3 May 2012other● Neutral
Strike changed its share registry to Computershare's Sydney office from 23 April 2012. Administrative only.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
2 May 2012joint venture update● Neutral
Beach Energy's April drilling report (operator of Strike's Cooper permits) notes Marsden 1 core analysis is ongoing and Davenport 1 is drilling. Mostly covers Beach's other wells. Nothing new for Strike.
30 Apr 2012investor presentation● Neutral
Presentation for the 30 April general meeting, which was to vote on the second tranche of 71.9m placement shares. Restates Marsden 1 and Davenport 1 results, ~5.8 Tcf net prospective resource and Eagle Ford acreage. No new information.
27 Apr 2012drilling spud▲ GoodMajor
Davenport 1, the second Cooper coal and shale well, spudded 25 April in PEL 94 (Strike 35%). It was at 812 m on 27 April, with 25-30 days expected to drill. Follows the Marsden 1 well; planned depth now 2,192 m.
18 Apr 2012quarterly activities report● Neutral
March quarter: Marsden 1 reached total depth after quarter end with over 800 m of Permian sediments. Eagle Ford acreage rose to 9,429 net acres. Revenue fell 6% to A$1.08m on lower US gas prices. Cash A$3.8m; $20m placement still being completed.
18 Apr 2012quarterly activities report● Neutral
Cash flow statement for the March quarter: cash at end A$3.785m, no debt, A$7.6m outflow forecast for next quarter. Net operating outflow A$1.9m; A$3.0m raised from shares in the quarter. Supports the quarterly report.
17 Apr 2012drilling result▲ GoodMajor
Preliminary logs show Marsden 1 hit 804 m of Permian sediments, with coal and shale thicker than the resource model assumed, and heavy hydrocarbons up to pentane. Patchawarra coring failed. Well will be cased and suspended for later testing; Davenport 1 spuds within two weeks. Supports the 6 Tcf estimate but is not a flow test.
11 Apr 2012drilling progress report● Neutral
Marsden 1 reached total depth of 2,625 m. Wireline logging starts shortly, with results to follow. Ends the rain delay.
29 Mar 2012admin correction● Neutral
Clarifies that the Breakaway research report was commissioned by Strike, and Breakaway received a commission for preparing it. Administrative only.
29 Mar 2012other● Neutral
Notice that a Breakaway Investment Group research report on Strike is available on the website. No new company information.
28 Mar 2012capital raising announcement▲ GoodMajor
Strike raises $20m via a placement of 117.6m shares at $0.17, a 13% discount to the last close. 45.8m shares issue now; 71.9m need approval at a meeting around 4 May. Funds Cooper follow-up and Eagle Ford drilling. Eagle Ford acreage heads to about 9,400 net acres. Price is well above the January $0.10 raising.
What it means for a shareholder
118m new shares at A$0.170 to raise about A$20.0m. That's 65% dilution: every existing holder's slice gets 65% smaller. If you held A$1,000 of shares (5,882 at the issue price), your slice goes from 0.00934% to 0.00326% of the company. To keep it you'd need 10,985 more shares - about A$1,867 at the issue price.
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28 Mar 2012drilling progress report● Neutral
Crews and supplies are back at Marsden 1, still at 1,908 m, with drilling to resume shortly. Total depth of 2,640 m is expected in 15-20 days; coal and Murteree shale will be cored.
22 Mar 2012drilling progress report● Neutral
Marsden 1 remains at 1,908 m. Drilling is expected to resume next week once a new access road is built. Continues the rain delay.
12 Mar 2012other● Neutral
Notice that an analyst report from MineLife is available on the company website. No new company information.
8 Mar 2012investor presentation● Neutral
European and North American roadshow deck. Says Marsden 1 spudded in February and Davenport 1 due March/April; shares on issue 496.9m; market cap A$82m. Includes a simplistic 'success case' value of over A$600m for Cooper. Largely restates known facts.
5 Mar 2012drilling progress report▼ Bad
Marsden 1 reached 1,908 m of a planned 2,640 m, then was suspended because heavy rain closed access roads. Coring and logging wait for roads to reopen. Delays the Cooper result.
