Pancontinental Oil & Gas NL

June 2026 quarter: the ministry said the draft PEL 87 amendment deed is acceptable, ready for signing. Farm-in talks continue with no partner named. PCL applied for a 9,972.5 sq km deepwater Taranaki Basin permit in New Zealand. Cash A$2.4m.

quarterly activities report

Namibia's minister approved a 12-month extension of PEL 87's renewal period to 22 January 2027, resolving the open application. Conditions: finish the environmental assessment, reprocess seismic data, and drill an exploration well. A farm-in partner is still being sought.

regulatory community update

PCL defined two new PEL 87 prospects outside the Saturn Complex: Phoebe West (High Case 779 million barrels net) and Northern Channel (High Case 1,339 million net). Total High Case rises to 6.1 billion barrels net, unrisked. Shortlisted groups continue to use the farmout data room.

resource reserve update

Following the July quantitative seismic study, PCL raised its Oryx estimate to Best Case 815 million barrels and High Case 1,873 million (net), and lifted Oryx's chance of success to 26.2% from 22.5%. Oryx now absorbs Calypso and Addax Channel. A new lead, Phoebe West, was flagged. All figures are unrisked and undrilled.

resource reserve update

PCL's first prospective resource estimate for PEL 87: High Case 3.8 billion barrels of oil net to PCL (12.7 billion barrels oil-in-place), across Oryx and Hyrax prospects plus six further leads. Unrisked, undrilled estimates; a farm-out is underway to fund drilling.

resource reserve update

Woodside has elected not to exercise its option over PEL 87, ahead of the 18 May 2025 long stop date. This resolves the open option thread negatively. PCL keeps 75% and says a farm-out process for a new drilling partner is underway, with third-party interest.

farm in farm out completion

The Seismic Licence has been approved by Namibian authorities and delivered to Woodside, setting the long stop date for its option over 56% of PEL 87 at 18 May 2025. This resolves the open licence thread; Woodside's decision is now due by that date.

farm in farm out completion

Iain Smith, board adviser since May 2023, becomes CEO from 18 March 2024 on A$200,000 a year plus 40m options at 3.5 cents. Barry Rushworth moves to non-executive director. Smith was previously managing director of Norwest Energy.

director officer appointment

Namibia's minister approved PEL 87's extension to 22 January 2026 and waived relinquishment, keeping the full 10,970 sq km. Final depth-migrated seismic received; Galp's Mopane-1X oil find to the south is called positive. Woodside's option deadline is delayed by a pending data delivery.

regulatory community update

PCL applied to enter PEL 87's first additional exploration period (23 Jan 2024 to 22 Jan 2026), with a commitment to drill one well or acquire more seismic. Early depth-migrated data suggests mature Kudu Shale oil source beneath Saturn; full interpretation awaits final data.

regulatory community update

The PEL 87 3D survey finished a few days early at 6,593 sq km, of which 5,952 sq km lies inside PEL 87, covering the core Saturn complex. Fast-track results are expected by late August; Woodside's option decision awaits interpretation.

drilling result

Raising up to A$5m by placing 500m shares at $0.01 (9.1% discount), with one free option per two shares exercisable at $0.012 by 8 August 2025. Euroz Hartleys is lead manager at 6%. Iain Smith joins as board adviser; Woodside has enlarged the survey to 7,200 sq km.

capital raising announcement

Pancontinental began the 3D seismic survey over PEL 87's Saturn complex, about 6,800 sq km, run by PGS's Ramform Titan and funded by Woodside under the 1 March option deed. It takes about three months, with fast-track results expected around end-June.

drilling progress report

Woodside signed an option deed on PEL 87: it funds a roughly US$35m, 5,000+ sq km 3D survey and pays PCL US$1.5m for the right to take 56% and operatorship. PCL would keep 20%, carried through the first well. This is the first farmout deal for PEL 87.

farm in farm out agreement

Namibia's Minister granted a second one-year extension of PEL 87's initial period to 23 January 2024 and waived the 50% relinquishment, keeping the area at 10,970 sq km. A 3D seismic survey is in final planning. Farmout talks continue.

regulatory community update

Chair Dave Kennedy, a director for 23 years, stepped down with immediate effect and will act as an adviser. CEO Ernie Myers becomes Chairman, so the board loses its non-executive chair, which is an inference from the existing board list.

director officer appointment

PCL's 66.67%-owned Pancontinental Namibia is withdrawing from seeking an extension to PEL 37, held since March 2011, after failing to agree a way forward with the remaining partner. It will consider a bid for a new longer licence. PEL 87 remains the key focus.

asset acquisition disposition

PCL raised A$2.0m through a placement of up to 400m shares at $0.005, a 16.7% discount to the last price, with one free option per two shares (exercisable at $0.012, three years). Funds go to Namibia exploration, farmout work and working capital, after cash fell to A$274k at June.

capital raising announcement

Namibia's Minister and PEL 87 partners signed the deed extending the initial exploration period by one year to 23 January 2023, completing the documentation pending since February. Three further two-year periods remain possible. PCL keeps its 75% and is still negotiating a farmout.

regulatory community update

TotalEnergies announced a light oil discovery at Venus-1X, with about 84m net pay, to 6,296m depth. Second discovery on-trend to PEL 87 after Graff-1; Shell is drilling appraisal well Graff-2. PEL 87's first period also extended one year, pending documentation. PCL holds 75%.

