9 Sept 2015drilling spud▲ GoodMajor
Buru spudded Victory 1 on 9 September in EP457, targeting a maximum 2,600 m depth in about 34 days. Rey holds 25% equity and pays 16.67%. Gross best-estimate prospective resource is 40 million barrels, unrisked.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
9 Sept 2015drilling spud▲ Good
Rey confirms Victory 1 has spudded, with a 25% interest and 16.7% cost share. Its economic best estimate is 10 million barrels (low 1.75, high 24.5), unrisked prospective. Senagi-1 in EP458 is now planned for October 2015.
14 Aug 2015admin correction● Neutral
Administrative filing of an ASIC Form 484 under Listing Rule 3.8A. No substance in the text itself.
3 July 2015security holder rights change● Neutral
985,294 and 1,500,000 performance rights lapsed after performance conditions were not met by 30 June 2015. Remaining capital: 711,750,074 ordinary shares, 2,426,667 and 1,000,000 performance rights.
3 July 2015admin correction● Neutral
Administrative filing of an ASIC Form 484 under Listing Rule 3.8A. No substance in the text itself.
9 June 2015drilling result▼ BadMajor
Dunnart-2 testing is complete and no commercial hydrocarbons flowed to surface. The well is decommissioned and the rig released. This ends the long-running Dunnart-2 flow test thread; Key still sees EP437 as prospective and is discussing Conder South and Wye Knot wells.
5 June 2015material agreement● Neutral
Norwest says its $500,000 placement is complete, including Rey's $250,000 at $0.004712 per share (53,056,027 shares, about 3.68% of Norwest). Confirms the June Rey–Norwest alliance on Perth Basin farm-out opportunities; Norwest's view of the same deal.
5 June 2015drilling progress report● Neutral
Dunnart-2 casing scraper run done; crews were running perforating guns and completion tubing on 4 June. Perforating and testing of 12 m of Bookara Sandstone follows. No test result yet.
3 June 2015asset acquisition disposition● NeutralMajor
Rey bought 53,056,027 Norwest Energy shares, about 4%, for $250,000 at $0.004712. It aims to find north Perth Basin farm-in opportunities alongside its 43.47% EP437 interest. No specific project deal yet.
3 June 2015material agreement● Neutral
Norwest Energy announces a strategic alliance with Rey to explore Perth Basin farm-out opportunities, backed by Rey's $250,000 share subscription at $0.004712. Counterparty's view of the same deal.
2 June 2015drilling progress report● Neutral
Completion work began at Dunnart-2 after blowout preventer testing. Crews are running tubing before the flow test, expected in a few days.
1 June 2015asset acquisition disposition▲ GoodMajor
Rey completed buying Backreef's 50% of the roughly 5,000 km2 Derby Block for $2M on production licence grant or a 2% royalty. It also settled about $391,000 of claims and granted Oil Basins a 0.5% royalty. A joint operating agreement was signed; Rey takes over as operator from 1 January 2016.
1 June 2015joint venture update▲ Good
Oil Basins confirms the Derby Block dispute is settled and Rey becomes its 50/50 partner, with Oil Basins operating. It says it receives $391,000 and a 1% royalty on Rey's share. It will seek a farminee, with a 500 km seismic survey budgeted around $4M.
28 May 2015drilling progress report● Neutral
All rig equipment and completion gear has reached Dunnart-2. Perforation and the flow test are expected shortly after rig-up finishes.
21 May 2015drilling progress report● Neutral
Rig 6 arrived at the Dunnart-2 site on 20 May. Rig-up is under way and testing is expected to start toward the end of the following week.
12 May 2015drilling progress report▼ Bad
The Dunnart-2 rig is completing upgrades after inspection and is now expected on site the week of 18 May 2015. Another slip from the April target.
21 Apr 2015drilling progress report● Neutral
All approvals for the Dunnart-2 test are now in hand and equipment is in Perth. The rig is to be inspected and mobilised within about three weeks. Key is also talking to rig contractors about a wider campaign.
17 Apr 2015regulatory community update▲ Good
Final regulator approval received for the Dunnart-2 health and safety plan addendum. Key says it will shortly update the market on test timing.
2 Apr 2015regulatory community update▲ Good
Regulator approved the Dunnart-2 Completion and Testing Program. Only the health and safety plan approval remains, with testing targeted for mid to late April.
31 Mar 2015regulatory community update▲ Good
Key received regulator approval of its amended Environment Plan for the Dunnart-2 test. Health and safety and testing program approvals are still awaited; testing is anticipated from mid-April.
27 Mar 2015other● Neutral
Administrative filing of an ASIC Form 484 under Listing Rule 3.8A. No substantive information in the text.
18 Mar 2015joint venture update▲ GoodMajor
On 17 March 2015 the tribunal dismissed Oil Basins' bid to overturn Backreef's title to the Derby Block. This resolves the key condition on Rey's 50% acquisition; Rey is considering next steps to complete it.
13 Mar 2015half year report▼ Bad
Half-year to 31 December 2014: net loss $5.33M (prior year $2.17M). Cash was $933,000, rising to $4.05M after the $4M placement. Derby Block tribunal outcome was then expected in March 2015. Otherwise repeats known project positions.
11 Mar 2015drilling scheduled● Neutral
Key now plans the Dunnart-2 production test for around mid-April 2015, slipping from its late-February aim, still subject to final regulator approvals. A 12 m interval (614-626 m) will be perforated. Key also maps at least 10 undrilled EP437 prospects and leads.
10 Mar 2015contract award▲ Good
Key signed a fixed lump-sum contract with Drilling Contractors Australia for Rig 6 to run the Dunnart-2 production test, with service contracts also awarded. Timing is not stated and awaits Department of Mines and Petroleum approvals. Rey holds 43.47%.
27 Feb 2015other● Neutral
Administrative filing of an ASIC Form 484 under Listing Rule 3.8A. No substantive information is given in the text.
27 Jan 2015joint venture update▼ Bad
Oil Basins says no agreement has been reached with Rey despite meetings since mid-December. It cites Rey's demand that it drop the tribunal action and Rey's reluctance to allow a later farmout. Oil Basins says it would hold 100% of title if it wins.
27 Jan 2015other● Neutral
Secondary trading notice for the 50M shares issued at 8c to raise $4M, allowing on-sale. Administrative; no new information.
27 Jan 2015capital raising announcement● NeutralMajor
Rey completed its $4M placement of 50M shares at 8c to two Hong Kong investors, 25M each. Start Grand Global now holds about 40.1M shares, 5.6% of the enlarged capital.
What it means for a shareholder
50.0m new shares at A$0.080 to raise about A$4.0m. That's 7.0% dilution: every existing holder's slice gets 7.0% smaller. If you held A$1,000 of shares (12,500 at the issue price), your slice goes from 0.00188% to 0.00175% of the company. To keep it you'd need 942 more shares - about A$75 at the issue price.
Create a free account to see this worked out for your own holding.
2 Jan 2015joint venture update▲ Good
Backreef's agreement to sell the Derby Block to Buru expired on 31 December 2014, satisfying one condition of Rey's 50% acquisition. The tribunal hearing outcome and FIRB approval remain outstanding.