28 Mar 2011drilling progress report● Neutral
Gawain-1 sat at 3,653m waiting on weather after the 9⅝-inch liner was cemented. The operator is watching a developing weather system before deciding whether to drill ahead or move off. No new results.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
25 Mar 2011farm in farm out agreement▲ GoodMajor
OMV New Zealand farms into PEP 51906 in Taranaki, taking 65% and operatorship, with Octanex keeping 35% free carried. OMV pays for a 3D survey of at least 270 km² and reimburses up to NZ$1m of past costs. It must commit to a well by 19 Nov 2012 or hand the interest back. Subject to ministerial consent. This resolves the open farmout search.
21 Mar 2011drilling progress report▼ Bad
Gawain-1 reached 3,653m. The operator skipped wireline logs in this section, citing no evidence of commercial hydrocarbons in the Upper Mungaroo from LWD data, cuttings and the absence of gas shows. The earlier fluorescence still needs analysis. The next target is at 3,832m.
16 Mar 2011half year report▲ Good
Half-year to 31 Dec 2010 shows a profit after tax of $764,832, against a $339,890 loss a year earlier. The report restates the merger, rights issue, option exercise and trustee scheme. It gives Octanex's Cornea interest as 18.75%.
14 Mar 2011drilling result▼ Bad
Gawain-1 reached the top of the Mungaroo sandstone at about 2,693m, 94m deeper than predicted, with no gas or hydrocarbon shows. Fluorescence was seen in three thin sandstones without significant gas. The company says significance can't be judged until logs are run.
9 Mar 2011drilling progress report● Neutral
Gawain-1 was at 2,590m, with the riser and blow-out preventer installed and tested, and about to drill the 12¼-inch hole toward the Mungaroo target. No new results.
2 Mar 2011drilling progress report● Neutral
Gawain-1 had its 13⅜-inch casing set, though more days were lost to weather. The next step is to drill toward the Mungaroo target, with the top of the formation expected near 2,599m. No results yet.
23 Feb 2011drilling progress report● Neutral
Gawain-1 pilot hole was drilled to 2,540m, but several days were lost when the drillship moved off for Tropical Cyclone Carlos. The ship was returning to location on 23 Feb. No results yet.
14 Feb 2011drilling spud▲ GoodMajor
Gawain-1 spudded at 03:00 WST on 12 Feb 2011, the first of the two Exmouth Plateau wells. The 36-inch conductor is cemented and 24-inch hole is being drilled. Octanex holds 20%, fully carried.
8 Feb 2011drilling progress report▼ Bad
The drillship reached the Gawain-1 location on 8 Feb but is moving away because of a possible tropical cyclone. The return date is unknown, so the spud is delayed.
3 Feb 2011drilling scheduled● Neutral
The Saipem 10000 drillship left Darwin on 2 Feb 2011 and should reach the Gawain-1 location in 5 to 7 days. Gawain-1 will be followed immediately by Galahad-1. Octanex holds 20% in both wells, which are fully carried.
31 Jan 2011quarterly activities report● Neutral
December 2010 quarter report: Goldsborough merger completed, rights issue raised about $2.167m, and 99% of listed options were exercised for $1.772m. Drilling of the Exmouth Plateau wells is now expected early February 2011. Shell committed to a WA-384-P well, and Cornea (WA-342-P) was offered a renewed 5-year term.
27 Jan 2011investor presentation● Neutral
January 2011 investor update ahead of the two-well Exmouth Plateau program. Cash was over $22.5m at 25 Jan, with $15m of calls due on partly paid shares in Dec 2011 and Dec 2012. Largely repeats known facts.
19 Jan 2011farm in farm out completion● NeutralMajor
Octanex confirmed it will join the second well, Galahad-1 in WA-363-P, keeping a 20% fully carried interest rather than taking US$16m cash. With the Gawain-1 choice, it has passed up US$32m. Drilling is expected from late January 2011.
17 Dec 2010drilling scheduled▲ GoodMajor
Targets set for two Exmouth Plateau wells: Gawain-1 in WA-362-P and Galahad-1 in WA-363-P, both aiming at Triassic Mungaroo sands, with drilling expected late January 2011. Company estimates undiscovered gas of 5 TCF at Gawain (chance of success 13-27%) and 4 TCF at Galahad (22-30%).