drilling result

Shell's Graff-1 well, on-trend to PEL 87, has hit light oil, reported as the first oil discovery declared offshore Namibia. Well drilled to 5,376m. Positive read-across for PCL's 75% Saturn play, though no PCL well; Venus-1 still drilling. Contains a field-size claim later withdrawn.

drilling result

TotalEnergies has started drilling Venus-1 in 3,000m of water, about 130km south of PEL 87, after repeated delays. PCL says its Saturn complex is geologically similar. Shell's Graff-1 is expected to follow. Result will be an important read-across for PCL's 75% PEL 87.

drilling spud

Placement raising $1.0m at $0.001 per share (1,037,507,325 shares) to professional investors; directors Kennedy, Rushworth and Malaxos take $120,000 subject to approval. Shares on issue rise to about 7.15bn. Refills cash of about A$395k.

capital raising announcement

Placement raising A$710,000 at $0.001 per share (710m shares), with directors Kennedy ($100k) and Malaxos ($10k) subscribing, subject to approval. Funds go to exploration, new ventures and working capital, replenishing cash of A$343k. Shares on issue rise to about 6.12bn.

capital raising announcement

PCL settled the FAR Kenya L6 dispute by paying US$150,000 (A$218,978) against the US$567,146 claimed in the default notices. It then signs the surrender agreement to exit L6, resolving the April 2020 dispute at well under the amount claimed.

material agreement

FAR issued default notices claiming US$567,146 (A$903,098) over Kenya L6 cash calls, which PCL disputes and will defend. Both parties have resolved to surrender L6, ending the suspended Kenya interest. The claim is a contingent liability if it succeeds.

regulatory community update

Formal Meeba farm-in documents signed with Key, completing the July terms sheet: PCL gets 20% of ATP 920 (option for 15% more) and 25% of the Ace area. Meeba oil prospective resources are upgraded to 33.7 mmbbl best case across 18 prospects.

farm in farm out completion

PCL farms into Queensland Cooper Basin permits ATP 920 (20%, option to 35%) and the Ace area of ATP 924 (25%) from Key Petroleum, its first Australian entry since Walyering ended. It pays A$150,000 and funds 26.67% of a well capped at A$3m gross; first well possibly by October 2019.

farm in farm out agreement

The Walyering farm-in for a 70% operated interest in EP 447 is terminated after the 3D seismic survey was not completed by 1 June 2019 and no revised basis could be agreed. PCL exits Walyering, its last Australian asset, and says it is seeking new projects.

material agreement termination

Raven Energy will buy all of PCL's Bombora subsidiary, which holds the 10% Dempsey interest, for 295m Raven shares at A$0.0018. PCL will also subscribe 160m Raven shares at A$0.001. Begg is to become a Raven adviser.

asset acquisition disposition

CEO John Begg steps down on 15 November 2018 for personal reasons, staying as a director and consultant; director Ernie Myers takes over management. PCL cites over $6.6m cash net of convertible note repayments at 30 September and plans a Californian rationalisation.

director officer appointment

Cormorant-1 in PEL 37 reached 3,855 m and will be plugged and abandoned as a dry hole: the ~50 m sandy target fan was water-wet. Gas shows suggest an active source system, and PCL says other PEL 37 and PEL 87 plays remain valid.

drilling result

Independent experts put gross best-estimate prospective resources in PEL 87 (PCL 75%, operator) at over 1 billion barrels, led by a 1.3 billion barrel 'Saturn Superfan' lead. These are undrilled leads, and 3D seismic is needed to mature them.

resource reserve update

PCL received the final US$5.5m (about A$7.6m) from Africa Energy after the Cormorant-1 spud, completing its US$7.7m investment. Africa Energy holds 33.33% of Pancontinental Namibia, PCL 66.67%. This resolves the open spud payment.

capital raising announcement

Cormorant-1 has spudded in PEL 37, targeting 124 MMbbl best-estimate prospective resources (915 MMbbl across four prospects), in 545 m of water to 3,830 m, about 34 days. PCL's 20% is carried, and the US$5.5m Africa Energy payment is now triggered.

drilling spud

The Tulainyo operator now claims Gas Fields (sold by PCL to Raven) owes US$1.74m, up from US$321k, and may look to PCL's subsidiary Bombora as guarantor. Bombora denies liability. PCL says it has no liability itself; Bombora's assets at risk are its Dempsey/Alvares and EP447 interests.

material agreement

Operator Sacgasco said Dempsey 1-15 was again selling pipeline-quality gas from all four production zones at a combined ~1,300 mcf per day. Pancontinental holds a 10% interest; more idle wells are to be connected.

production update

PCL sells its 40% of Gas Fields LLC (Tulainyo) to Raven Energy for A$300k cash plus A$1m of Raven shares, plus milestone payments of A$0.5m, A$5m or A$10m if gas is proven within 3 years. This follows the disappointing Tulainyo testing; Begg will consult for Raven.

asset acquisition disposition

Tulainyo 2-7 shallow testing has ended without commercial gas and the well is being suspended. PCL says pre-drill resources are downgraded on a risked basis. Studies, about 2 months, will weigh deepening for oil or condensate; no further operations before later 2018.

