Past year: ▲ 50%(0.40c – 0.80c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
28 Sept 2022annual report▲ GoodMajor
FY22 (to June 2022): working interest revenue up 29% to US$51.1m, net profit after tax US$15.5m (loss in FY21). Production fell 24% to 2,315 boe/d. Cash US$26.8m, debt US$2.3m after US$9.2m repaid; Eaves, Mosquito Bay West and Oyster Bayou South called commercial discoveries.
12 Sept 2022production update▲ GoodMajor
Oyster Bayou South began flowing at 807 bbl/d oil and 4.6 MMscf/d gas (8/8ths) versus an expected 150 bbl/d. With Mosquito Bay West, about 700 boe/d net to Otto, a 33% lift on the June quarter's 2,117 boe/d. SM 71 F2 recompletion succeeded; Eaves still awaiting meter.
23 Aug 2022resource reserve update● NeutralMajor
At 30 June 2022, net reserves were 1P 3.7 MMboe, 2P 5.8 and 3P 7.8, each about 10% lower than a year earlier as production outpaced additions. Post year-end, Oyster Bayou South added 0.4 MMboe. Otto says it replaced about 90% of FY22 production on a proved basis.
18 Aug 2022production update▲ GoodMajor
Mosquito Bay West began flowing at about 700 boe/d (8/8ths) from one sand, with a condensate ratio well above Otto's estimate. SM71 F2 and GC21 recompletions have started. Oyster Bayou South and Vick #1 production are still to come. The ST 48 lease sale was reinstated by US legislation.
29 July 2022quarterly activities report▲ Good
June quarter revenue rose 12%, with operating cash flow of US$3.1m. Cash was US$26.8m and debt fell to US$2.3m. Otto reports breakeven costs of about US$10/boe and says the asset base has grown from three fields to six.
18 July 2022drilling result▲ GoodMajor
Oyster Bayou South (30% WI) found 68 ft of net gas pay, in line with Otto's pre-drill mid case. Production is expected in Q4 2022. Otto calls it the third straight exploration success, and says the two Castex wells cost US$6-7/boe to find and develop.
1 July 2022director officer appointment● Neutral
John Madden joins the board as an independent non-executive director from 1 July 2022. He has over 40 years' experience and joins the Remuneration and Nomination and the Audit and Risk committees. He will stand for election at the 2022 AGM.
22 June 2022drilling result▲ GoodMajor
Mosquito Bay West (30% WI) found 111 ft of net gas pay in five sands, well above Otto's pre-drill mid case. First production is expected in Q3 2022. This is the second exploration success after Eaves, and Otto holds about US$30m cash.
24 May 2022drilling spud● Neutral
Mosquito Bay West spudded on 22 May 2022. SM71 F2 recompletion (US$0.7m to Otto) is approved for June, and the GC21 DTR-10 recompletion (US$5.9m to Otto) is set for Q3. Vick #1 pipeline construction is delayed further.
28 Apr 2022quarterly activities report● Neutral
March quarter production fell 7% to 2,279 boe/d, but revenue rose 10% to US$13.4m on higher prices. Cash was US$26.0m and debt US$4.6m. Vick #1 first production slipped to May 2022; GC21 recompletion moved to Q3 2022.
14 Mar 2022half year report▲ Good
Half-year to December 2021: WI revenue up 57% to US$22.6m, net profit US$11.1m (against a US$14.3m loss) and free cash flow US$19.7m. Production fell 21% to 2,431 boe/d. Cash US$26.2m, debt US$6.9m, net cash US$19.3m.
2 Mar 2022drilling scheduled● NeutralMajor
Otto will take 30% WI in two Louisiana state-waters exploration wells, Mosquito Bay West and Oyster Bayou South, for US$1.7m each dry-hole cost, spudding May 2022 from cash. The ST 48 lease win was invalidated by a US judge in January; an appeal has been lodged.
27 Jan 2022quarterly activities report▲ Good
December quarter production was flat at 2,445 boe/d, with revenue up 18% to US$12.3m on higher prices. Cash rose to US$26.2m (including the Pantheon proceeds) and debt fell to US$6.9m. Schindler #2 was dry; Vick #1 is being completed.
7 Jan 2022admin correction● Neutral
Otto retracts the 4 January terms "Volumetrics" and "Estimated Reserves" for Vick #1, replacing them with Contingent Resources 2C of 5 Bcf and 15,000 bbl (0.4 Bcf net to Otto). Drilling results are unchanged. Corrects the earlier release's resource terminology.
