Past year: ▼ 67%(0.10c – 0.40c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
17 Mar 2009drilling progress report● Neutral
Meek rig released after cementing production casing at 3,768 m. Production equipment will take 2-3 weeks to install before testing the 3,606-3,611 m Middle Meek zone; gas would be sold immediately if successful.
11 Mar 2009half year report● Neutral
Cover letter lodging the six-monthly report to 31 December 2008. The report's contents are not included in the text provided.
11 Mar 2009drilling result▲ GoodMajor
Wireline logs at Meek indicate potential pay of 9 m in the Upper Meek Sands and 13 m in the Middle Meek Sands, plus two zones in the Upper Wilcox. Management says this supports the pre-drill model; production casing and testing come next.
6 Mar 2009drilling result▲ GoodMajor
Meek well reached total depth of 3,786 m with multiple gas shows, the strongest in the target Middle Wilcox Meek Sands (8.6% total gas against 1.8% background). Encouraging but commercial potential is unknown until logging and testing.
3 Mar 2009debt financing● Neutral
Sun will pay A$118,357 interest on the 12% convertible notes on 31 March 2009 (1.6274 cents per note, 90 days). Routine servicing.
3 Mar 2009drilling progress report● Neutral
Meek well at 3,161 m after setting intermediate casing at 3,026 m, on schedule at day 25 of 35. No new result.
24 Feb 2009drilling progress report● Neutral
Meek well reached 3,031 m and was conditioning the hole before running intermediate casing, 18 days into a planned 35-day program. No new result.
17 Feb 2009drilling progress report● Neutral
Meek well was drilling ahead at 2,326 m on 15 February. No new result.
10 Feb 2009drilling spud▲ GoodMajor
The Meek prospect well (Ammann Heirs Gas Unit #1, Sun 12.5%) spudded on 6 February 2009, targeting about 18 bcfe to roughly 3,780 m. The long-awaited spud is delayed from late 2008; TD is expected in about 30 days.
5 Jan 2009security holder rights change● Neutral
Convertible note conversion rate reset to 9.16 shares per note for the March 2009 quarter, up from 6.47. Noteholders get more shares per note, implying a lower conversion price (inference: about 6c on the $0.55 face value), which raises potential dilution.
3 Dec 2008production update▲ GoodMajor
F1 gas discovery (37.5%) began sales on 28 November 2008, and the Lake Long #9 and Milagro workovers are done. Net production is now above 0.8 mmcfd gas and 16 bopd, resolving the earlier F1 start-up and Lake Long outage threads.
1 Dec 2008debt financing● Neutral
Sun will pay A$120,988 interest on the 12% convertible notes on 31 December 2008 (1.6636 cents per $0.55 note, 92 days). Routine servicing of the notes.
28 Nov 2008admin correction● Neutral
Relodged AGM presentation correcting one slide's reference from the September 2009 quarter to September 2008. No other change noted.
27 Nov 2008investor presentation● Neutral
AGM deck from the managing director repeating known facts: 225.1M shares, A$4M notes, about A$4.7M cash at 31 October plus a A$3.3M refundable Thailand bond. Meek now slated for late January 2009; F1 gas due on stream in December.
21 Oct 2008flow test result▲ GoodMajor
The F1 well at Margarita flowed almost 300,000 cubic feet a day of gas from 2 m of a 6 m Frio interval and will be completed as a producer. Worth about $600,000 a year to Sun at its 37.5%. The deeper Vicksburg zone flowed mostly water and was plugged.
14 Oct 2008debt financing● Neutral
Sun will pay the first convertible note interest, 1.2477 cents per $0.55 note for 24 July to 30 September, on 31 October 2008. Routine servicing of the 12% notes.
8 Oct 2008security holder rights change● Neutral
The convertible note conversion rate reset to 6.47 shares per note for the December 2008 quarter, from 5. That implies a conversion price near 8.5c (inference from the $0.55 face value), below the original 11c.
22 Sept 2008drilling result▲ Good
The F#1 well at Margarita reached 1,219 m and logged about 5.8 m of possible gas pay in the Frio, plus 3.6 m of oil shows deeper. Testing results are due within a week; Sun holds 37.5%.
10 Sept 2008drilling spud▲ Good
The F#1 well at Project Margarita in Bee County, Texas spudded, the first of Sun's new US exploration program; Sun holds 37.5% with net cost about US$200,000. The Meek prospect (about 18 bcfe) is due to spud in October.
10 Sept 2008annual report● Neutral
Annual report for the year to 30 June 2008. Highlights: 7 US wells drilled with 5 completed, A$4M notes, A$2.5M placement and A$1.9M rights issue raised, and Thailand L20/50 secured. Sun exited WA-257-P and began selling its WA-254-P interest.
2 Sept 2008investor presentation● Neutral
Good Oil Conference deck repeating known facts: cash about A$4.8M at 31 July, A$4M notes, FY08 revenue about US$1.8M with a US$4.0M target for FY09. Lists 3P reserves of 17 bcf gas and 0.344 million barrels oil. No new results.
25 July 2008capital raising announcement● Neutral
Sun confirms allotment of 7,272,800 convertible notes raising A$4,000,040, with listing under code SURG. This completes the June note raising, funds earmarked mainly for its 50% of Thailand block L20/50. Top-20 noteholder list attached.
1 July 2008director officer appointment● Neutral
Dr Brad Farrell retired as Executive Chairman on 30 June and became Non-Executive Chairman from 1 July, also consulting as needed. This completes the leadership handover to Matthew Battrick as Managing Director flagged earlier.
20 June 2008investor presentation● Neutral
Roadshow deck for the managing director's investor meetings from 23 June. It repeats known points: 225.1M shares, A$4M notes, about A$5.0M cash after the placement, L20/50 plans, Malta and US revenue. Forecasts FY08 revenue of about US$2.0M.
19 June 2008capital raising announcement● Neutral
Sun lodges a prospectus for 3,000 convertible notes at $0.55 ($1,650), a technical step to allow the notes to be listed and freely traded. Together with the 6 June placement, total raised is A$4,000,040, mainly for L20/50 and South Texas.
6 June 2008capital raising announcement▲ GoodMajor
Sun raises about A$4M through convertible notes, mainly for its 50% of Thailand block L20/50. Notes are $0.55 each, convert at 11c (22% premium, subject to reset), pay 12% quarterly and mature 31 March 2011. Aeromagnetic survey and a late-2008 well are planned.
5 May 2008investor presentation● Neutral
Roadshow presentation repeating known themes: L20/50, Malta, and US production. It gives 225.1m shares, about A$15.8m market value at 7c, and about A$1.4m cash. No new announcements.
24 Apr 2008drilling scheduled▲ Good
Sun approved 3D seismic over West Flour Bluff in late 2008, ahead of development drilling aimed at lifting the current 68.8 bcfe 3P reserves. Management says new wells should at least double or treble production. Sun holds 20%.
17 Apr 2008production update▲ Good
Sun's US operations earned record net operating revenue of over A$200,000 in March 2008, about double a year earlier, with gross output above 7.0 mmcf/d gas. Supports the strategy of funding Thai exploration from US cash flow.
5 Mar 2008other● Neutral
Notice that a Hartleys broker research report on Sun has been released and is on the website. No substance beyond the notification.