well test result

Sacgasco says Dempsey 1-15 will shortly produce about 1,200 mcf/d combined from the Kione field level and Zones 2-4. Zone 4 added little. Alvares re-entry is planned next quarter. PCL holds 10% of Dempsey.

production update

PCL reports upgraded prospective resources for Walyering gas field in the Perth Basin, where it is earning 70%: net 14 to 158 Bcf of gas (P90 to P10). A roughly 90 km² 3D survey costing under A$2m is planned for November, with a possible well in 2019.

resource reserve update

Sacgasco reports Dempsey 1-15 flowed 1,000 mcf/d from the shallower field-level Kione sandstone, which it calls commercial. This is far above the earlier 140-195 mcf/d from deeper zones. Zone 4 testing is next; PCL holds 10%.

well test result

Tulainyo 2-7 testing across zones from 5,710 to 3,600 ft shows good-quality gas but only low, unmeasured rates, possibly due to near-wellbore damage. Pressure data due in weeks; deepening or further drilling is floated. Falls short of the commercial flow hoped for.

well test result

PCL raises A$1.6m through unlisted convertible notes, converting at A$0.008 (a 33% premium to the 30-day average of A$0.006), 10% interest, 12-month maturity. Funds go to Dempsey and Tulainyo testing, PEL 87, Walyering. Next big inflow is about A$7m at Cormorant-1 spud.

capital raising announcement

The PEL 37 joint venture has contracted the Ocean Rig Poseidon to drill Cormorant-1, targeting spud on 1 September 2018. Ministry permission to enter the next licence period is granted, resolving that open condition. PCL stays carried at 20% and receives about A$7m from Africa Energy at spud.

contract award

Tulainyo 2-7 reached its planned total depth of about 5,700 feet (1,737m), with gas indicated in all primary reservoir targets. Casing is being run ahead of flow testing early next year. Gas is still unproven by testing. PCL earns an effective 13.33%.

drilling result

PCL signed a Petroleum Agreement for Block 2713 in the Orange Basin offshore Namibia, covering 10,947 km². PCL is operator with 75%; Custos holds 15% and Namcor 10%, both carried through exploration. It is PCL's second Namibian block. The licence is still to be issued.

asset acquisition disposition

PEL 37 joint venture voted to drill the Cormorant prospect offshore Namibia, targeting spud 1 September 2018. PCL keeps an effective 20% carried through the well, estimated at US$35m. Best-estimate unrisked prospective resource is 124 MMbbl. Still needs ministry endorsement and licence renewal.

drilling scheduled

Tulainyo 2-7 appraisal well has started drilling, planned to about 1,700m in under a month. It tests the gas discovery that could not be tested in 2015. PCL's net interest on completing the earn-in is 13.33%. No results yet.

drilling spud

First Dempsey-1 test, of the thin lowest zone, flowed dry gas to surface without stimulation, but at rates sub-commercial at current gas prices. The CEO calls it encouraging given poor log quality. The next shallower zone is being prepared for testing. PCL holds 10%.

flow test result

Wireline logs on Dempsey 1-15 show gas-saturated sands consistent with the earlier gas shows, and a 5½-inch liner is cemented. Flow testing of multiple zones should start in 2-3 weeks; commercial flow rates are unproven. PCL holds 10%.

drilling result

Africa Energy Corp took a one-third stake in PCL's Namibian subsidiary, which holds the 30% of PEL 37, for US$7.7m (about A$10m). US$2.2m was received at closing 11 Sept and US$5.5m is due at the next PEL 37 well spud. PCL keeps two-thirds.

farm in farm out agreement

Logs confirm four gas-bearing sandstone zones between 1,000 and 1,560m in Dempsey 1-15, with 30-50 feet of net pay. Operator expects the gas could cover well costs. Intermediate casing set at about 1,760m. Deeper primary targets still to drill. PCL holds 10%.

drilling result

PCL confirms Dempsey-1 has started drilling, at 70m, towards 3,200m. It calls this the first of at least three fully funded wells in 2H 2017 and 2018. PCL holds 10%. Resolves the open spud thread; the result is still to come.

drilling spud

PCL confirms the $2m placement has been received, with shares allotted next day. It says it has earned 10% of Dempsey and is funded for the well, due to spud end July. It exercised an option for a further 5% of Alvares, with cost capped near US$200,000.

capital raising announcement

The Bombora acquisition completed after shareholder approval; PCL now owns 100% of Bombora. John Begg becomes CEO, replacing Barry Rushworth, and Dave Kennedy replaces John Leach as chair. Rushworth and Myers stay as non-executives; Petrovic becomes CFO. Resolves the open acquisition vote.

business combination

PCL has commitments for a placement of up to $2m, issuing up to 1 billion shares at 0.2c, through Hartleys. It funds Dempsey-1 and working capital, subject to the Bombora completion and shareholder approval. Settlement is scheduled for 17 July. Dilutive: it is the same price as April's raising.

capital raising announcement

Dempsey-1, the first Bombora well in California's Sacramento Basin, is set to start in late July with permits in place, to about 3,300m. Bombora estimates 77 Bcf best-estimate unrisked prospective gas net to its 10%. This is undiscovered potential, not a discovery.

drilling scheduled

Operator Tullow signed a farmout of a 30% non-operated PEL 37 interest to India's ONGC Videsh, keeping 35% and operatorship. Tullow has asked PCL's consent. PCL keeps its 30% free-carried interest. CEO calls it a step toward testing the oil potential, after Tullow's earlier hesitation on drilling.

