Past year: ▲ 50%(0.40c – 0.80c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
27 Oct 2009production update▼ Bad
Galoc production was temporarily suspended because the FPSO's storage is full and a faulty export hose has blocked offloading. A replacement hose is coming from Singapore, with offloading expected the week of 9 November. Interrupts the run of steady output since August.
19 Oct 2009annual report● Neutral
Annual report letters say Otto expects to exit Argentina, is still deciding on Italy, and CEO Paul Moore will focus on onshore growth, farming down Philippine licences and cost control. Raised about A$31.5m during the year; cash A$13m at 30 June.
14 Oct 2009resource reserve update▲ GoodMajor
Otto estimates Galoc gross 2P reserves at 8.4m barrels (Otto share 1.46m) at 30 June 2009, with 6m barrels gross 2C contingent. First-year output topped 2.9m barrels and Otto received its first GPC distribution of US$2.16m in August. Resolves the pending reserves reassessment.
14 Oct 2009resource reserve update▼ Bad
Nido, a Galoc partner, says it has neither reviewed nor supports Otto's reserve estimates, which it notes are Otto's own and not independently reviewed. Nido is running its own independent review, due to conclude in January 2010.
24 Sept 2009admin correction● Neutral
Re-lodged annual financial report with a typographical correction to the net loss figure in the auditor's report, so it matches the accounts. The company states the financial report itself is unchanged.
23 Sept 2009annual report▼ Bad
Annual financial report for the year to 30 June 2009 shows a net loss of A$57.3m (2008: A$10.7m loss), no dividend, and Paul Moore as CEO since 1 July. Galoc has produced over 2.2m barrels since first oil on 9 October 2008.
4 Sept 2009other▼ Bad
S&P announced Otto Energy will be removed from the S&P/ASX 300 index effective from the close of trade on 18 September 2009. This is an index change, not a company announcement, and carries no operational news.
17 Aug 2009regulatory community update▲ Good
Philippine DoE approved revised work programmes: SC55 has until August 2010 for seismic and August 2011 for one deep-water well; SC50 needs two wells by March 2011; SC51 one well before December 2010. Extends the deadlines Otto had been negotiating.
13 Aug 2009production update▲ GoodMajor
Galoc restarted production on 13 August after about seven weeks shut in, resolving the June weather-disconnection and riser damage. Output is expected to settle at the pre-shutdown 11,000 barrels a day, restoring cash flow to Otto's 18.77% indirect interest.
10 Aug 2009production update● Neutral
Galoc repairs continue after the late-June weather disconnection; conditions have improved and the remaining work is expected to take 1-2 weeks, subject to weather. Production has been shut in since June; Otto's indirect interest is 18.77%.
10 Aug 2009production update● Neutral
Nido re-releases the operator's 7 August update on the Galoc shut-in: the riser section is to be replaced and remaining tasks should take 1-2 weeks, weather permitting. Nothing new beyond Otto's own release of the same day.
28 July 2009drilling result▼ BadMajor
The Santa Rosa well in Argentina (Otto 32.5%) reached 1,270m with no hydrocarbons; target reservoirs were absent at this crest location. It will be abandoned as a dry hole. Second dry hole in two months, ending non-operated drilling.
24 July 2009production update● Neutral
Nido re-releases the operator's update that Galoc reinstatement is continuing, delayed by sea conditions and equipment downtime. The deformed riser section is being changed out. Nothing new beyond Otto's own release.
24 July 2009admin correction● Neutral
9,000,000 shares will be released from voluntary escrow on 1 August 2009. Total quoted shares do not change. Administrative notice only.
24 July 2009production update▼ Bad
Galoc remains shut in; mooring and riser repair is delayed by rough seas and equipment downtime, with the deformed riser section to be replaced. Otto holds 31.38% of GPC, which has a 59.84% interest. No restart date given.
22 July 2009well test result▼ Bad
Kuzey Ikihoyuk-1 in Turkey flowed only 0.12 MMscf/d combined with water and was suspended, ending Phase I drilling in Turkey. Santa Rosa well in Argentina spudded 15 July, drilling at 580m.
15 July 2009drilling progress report● Neutral
Kuzey Ikihoyuk-1 in Turkey reached 387m and found several zones of interest, with testing to follow. Galoc repairs are further delayed by poor weather. Santa Rosa well is expected to spud this week.