17 Dec 2010other● Neutral
Octanex adopted a share trading policy on 17 Dec 2010 governing share dealing by directors, executives and employees. Administrative, no effect on assets.
25 Nov 2010agm notice● Neutral
All AGM resolutions passed on a show of hands, including adopting the remuneration report and re-electing Graeme Menzies. Routine administration.
25 Nov 2010agm notice● Neutral
Chairman's address recaps the year: the Santos farmout, two Exmouth Plateau wells from mid-January 2011, and a Shell well in WA-384-P in second half 2011. Cornea interest rose to 18.75% after the Goldsborough merger. Repeats known developments.
25 Nov 2010security holder rights change● Neutral
Letter to holders of the 25c listed options expiring 31 Dec 2010. Quotation ends 22 Dec. Holders can pay in full or pay 5c for a partly paid share. Last sale was 43c. Administrative reminder.
25 Nov 2010investor presentation● Neutral
AGM presentation restating known facts: cash above $25.6m at 24 Nov, $14.4m uncalled on partly paid shares, and Exmouth Plateau wells expected from January 2011. It notes the Artemis 1 well, spudded 23 Nov, in which Octanex's Cue and Moby holdings are carried.
24 Nov 2010farm in farm out agreement▲ GoodMajor
Santos farms into WA-323-P and WA-330-P (Winchester area), taking 75% and operatorship. Santos will shoot 3D, drill one well and reimburse past costs; Octanex keeps 25% free carried. Conditional on approvals and permit renewals. This resolves the farmout search begun June 2010.
18 Nov 2010security holder rights change● Neutral
The Supreme Court approved the replacement trustee stock scheme on 17 Nov. The old 33m trustee shares are cancelled on 19 Nov and 33m new trustee shares will be issued on 26 Nov, unlisted. This completes the scheme replacement.
16 Nov 2010capital raising announcement▲ GoodMajor
The 1-for-4 partly paid rights issue closed fully subscribed, raising $2,167,057 before costs from 43,341,151 shares at 25c (5c paid). Applications exceeded the small shortfall. A further 20c per share remains callable in 2011 and 2012.
What it means for a shareholder
43.3m new shares at A$0.250 to raise about A$10.8m. 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.
12 Nov 2010business combination▲ GoodMajor
The Supreme Court of Victoria gave final approval to the Goldsborough merger scheme. Octanex will issue 6,059,528 new shares to Goldsborough holders on 19 Nov, with deferred trading from 22 Nov. This completes the merger approved by Goldsborough members on 22 Oct.
9 Nov 2010security holder rights change● Neutral
Members passed all resolutions to cancel the 33m trustee shares and replace them with a new trustee stock scheme on similar terms. Court approval hearing is set for 17 Nov. Described as having minimal effect on capital.
8 Nov 2010drilling scheduled▲ GoodMajor
OMV and Eni now intend to drill two back-to-back wells, one in WA-362-P and one in WA-363-P, starting mid-January 2011 for about 60 days, subject to approvals. Locations are due in about four weeks. Octanex pays nothing; its interest falls from 40% to 20% once the second well is formally committed.
26 Oct 2010security holder rights change● Neutral
The 28.7m partly paid shares issued from option exercises on 20 October will not be quoted as OXXCA until 9 Nov, when deferred settlement trading begins. This is because ASX has allocated that code to the rights issue shares. Unrestricted trading starts 24 Nov.
25 Oct 2010quarterly activities report● Neutral
September 2010 quarterly: Schiele processing nearly done, with well location due in December and drilling in Q1 2011. Kakapo 3D started and farmout terms are being sought for Winchester. Records the Goldsborough merger, rights issue and Central Petroleum sale.
22 Oct 2010annual report● Neutral
2010 annual report (year to 30 June), re-released after the 11 August announcement. It repeats the year's highlights: ASX listing, the Taranaki permit, Winchester farmout talks, the OMV/Eni Schiele survey and 45% of Goldsborough.
22 Oct 2010agm notice● Neutral
Notice of the annual general meeting on 25 November 2010, covering the annual report, an advisory remuneration vote and re-election of director Graeme Menzies. Routine administration.