farm in farm out agreement

Bombora's internal estimate puts net prospective recoverable gas at its Tulainyo project in California between 68 Bcf (P90) and 691 Bcf (P10), with a mean of 338 Bcf. This is undiscovered, unproven potential. Magnum is to fund most of the first well.

resource reserve update

Prospectus offering up to 1,753,211,226 shares to Bombora's vendors as payment for the acquisition. Shareholder meeting is 10 July and completion is expected 12 July 2017. John Begg and Marie Malaxos are proposed as directors. This would roughly double the share count (inference).

business combination

PCL signs a binding agreement to acquire Bombora Natural Energy, a private explorer with gas projects in California's Sacramento Basin and Western Australia's Perth Basin. Drilling is planned later in 2017. Bombora personnel would join the board and management. A strategy shift beyond Africa.

business combination

The share purchase plan raised $398,500 at 0.2c from existing shareholders. Together with the $400,000 placement and $150,000 directors' placement, the April raising totalled $948,500.

capital raising announcement

PCL plans to raise up to $1.83m at 0.2c, below the 0.3c in January: a $600,000 placement of up to 300m shares, plus a $1.23m share purchase plan. Directors may take up to $200,000, subject to approval. Funds cover PEL 37 costs and working capital.

capital raising announcement

Tullow did not commit to drill by the 27 March 2017 deadline. PCL says a drillable prospect exists; Tullow says more work is needed. Tullow will update in the first half of 2017. This leaves the Namibia well commitment unresolved.

joint venture update

The Africa Energy Corp farm-in for 10% of PEL 37 has lapsed after the parties failed to agree a restructured deal. The expected US$6.5m is lost, and PCL stays at 30%. Resolves the January restructure request.

farm in farm out agreement

PCL raises up to $1.0m via a placement of up to 333m shares at 0.3c, down from 0.4c in earlier raisings. Funds are for paying Tullow's disputed costs (circa A$600k remaining), Namibia exploration and working capital. Directors commit $230,000, subject to approval.

capital raising announcement

Tullow issued a purported US$552,897 cash call for 35% of 2014–2016 costs in Namibia PEL 37. PCL says the items are covered by its free carry and the call is invalid. This challenges the free-carry position.

joint venture update

At the AGM, David Kennedy stepped down as chairman, handing over to John Leach, and stays on as non-executive director. Ends Kennedy's long run as chair.

director officer appointment

PCL agrees to assign 10% of its 30% in Namibia PEL 37 to Africa Energy Corp for expected US$6.5m (~A$8.5m): US$1.7m upfront on conditions, US$4.8m when the first well starts. PCL keeps a 20% free-carried interest. Conditions include partner and government consent within 90 days.

farm in farm out agreement

Tullow elects to stay in Namibia PEL 37 and is committed to drill one fully funded exploration well, subject to finding a drillable prospect, by 27 March 2017. It resolves the 31 March decision point: PCL keeps its free-carried 30%, with four prospects over 900 million barrels.

farm in farm out completion

PCL raises $700,000 via a placement of 175m shares at 0.4c, managed by London broker Peel Hunt, covering the shortfall from the share purchase plan. Settlement is due 24 March 2016, with Peel Hunt's brokerage paid in shares.

capital raising announcement

Share purchase plan raised only $286,000 (71.5m shares at 0.4c), well short of the $1m target. Together with the placement and directors' placement, the December 2015 raising totals $1.524m.

capital raising announcement

PCL raises up to $1.2m via a placement of up to 300m shares at 0.4c, plus a planned $1m share purchase plan at the same price. Directors to subscribe $500k, subject to approval. Funds cover Namibia sale costs and about $400k owed to BG Group. First raising since 2012's $45m.

capital raising announcement

Namibia PEL 37 four prospects total 915 million barrels best-estimate prospective resource (100% basis); Albatross 349 million. PCL is considering selling part of its 30% to strengthen its balance sheet and fund new ventures. Tullow's drilling option runs to 31 March 2016.

resource reserve update

PCL agreed to extend Tullow's 'drill or withdraw' decision on Namibia EL 0037 from 11 August 2015 to 31 March 2016. Tullow has spent about US$34m; PCL stays 30% free-carried. If Tullow does not drill, its 65% reverts to PCL.

farm in farm out agreement

PCL and PTTEP gave notice of withdrawal from Kenya L10A, the Sunbird oil discovery block; PCL's 18.75% passes to operator BG, subject to ministerial consent. PCL cites the project's cost and benefit profile. Leaves Namibia EL0037 and Kenya L6 as remaining assets.

asset acquisition disposition

PCL served notice withdrawing from Kenya L10B, where it held 25% and BG 75%, citing prudent financial management. It says its 18.75% in neighbouring L10A gives enough exposure. Ends the L10B farmout effort noted earlier.

asset acquisition disposition

Key Petroleum is buying PCL's and FAR's Canning Basin interests in EP104, R1 and L15 (PCL had 19.59% EP104, 11.11% R1, 12% L15). PCL and FAR each pay Key $50,000 to take over obligations. Exits older Australian assets; subject to regulator approval.

asset acquisition disposition

Early Namibia EL 0037 mapping identifies four prospects; Albatross (about 300 sq km) is estimated at 422 million barrels gross unrisked mean, 17% chance of success. Other prospects exceed 150 million barrels risked. Estimates are undiscovered and may change; final mapping due October 2014. PCL stays 30% free-carried.