4 Jan 2022drilling result▲ GoodMajor
Vick #1 (Eaves, 10.3125% WI) found gas/condensate pay: 12 ft net in the Yegua and 16 ft net across three Wilcox sands. It will be completed as a producer, with production expected early Q1 2022 and completion cost to Otto about US$0.1m. Offsets the Schindler dry hole. Figures were later corrected (see 7 January).
9 Dec 2021drilling result▼ BadMajor
Schindler #2 reached 13,658 ft and hit the Wilcox target with 11 gas shows, but the sands were too tight to produce. The well will be plugged and abandoned at a cost to Otto of US$0.9-1.0m. This is a dry hole for the first of the two new Texas wells.
22 Nov 2021drilling progress report● Neutral
Schindler #2 spudded on 14 October and was at 12,600 ft, setting casing before drilling to the Wilcox target at about 13,600 ft. The Vick #1 (Eaves) well has its permit and is expected to spud in early December. Progress as planned, no results yet.
19 Nov 2021regulatory community update▲ GoodMajor
Otto is the apparent high bidder, at the US$125,000 minimum, for the South Timbalier 48 lease in the Gulf of Mexico. It would hold 100% WI and 87.5% NRI. The bid is still subject to BOEM review, which can take up to 90 days.
17 Nov 2021investor presentation● Neutral
AGM presentation restates FY21 results and strategy. Updates the snapshot: cash US$13.7m at 30 September, debt US$9.2m, share price A$0.014, market cap A$67.1m, and the remaining Pantheon stake US$3.9m. Nothing new announced.
17 Nov 2021other● Neutral
AGM chairman's address from Mike Utsler repeats the year's themes: 17% production growth, 62% lower field lifting costs and 28% lower non-field costs per boe, and the refreshed strategy. No new information.
29 Oct 2021quarterly activities report● Neutral
September quarter production fell 16% to 2,417 boe/d, with revenue US$10.4m, as Hurricane Ida shut in SM71 and GC21 for 14 and 15 days. Cash was US$13.7m (before the US$10.5m Pantheon proceeds) and debt US$9.2m. Otto says it is now net cash.
21 Oct 2021asset acquisition disposition▲ GoodMajor
Otto sold 11 million of its 14.27m Pantheon shares to an institutional investor for about US$10.5m (A$14.0m). It keeps about 3.27m shares (US$3.4m) and the 0.5% ORRI. Proceeds fund growth Pillars 2 and 3 and working capital. This turns the Alaska sale into cash.
15 Oct 2021annual report● Neutral
Otto's 2021 Annual Report restates FY21 results: production up 17% to 3,032 boe/d, WI revenue US$39.7m, and an US$8.0m profit on the Alaska sale. Also notes Talitha #A is drilled and being tested. Largely repeats the results already released on 28 September.
15 Oct 2021admin correction● Neutral
Appendix 4G confirms the FY21 corporate governance statement is on Otto's website and current at 27 September 2021. Routine compliance filing with no new business information.
14 Oct 2021farm in farm out agreement▲ GoodMajor
Otto farmed into two onshore Texas gas/condensate wells, Schindler (25% WI, US$0.9m) and Eaves (10.3125% WI, US$0.2m), both due to drill in Q4 2021. First inorganic growth (Pillar 3) step, funded from existing cash. Schindler is assessed at 54% chance of success.
29 Sept 2021investor presentation● Neutral
Otto released its FY21 results presentation, repeating figures already reported: cash US$11.1m, debt US$11.5m, and a Pantheon stake worth US$14.5m at 28 September. Share price was A$0.009, market cap A$43.1m. No new announcement.
28 Sept 2021annual report▲ Good
FY21 production rose 17% to 3,032 boe/d and WI revenue 38% to US$39.7m. Statutory net loss was US$0.5m, with adjusted EBITDAX of US$29.1m including the Alaska sale gain (about US$8.0m profit). Cash US$11.1m, debt US$11.5m after US$9.2m repaid.
28 Sept 2021investor presentation● Neutral
Notice of an investor conference call on 29 September 2021 to discuss FY21 results, hosted by Mike Utsler and Sergio Castro. Administrative notice with no new business information.
14 Sept 2021production update● Neutral
Otto shut in SM71 and GC21 on 27 August ahead of Hurricane Ida. No damage or injuries were reported. SM71 restarted 10 September and GC21 on 11 September; Lightning was unaffected. All assets are back in production.
9 Sept 2021resource reserve update▼ BadMajor
At 30 June 2021 net reserves were 1P 4.1 MMboe, 2P 6.5 and 3P 8.4, down from 4.8, 8.1 and 11.7 a year earlier. Prospective resources fell 96% to 2.1 MMboe, on removal of Beluga, Tarpon, Mallard and Alaska. GC21 MP sand reserves were written down.