23 Feb 2012half year report● Neutral
Half-year report to 31 December 2011 describes a strategy shift to unconventional oil and gas. Eagle Ford acreage now over 8,500 net acres, with the first horizontal production well planned for mid-2012. Marsden 1 spudded 22 February. Repeats previously announced operations.
21 Feb 2012drilling spud▲ GoodMajor
Marsden 1 (PEL 95, Strike 50%, Beach operator) is to spud 22 February, targeting 2,640 m and 700-800 m of Permian sediments in the Battunga Trough, 25-30 days to drill. Davenport 1 follows. Starts the Cooper program announced in January.
30 Jan 2012capital raising announcement▲ Good
The entitlement offer closed with about 70% of entitlements taken up (21.1m of 31.1m shares). Top-up applications of 41.4m shares were 4.16 times the ~10m share shortfall, so top-up applicants will get about one share for every four applied for.
27 Jan 2012quarterly activities report▼ Bad
Cash fell to $3.6m at 31 December from $10.2m, after $7.1m of investing outflows (Permian acquisition and drilling). No debt. Next-quarter outflow estimated at $5.8m, so the pending raising is needed. Includes retirement payments to Mr Ashton.
27 Jan 2012quarterly activities report● Neutral
December quarter: Louise field steady at ~4,000 Mcf/d gross, MB Clearfork added two months of oil; revenue flat at $1.15m. Two Wilcox wells were dry; no further conventional exploration planned in 2012. Cooper wells start February; Eagle Ford acreage over 8,100 net acres.
18 Jan 2012capital raising announcement▲ Good
Strike secures $2m of unconditional underwriting for the entitlement offer, with about $1.1m already accepted or pre-committed by major holders. This covers the rest of the ~$3.1m sought; underwriting fee is 5%. Resolves the offer's earlier 'not underwritten' status.
18 Jan 2012drilling scheduled▲ GoodMajor
Details of the two Cooper Basin unconventional wells: Marsden 1 (PEL 95, Strike 50%) to spud in February, then Davenport 1 (PEL 94, 35%). Total cost $5.5m, Strike's share about $2.5m from existing cash. First dedicated unconventional wells on its acreage.
11 Jan 2012admin correction● Neutral
Confirms the entitlement offer document and acceptance forms were posted on 11 January 2012 to eligible holders at the 9 January record date. Administrative only.
29 Dec 2011drilling result▼ BadMajor
Wintermann #1 reached 9,500 feet with no commercial hydrocarbons and is to be plugged and abandoned, a second dry hole in a month. Strike says 2012 resources will focus exclusively on unconventional projects, mainly Eagle Ford and Cooper.
22 Dec 2011capital raising announcement● Neutral
Notice to optionholders of the entitlement offer. Options carry no right to join the offer unless exercised and shares allotted before the 9 January record date. Otherwise repeats known terms.
22 Dec 2011capital raising announcement● Neutral
Standard notice to shareholders on the entitlement offer: record date 9 January 2012, up to 31,054,468 shares at $0.10. Rights cannot be sold, and the top three holders (about 22%) have committed to take up their shares. Repeats the 21 December terms.
What it means for a shareholder
31.1m new shares at A$0.100 to raise about A$3.1m. That's 33% dilution: every existing holder's slice gets 33% smaller. If you held A$1,000 of shares (10,000 at the issue price), your slice goes from 0.0159% to 0.0106% of the company. To keep it you'd need 4,931 more shares - about A$493 at the issue price.
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21 Dec 2011capital raising announcement● Neutral
Managing Director's letter to shareholders restates the $5.6m raising at 10 cents and urges participation in the entitlement offer. It says the company is working on longer-term funding options and flags raising capital at low prices. No new figures.
21 Dec 2011capital raising announcement▼ BadMajor
Strike raises $5.6m at $0.10 a share: a $2.5m placement (25m shares) plus a 1-for-15 non-renounceable offer for up to $3.1m, not underwritten. Funds go to Eagle Ford and Cooper. It says significant further funding is needed and cost cuts are underway. Price is well below August's $0.15.
21 Dec 2011capital raising announcement● Neutral
Formal offer document for the 1-for-15 entitlement offer at $0.10. It opens 11 January and closes 25 January 2012. It is not a prospectus; it restates terms already announced.