resource reserve update

After lengthy analysis, PCL says Sunbird-1 (L10A, PCL 18.75%) found a 14m gross oil column beneath a 29.6m gas column, claimed as the first oil offshore East Africa. Updates April's gas-and-liquid, unlikely-commercial result; BG is still to recommend follow-up.

drilling result

Kenya granted a 12-month extension to the L10B exploration period. PCL will lift its L10B stake from 15% to 20% by taking Premier Oil's share as it withdraws, pending ministry approval. PCL aims to farm out L10 drilling. BG says Sunbird found oil as well as gas.

asset acquisition disposition

Sunbird-1 is finished and plugged, with a 43.6m gross hydrocarbon zone (27.8m net pay) and gas and liquid samples recovered. PCL (18.75%) says the discovery is unlikely to be commercial given its estimated size. Resolves the pending result, with analysis continuing.

drilling result

After media reports of a find, PCL confirms Sunbird-1 reached 2,850m and found a hydrocarbon column in the Miocene reef. Its extent, nature and commerciality are not yet known because of drilling fluid losses. Well to be plugged; fuller results due in coming weeks.

drilling result

Kenya's Ministry considers the L8 production sharing contract expired after Apache declined further exploration. This contradicts PCL's earlier expectation of lifting its stake to 30%. PCL is seeking to negotiate a new contract, with no guarantee of success.

joint venture update

PCL signs a farm-out of onshore Kenya L6 to Milio, which funds 1,000km of 2D seismic and an onshore well, expected early 2015, to earn 60% onshore. PCL keeps 16% free-carried onshore and 40% offshore. Subject to Kenyan approval; offshore farminee still sought.

farm in farm out agreement

Sunbird-1 has started drilling in Kenya L10A, where PCL holds 18.75%. Planned to reach 3,000m in 50-60 days, with the well to be plugged regardless of result. Results will be announced after assessment; this is the first-ever Miocene reef test offshore East Africa.

drilling spud

Sunbird-1 in Kenya L10A, a first test of a Miocene reef offshore East Africa, is planned to start around 9-12 January 2014 using BG's drillship. Planned to drill to 3,000m in 50-60 days. Follows the earlier plan for an early-2014 L10 well.

drilling scheduled

Tullow's farm-in to Namibia EL 0037 has closed after ministerial approval. Tullow holds 65% and is operator; PCL retains a 30% free-carried interest and Paragon 5%. Tullow's spend is estimated at up to US$130m, with 3D seismic expected in 2014. Completes the September agreement.

farm in farm out completion

Media reports say Apache is withdrawing from Kenya L8, its 50% operated stake; no formal notice yet (60 days to withdraw, 90 to quit as operator). PCL expects, subject to ministerial consent, to raise its 15% pro-rata at no material cost, and the JV must choose a new operator.

joint venture update

Tullow agrees to farm into Namibia EL 0037, taking 65% and operatorship. PCL keeps 30% free-carried (Paragon's 5% is included in the carry) from 95%. Tullow funds 3D and 2D seismic and, if a prospect is found, one well; PCL estimates spend up to US$130m. Subject to approval.

farm in farm out agreement

Independent firm DeGolyer and MacNaughton estimates 11 oil leads in Namibia EL 0037 at 8.7bn barrels mean prospective (8.2bn net to PCL's 95%), unrisked, with a 5% geological success chance. These are leads, not yet drillable prospects. Follows HRT's Wingat-1 oil recovery next door.

resource reserve update

Kenya confirmed a 60% expansion of the L6 permit, reinstating previously relinquished acreage, to 5,010 sq km from 3,134. FAR estimates the new area holds 773m barrels unrisked (100% basis), taking L6 to 3,962m barrels. PCL keeps 40%; first well site expected after April 2013 3D data.

asset acquisition disposition

FAR's new report puts unrisked best-estimate prospective resources for Kenya L6 at about 3.7bn barrels of oil or 10.2 Tcf gas (gross). PCL's 40% share is 1.48bn barrels. Three 3D-mapped prospects total about 630m barrels, with 18-21% discovery chance. First well site to be selected.

resource reserve update

Preliminary Mbawa 1 update: 51.8 net metres of gas pay at ~24% porosity, interpreted as thermogenic gas from a possible mixed gas/oil source. Well finished 13 days early, left re-enterable. Volume and commerciality are not yet known. The deeper target was not optimally tested.

drilling result

Operator BG plans a new 2,280 sq km 3D survey over L10A/B (PCL 15%) from November 2012, targeting Miocene reefs and the Crombec Lead, with results expected Q2 2013. Drilling is being considered for 2013. Cites Mbawa as encouragement.

joint venture update

Mbawa-1 reached final depth of 3,151m with about 52m net gas pay in the primary target, but the deeper secondary target held no hydrocarbons. The well will be plugged as planned; partners will analyse data and plan next exploration. Gas, not the oil PCL hoped for.

drilling result

Mbawa 1 found about 52 net metres of natural gas pay in Cretaceous sandstones, the first substantive hydrocarbon discovery offshore Kenya. Drilling continues to a deeper target. Size of the discovery is not yet known. Resolves the main Mbawa open thread positively.

