares - about A$123 at the issue price.
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2 Aug 2013resource reserve update▲ GoodMajor
D&M adds a first contingent (2C) gross gas resource of 316 BCF for EP413 to the earlier 2.6 TCF prospective best estimate (450 million BOE). Contingent resources cover about 36 km2 around Arrowsmith-2. This moves part of the resource closer to development, though economic status is undetermined.
29 July 2013flow test result▲ Good
An 8-day Carynginia flow test (4-13 July) recovered about 1,000 barrels of frac fluid, taking recovery to 52%. Calculated peak rate was well above 500,000 scf/d, up from 355,000 earlier. The completion start date slipped from 1 August, as two overseas components are still awaited.
9 July 2013drilling progress report● Neutral
Arrowsmith-2 completion work with 2 3/8in tubing is scheduled to start 1 August 2013, with High Cliff Sandstone testing first. Carynginia has been shut in to build pressure and gets a short flow test. Maximum rates so far: Kockatea 414,000, Carynginia 355,000, High Cliff 780,000 scf/d.
9 July 2013drilling progress report● Neutral
AWE repeats the operator's advice that Arrowsmith-2 recompletion and testing restart on 1 August 2013 once long-lead equipment arrives, starting with High Cliff. It adds that a 2014 horizontal test well could follow 3D seismic. No new information beyond Norwest's release.
11 June 2013resource reserve update▲ Good
Partner AWE (44.25%) relays the D&M estimate of 450 million BOE including 2.6 TCF of gas for EP413 and attaches Norwest's release. It says the joint venture plans 3D seismic and possibly a horizontal production test well in 2014. No new resource data beyond Norwest's release.
11 June 2013resource reserve update▲ GoodMajor
DeGolyer & MacNaughton's independent review of EP413 (Arrowsmith) gives a best-estimate (P50) gross prospective recoverable resource of 450 million BOE, including 2.6 TCF of gas. Norwest holds 27.945%. These are unrisked prospective volumes; no certainty of discovery or commercial viability. This is the resource booking targeted since March.
15 May 2013resource reserve update▲ Good
Norwest relays Empire's RPS-based estimate of 32 TCF unrisked, undiscovered gas in place in the Irwin River Coal Measures at North Erregulla (EP368/426). The CEO calls it encouraging and awaits the DeGolyer & MacNaughton Arrowsmith resource report.
14 May 2013joint venture update● Neutral
Empire reports Allied Oil & Gas defaulted and is deemed to have withdrawn from the EP426 joint venture from 13 May 2013. Norwest's interest rises from 20% to 22.22%, and it must fund that share of Allied's unpaid cash calls. North Erregulla 3D seismic is planned for Q1 2014.
14 May 2013resource reserve update▲ GoodMajor
Operator Empire released an independent RPS study of EP368 and EP426, estimating 32 TCF of unrisked, undiscovered gas in place in the Irwin River Coal Measures. Empire advises caution; it is a gas-in-place figure, not recoverable. Norwest holds 20% of EP368 and 22.22% of EP426.
25 Mar 2013resource reserve update▲ GoodMajor
Norwest says its review of Kockatea data shows the first successful test of the shale oil concept in Australia, with up to a 200m high-graded section. This is the company's own view, not an independent estimate. Carynginia rate rose to 355,000 scf/d after a pressure build-up.
5 Mar 2013investor presentation● Neutral
Conference presentation repeats the Arrowsmith-2 results and plans, and says resource booking is expected in March 2013. Shows share price 4.1c, market cap $40m, 51.1m unlisted options and $4.28m cash at 31 December. No new results.
1 Mar 2013other▲ Good
Shareholder newsletter says the Carynginia reached 350,000 scf/d, and the Kockatea averaged over 200,000 scf/d over two days with a peak above 400,000 scf/d and 22 barrels of oil recovered. Largely repeats results already announced; the Kockatea's commercial oil potential is still being analysed.
26 Feb 2013half year report▼ Bad
Half-year to 31 December 2012: loss of $1.75m versus $1.08m a year earlier. The A$5m share purchase plan (100m shares) was completed in the period. Directors state there are reasonable grounds the company can pay its debts. Arrowsmith-2 clean-up continues.
19 Feb 2013flow test result▲ Good
Partner AWE (44.252%) repeats Norwest's report that the Carynginia flowed at about 350,000 scf/d from 15 February. Testing of the remaining zones is expected to take up to 4 months. No new information beyond Norwest's release.
19 Feb 2013flow test result▲ GoodMajor
Carynginia, the primary Arrowsmith-2 shale gas target, flowed at up to about 350,000 scf/d since flowback began 15 February, despite much frac fluid still in the formation. Testing of the Carynginia, coal measures and High Cliff is expected to take up to 4 months.
18 Jan 2013drilling progress report▲ Good
Operations restarted at Arrowsmith-2 on 18 January with a pressure survey; the reservoir is approaching original pressure, a positive sign. Evaluators are working toward a Kockatea resource booking. Carynginia testing follows when equipment arrives; the remaining zones are expected to take 3-4 months.
18 Dec 2012investor presentation● Neutral
Sydney broker presentation repeats the Arrowsmith-2 story, noting the well is shut in to build pressure. Share price 4.5c, market cap $43.8m, A$6m cash at 30 Sept, no debt. Unlisted options now 33.2m versus 17.1m previously. No new results.
11 Dec 2012drilling progress report▼ Bad
Kockatea recovery slowed to about 60 bpd with no improvement in oil cut or gas, which was 45,000 scf/d. Well shut in to monitor pressure build-up and equipment demobilised; work resumes early January. Rates have not improved from the earlier 70,000 scf/d peak.