9 July 2009asset acquisition disposition▲ Good
Galoc Production Company agreed to buy an extra 1.55% of the Galoc field, lifting its interest from 58.29% to 59.84% and Otto's indirect interest by 0.49% to 18.77%. Subject to formal agreements. Rubicon has mobilised equipment to reinstate production.
2 July 2009drilling spud● Neutral
Kuzey Ikihoyuk-1 spudded 1 July in the Edirne Licence (Otto 35%), exploring a different structure to earlier wells, to about 450m. Santa Rosa rig mobilising, spud expected July. Continues the Turkey and Argentina drilling programs.
1 July 2009production update● Neutral
Partner Nido re-releases the operator's notice of the delayed Galoc reconnection caused by mooring and riser damage. Nothing new beyond Otto's own release of the same day.
1 July 2009production update▼ BadMajor
Galoc production remains shut after the late-June weather disconnection because the mooring and riser system is misaligned and deformed. A construction vessel is on site and the repair scope and duration are unknown. Continues the June shut-in.
25 June 2009material agreement▲ GoodMajor
Galoc commerciality declared after the extended test; Galoc project debt (over US$40m) and Otto's shareholder and director loans are fully repaid, leaving Otto debt-free with about A$13m cash. Otto expects regular dividends from GPC. Gazzata-1 confirmed dry; Santa Rosa spud now July; FPSO disconnected again for weather.
22 June 2009director officer appointment● NeutralMajor
Paul Moore, ex-Woodside, Santos and Fletcher Challenge executive, becomes CEO on 1 July 2009, replacing Alex Parks. He receives 7.5m options (12c, expiring 30 June 2014) and will subscribe for 1.25m shares at 8c ($100,000).
16 June 2009drilling result▼ BadMajor
Gazzata-1 in Italy's Po Valley, drilled to 2,840m, showed no commercial gas and will be abandoned as a dry hole. Otto was funding it to earn 50%. Separately, Ikihoyuk-2 in Turkey flowed up to 4.95 MMscf/d, a high rate for the licence.
10 June 2009well test result▲ Good
Kirmizihoyuk-1 upper zones tested, bringing combined rate to about 4.8 MMscf/d; the well will be completed as a future producer. Gazzata-1 was at about 2,219m heading to 2,300m minimum. Santa Rosa spud still late June.
3 June 2009well test result▲ Good
Kirmizihoyuk-1 lower zones flowed up to 1.5 MMscf/d, about 3 MMscf/d combined, with some water; upper zones still to test. Gazzata-1 in Italy reached 1,764m and is casing before drilling to target depth.
27 May 2009drilling progress report● Neutral
Kirmizihoyuk-1 in Turkey (Otto 35%) reached 500m; ambiguous deeper zones tested partly gas-bearing at up to 0.71 MMscf/d with water. Main zones to be flow tested. Gazzata-1 in Italy was drilling at 586m. Santa Rosa spud expected mid/late June.
20 May 2009drilling spud▲ GoodMajor
Gazzata-1 in Italy's Po Valley spudded on 19 May, targeting over 100 Bcf of prospective gas at about 2,100m. Otto earns 50% by funding it. Kirmizihoyuk-1 in Turkey logged about 15m of gas pay, to be tested. Argentina drilling is due mid June.
14 May 2009capital raising announcement▲ Good
Otto issued 324.8m shares under the entitlement issue. Shareholders got their full entitlement but not extra shares applied for, and the shortfall went to sub-underwriters. Total raised about A$21.2m, to fund wells, repay loans and working capital. Completes the raising.
What it means for a shareholder
325m new shares at about A$0.0653 to raise about A$21.2m. That's 25% dilution: every existing holder's slice gets 25% smaller. If you held A$1,000 of shares (15,321 at the issue price), your slice goes from 0.00155% to 0.00116% of the company. To keep it you'd need 5,019 more shares - about A$328 at the issue price.
Create a free account to see this worked out for your own holding.
13 May 2009production update▲ Good
Partner Nido re-releases the operator's news that Galoc restarted on 12 May after about five days off for the typhoon, the first disconnect-and-reconnect since the mooring upgrades. Little new for Otto beyond its own release.