drilling result

PCL confirms Apache has begun drilling Mbawa, the first prospect in its Kenya portfolio, with casing being set at 1,519m. Well to reach 3,250m in about 60 days. PCL's 15% is free carried to US$9m; it estimates up to 4.9bn barrels of oil in place.

drilling spud

Joint venture partner Origin says operator Apache spudded Mbawa 1 on 10 August 2012. It is expected to take about 60 days to 3,250m in 864m of water. Confirms the long-awaited Mbawa spud (PCL 15%).

drilling spud

PCL will place the unsubscribed share purchase plan shortfall: up to 25.3m shares at 17.5c to raise up to $4.43m, from sophisticated and Hartleys institutional clients. Funds go to Mbawa costs, Kenya and Namibia seismic and working capital. Settlement expected 9 August 2012.

capital raising announcement

PCL buys 10% of Namibia EL 0037 from Paragon for US$4m, US$2m now and US$2m on a farm-out or after six months. This lifts PCL's interest from 85% to 95%; Paragon keeps 5%, still free carried. Ministerial approval granted.

asset acquisition disposition

Fugro-Geoteam has been awarded the Kifaru 3D seismic survey in Kenya L6 (PCL 40%, FAR 60%). It covers 680 sq km at a budgeted $13.67m, PCL share $5.5m, ahead of L6 drilling planned for the 2013 licence year.

contract award

PCL plans to raise up to $50m: a $45m placement of about 257.1m shares at 17.5c plus a $5m share purchase plan. Funds go to Kenya and Namibia seismic and part of the Mbawa well cost. Tranche two needs a 24 May 2012 shareholder vote. Follows the $15m December raise at 7.5c.

capital raising announcement

Apache has secured the drillship Deepsea Metro 1 for Mbawa, with spud expected in Q3 2012 to 3,250m in 860m of water. PCL keeps 15% but now expects to pay more than the US$9m free carry covers, owing to higher well cost estimates.

contract award

The Maltese court did not grant the joint venture's injunction to stop the Government's bidding for areas overlapping the exploration study agreement area. PCL will review the decision and update shareholders. Setback for retaining the Malta rights.

regulatory community update

PCL plans to raise up to $15m via a placement of up to 200m shares at 7.5c to institutional investors. Funds go to seismic on Kenya L10A/B and L6, Namibia EL37 and working capital. Addresses the falling cash (A$3.4m); tranche two needs a 9 January 2012 shareholder vote.

capital raising announcement

PCL and Sun have started legal proceedings in Malta seeking an injunction after the Government called for bids over areas including part of their exploration study agreement area (Area 5, Area 4 Block 3). Government alleges the agreement has expired. A dispute, not the earlier renegotiation.

regulatory community update

The Tullow farmout of 10% of Kenya L8 is complete after Kenyan ministerial consent. L8 is now Apache 50% (operator), Origin 20%, PCL 15%, Tullow 15%. PCL is carried through most of the Mbawa well; Apache is still sourcing a rig and no drill date is set.

farm in farm out completion

Namibia grants PCL a Petroleum Agreement and Exploration Licence (EL 0037) over 17,295 sq km in the Walvis Basin, effective 28 June. PCL holds 85% as operator, Paragon 15% (free carried). Resolves the long-pending Namibia agreement signing.

regulatory community update

Origin's own release says its sale of 50% of L8 to Apache is complete. Origin was reimbursed US$13.2m and Apache is now operator. Mbawa exploration timing is still undecided. Resolves the February Apache deal; PCL's Tullow farmout is noted as announced 1 June.

farm in farm out completion

Farmout agreement signed 31 May with Tullow, firming up the March deal: Tullow earns 10% of Kenya L8, paying US$1m and carrying PCL for a further US$9m, including Mbawa drilling. PCL retains 15%; Tullow has an option on 5% more for US$6m.

farm in farm out agreement

Production sharing contracts for Kenya L10A and L10B were signed on 16 May 2011 with BG Group as operator. PCL holds 15% in each. This completes the offer of 23 February; a seismic-first programme with later drilling is proposed.

material agreement

PCL raises $5m before costs through a placement of 68,493,151 shares at 7.3 cents, led by Lodge Partners. Funds are for Kenya and Namibia exploration and working capital. This addresses the earlier cash shortfall of about A$1m.

capital raising announcement

Origin's first 3D report on the Mbawa prospect estimates up to 4.9bn barrels of oil (P10, unrisked, if filled) plus a gas cap at the Tertiary-Cretaceous level, with a 2bn barrel mean. This is potential, not proven. It is based on early processing, and the oil system is unproven.

resource reserve update

Tullow agrees to take 10% of Kenya L8 from PCL, leaving PCL with 15% plus a Tullow option on a further 5%. Tullow pays US$1m for past costs and funds PCL's share up to US$9m, covering much of Mbawa drilling. Completion expected by June 2011.

farm in farm out agreement

A BG Group-led consortium, including PCL with 15%, is offered new Kenyan offshore Blocks L10A and L10B, with production sharing contracts still to be negotiated. This would more than double PCL's gross Kenyan acreage. A seismic-first programme is proposed.

material agreement

Origin agrees to sell 50% of Kenya Block L8 to Apache, which would become operator, drill Mbawa and pay part of Origin's well costs. Interests would become Apache 50%, Origin 25%, PCL group 25% (Afrex 15%, PCL 10%). Subject to partner and government approvals, completion expected by end June.

farm in farm out agreement

The Stokes Bay-1 retest recovered about 2,760 barrels of fluid that was 100% water, with no hydrocarbons indicated. The well will be suspended. This ends the retest planned since early 2010 without finding oil or gas; PCL holds 10% of the licence.

well test result

High-quality Mbawa 3D data received; the flat spots persist and the structure is large but faulted into compartments. Volume estimates are being revised up or down from earlier figures exceeding 1bn barrels. Processing ran late, drilling is now planned for 2011, and farminees are being sought.

drilling result

PCL will not proceed with the Irriculla 2 farm-in announced 20 May, after remapping raised the prospect's risk. This ends the ATP 587P venture before any spending was reported. The CEO points to other projects with near-term activity.

farm in farm out completion

PCL agrees to farm in to ATP 587P (Cooper-Eromanga margin, Queensland) from operator DVM, earning 20% by funding up to $500,000 of the Irriculla 2 well (estimated cost $1.5m). The prospect has P50 potential of 5m barrels. Subject to authority approval.

farm in farm out agreement

Production Licence L15 is granted over the West Kora-1 oil discovery in the Canning Basin for 21 years from 1 April 2010. PCL holds 12%. The well produced about 20,000 barrels in past tests; the joint venture aims to restore production, but planning and refurbishment remain.

regulatory community update

PCL lifts its interest in EP 424 (Baniyas, 34m barrels P mean) and EP 110 from 25% to 38.462%, taking its pro-rata share of Carnarvon Petroleum's withdrawn stake. Baniyas drilling is now planned for later in 2010.

asset acquisition disposition

Mbawa 3D seismic acquisition over 800 sq km finished on 28 December 2009, after starting 2 December. Interim results are expected in 3 to 4 months. Drilling could start in the second half of 2010 at the earliest. PCL remains free-carried at 25%.

drilling result

The rights issue closed with shareholders taking up 42,937,772 shares. The underwriter took the 31,098,060-share shortfall. About 58% of the maximum 74.0m shares was taken up by shareholders, so the $2.22m was raised as underwritten.

capital raising announcement

Fully underwritten rights issue (Patersons): one new share for every seven held at 3 cents, raising $2,221,075 for up to 74.0m shares. Funds go to Australian and Kenyan exploration and working capital. Price is well above the 1.2 cent placement in May.

capital raising announcement

Origin signed Fugro Geoteam to shoot the Mbawa 3D survey, starting in November and finishing by year-end. Coverage was upgraded to 800 sq km from 300 sq km at the same US$10m cost, with PCL free-carried at 25%.

contract award

Kenya's Minister approved the L6 partial relinquishment and a revised work programme: onshore 2D seismic in the two years from 18 June 2009, then one well in each of years three and four. PCL holds 40% and is still seeking a farminee.

regulatory community update

Kenya's Ministry approved the L8 partial relinquishment, keeping all major prospects. Fugro will shoot at least 300 sq km of 3D over Mbawa from October for at least US$10m, with PCL free-carried at 25%. This resolves the approval awaited since June.

regulatory community update

Dispute with Kenya L6 operator Gippsland Offshore over expenditure claims PCL says were unauthorised. PCL paid under protest, yet Gippsland claimed to transfer PCL and Afrex's 40% interest for default. PCL threatens legal action.

joint venture update

Gippsland formally withdrew its notice transferring the Kenya L6 interest, so Pancontinental and Afrex's combined 40% stands. This resolves the same-day dispute over the transfer, though the underlying expenditure dispute and audit request are not stated as settled.

joint venture update

Bids received for a minimum 300 sq km, US$10m 3D survey over Kenya L8 for July-November 2009, with PCL free-carried at 25%. Mbawa upgraded to P10 recoverable 3.6bn barrels oil, or 1.5bn plus 400 bcf gas, or 11 Tcf gas. Still unproven until drilled.

resource reserve update

Placement of 58.3m shares at 1.2 cents to sophisticated investors raises $700,000 for working capital. This follows the weak $113,000 SPP and prices below the 1.9c SPP.

capital raising announcement

The Share Purchase Plan closed with only 5,947,381 shares issued, raising $113,000, against a maximum target of $2.535m. Shareholder take-up was very small.

capital raising announcement

Share Purchase Plan offers shareholders up to $5,000 of shares each at 1.9 cents, about a 19% discount, to raise up to $2,535,190 (133.4m shares). Closes 12 February 2009. Funds go to exploration and working capital, after earlier cash of only A$1.2m (Jun 2008).

capital raising announcement

Origin will fully fund a 3D seismic survey (minimum US$10m) over the main Kenya L8 prospects in 2009, with Pancontinental free-carried. L9 is relinquished and L8 reduced. Origin's earned interest reaches 75%, PCL keeps 25%; option to drill one well in the following year or relinquish L8.

farm in farm out agreement

Key Petroleum will not renew its Namibian consortium agreement with Pancontinental, citing the economic climate. The Reconnaissance Licence RL-1 of 2007 was never converted to an Exploration Licence, and available area has shrunk after third-party awards. Pancontinental loses its 50% partner.

material agreement termination

Operator Buru reports the Stokes Bay-1 nitrogen test is finished with no definitive formation fluids recovered; only 190 extra barrels of drilling fluid came back (3,834 bbls total). Daily gas build-up to about 200 psi has no identified source. Other methods must be evaluated.

well test result

Operator Buru Energy (which now holds the 38.95% previously under ARC) announces the joint venture unanimously agreed further Stokes Bay-1 testing from late September 2008, starting with foaming surfactant to induce flow. Closure may be 7 km², up to 17 km². Follows July's inspection gas flow.

drilling scheduled

Kenya grants a six-month extension to the first additional period on Blocks L8 and L9, with the deadline to commit to the drilling phase now 21 January 2009. Origin (75%) must fund it; PCL holds 10% plus Afrex 15%. Origin is still seeking drilling partners.

regulatory community update

ARC's inspection of Stokes Bay-1 found 1,200 psi at the wellhead; the well flowed gas for about six minutes, then mud and gas, before stopping. Operator calls it very encouraging, with gas from Laurel sands or Nullara reef. First gas flow since testing stalled. Definitive test design follows.

well test result

Pancontinental signs a deal with Key Petroleum: each gets 50% of any petroleum agreement awarded over its 30,000 sq km Namibia Walvis Basin licence. Key pays up to A$100,000 of past costs and shares future costs. PCL's interest falls from 100% to 50% if awarded.

farm in farm out agreement

General Manager Matthew Battrick has resigned, effective 31 January 2008, after three years. The board says it is negotiating with a candidate to replace him and will announce further. He is the company's senior technical executive following Svalbe's July retirement as CEO.

director officer appointment

Stokes Bay-1 reached the Anderson target at 2,589 m with oil and gas shows, then was deepened to 2,755 m after the joint venture elected to test the Nullara carbonates. Total mud loss there suggests a porous zone. Pancontinental keeps 10% in the deeper part.

drilling result

Operator ARC reports Valentine-1 was plugged and abandoned, and the Stokes Bay-1 sidetrack spudded on 3 October from 975 m, now drilling at 1,226 m. Target is the Anderson gas sands about 90 m updip of Valentine-1's strong gas shows.

drilling spud

Operator ARC calls Valentine-1 final depth at 3,430 m because the Virgin Hills target sandstones were tight with no significant hydrocarbon shows. Earlier strong Anderson and Laurel gas shows are called encouraging for Stokes Bay-1, to follow by sidetrack.

drilling result

Pancontinental confirms Valentine-1, the first of two Canning Basin wells, spudded 12 August 2007. The manager expects news over 7-8 weeks; the two wells could add 7 to 10 million barrels net to PCL, which holds 10% after paying 10.67% of costs.

drilling spud

The 22,827,248-share shortfall from the entitlement issue has been placed with institutions and other investors. This resolves the undersubscription, so the full 63,538,587 shares at 6 cents (about $3.8 million) are now placed.

capital raising announcement

The 6 cent entitlement issue that closed 2 July was undersubscribed by 22,827,248 shares. Only 40,711,339 of the 63,538,587 offered shares were taken up and allotted, so the full $3.8 million was not raised from shareholders.

capital raising announcement

Prospectus for a 1-for-6 non-renounceable entitlement issue of up to 63,538,587 shares at 6 cents to raise up to $3,812,315. It closes 2 July 2007. This is the first raising since the 14m-share November 2006 placement at 6 cents.

capital raising announcement

CEO Andrew Svalbe, a founding director and CEO for nearly nine years, retires effective 6 July 2007 and will not stand at the November 2007 AGM. Exploration Manager Matthew Battrick becomes General Manager. Barry Rushworth continues in New Ventures.

director officer appointment

Pancontinental is awarded a 100%-held, 30,000 sq km offshore Reconnaissance Licence in Namibia, 400 km south of the Angolan border. It has two years to study existing data before electing to enter a petroleum agreement. This adds a new frontier area to the portfolio.

asset acquisition disposition

Origin finished acquiring 3,759 km of 2D seismic over Kenya L-8/L-9, ahead of schedule, with processing due June 2007. Origin may drill one L-8 well before October 2007. The CEO calls Woodside's Pomboo-1 result 'disappointing' but says it does not undermine Pancontinental's blocks.

drilling result

All farm-outs in Canning Basin EP 104 were completed, clearing the way for Stokes Bay-1, which tests near the 1992 Point Torment gas discovery. ARC Energy becomes operator, Pancontinental holds 10%, and Empire estimates up to 80 bcf gas and 10 million barrels of oil if the trap is full.

farm in farm out completion

Agreed to place 14 million shares at 6 cents to strategic investors, raising $840,000 before costs, managed by DJ Carmichael. Funds go to exploration and overheads. A second small raising after the 25 million share placement at 5.25 cents in July/August.

capital raising announcement

Kenya approved the L8 and L9 changes on 28 September, so Origin now holds 75% and must fund at least US$4 million of seismic. Origin must decide by 14 July 2007 whether to drill. Seismic is due to start December 2006.

farm in farm out completion

Farmout of Kenya's L-6 block: Gippsland Offshore Petroleum can earn 60% by spending US$1.9 million on seismic and gravity surveys by 23 February 2007. Pancontinental keeps 40%, carried through the program. Subject to Kenyan Government approval.

farm in farm out agreement

Placed 25 million shares at 5.25 cents to raise $1,312,500 before costs, managed by Carmichael Capital Markets. Funds go to exploration and corporate overheads. Follows cash of A$1.4 million reported at December 2005.

capital raising announcement