Past year: ▲ 27%(15.0c – 21.0c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
4 Nov 2014director officer appointment● NeutralMajor
Board restructured: Forbes, Douglas and Cowley, who joined at the Texon demerger, retired. Peter Love becomes chairman and Peter Evans, a former Morgans stockbroker, joins. CEO Foss stays. Love plans to cut overheads further. Board shrinks to three.
14 Oct 2014well test result▲ GoodMajor
Quintanilla OL 1H, the first horizontal Olmos well, tested a peak 986 boepd (744 bopd, 1,452 mcfd) over 2 hours; the prior 24-hour rate was about 886 boepd. Talon holds 10%. This proves the MR Olmos concept; second-well planning begins.
13 Oct 2014drilling progress report▲ Good
All 12 frac stages on Quintanilla OL 1H were pumped and the well is flowing back what Talon calls substantial rates of oil, gas and frac fluid. A formal initial production test result is still to come.
8 Oct 2014drilling progress report▲ Good
Fracing of Quintanilla OL 1H began 4 October, with 7 of 12 stages pumped. Completion is due that week and flowback should start at the weekend. Surface facilities are installed, pending a gas pipeline right of way.
1 Oct 2014drilling scheduled● Neutral
Frac of Quintanilla OL 1H is scheduled for early October after a service crew was secured. Talon says a strong initial result would lift the MR Olmos valuation. Repeats known well details; no new result.
15 Sept 2014director officer appointment● Neutral
Peter Love joined the board as a non-executive director on 15 September. He recently became a substantial holder and manages capital raising for Byron Energy. The board will review its structure in coming months, a thread that later resolves.
12 Sept 2014half year report▼ Bad
Interim report to 30 June 2014: loss of A$3.87m (previous year A$6.46m), including A$2.96m impairment on Hoskins #1 and Bonner 1H. Revenue was A$288k. Cash was A$1.7m, down from A$3.9m at December 2013. Admin costs fell 9%.
28 Aug 2014drilling progress report▲ Good
Quintanilla OL 1H, the first horizontal Olmos well, reached 13,555 ft measured depth on 21 August with a 4,286 ft lateral. Rig released; 12-stage fracing is expected late September. No flow result yet. Completes drilling begun 6 August.
25 Aug 2014capital raising announcement● Neutral
Allotment of 102,615,433 new shares under the entitlement offer, lifting issued capital to 205,230,866 shares. Trading starts 26 August. Top 20 holders own 51.72%, led by Kieran Mann at 7.46%. Administrative follow-through on the closed raise.
21 Aug 2014capital raising announcement▲ GoodMajor
The A$1.12m 1-for-1 entitlement offer at A$0.011 closed oversubscribed, with A$1.68m applied for. Entitlements were met in full, extra applications were scaled back, and 13.39m shortfall shares go to underwriter Morgans and sub-underwriters. Completes the raise launched 22 July.
6 Aug 2014drilling spud▲ GoodMajor
Drilling started on Quintanilla OL 1H, the first horizontal well at MR Olmos, targeting 13,600 ft measured depth in about two weeks. Talon operates at 10% WI at a cost of about US$550,000. Fracing follows, and 1C resource potential is 235-327 mboe per well.
31 July 2014capital raising announcement● Neutral
Entitlement offer booklets were posted to eligible shareholders. Talon says the A$1.12m raise plus about A$1.7m of cash would give about A$2.8m, which it says funds its immediate work program.
23 July 2014capital raising announcement● Neutral
Advance notice letter to eligible shareholders on the 1-for-1 offer at A$0.011. It shows the share count would roughly double from 102.6m to 205.2m if fully taken up. Repeats known terms.
23 July 2014capital raising announcement● Neutral
Standard letter telling ineligible shareholders (those outside Australia/New Zealand) they cannot take part in the 1-for-1 entitlement offer. Administrative notice with no new substance.
22 July 2014capital raising announcement● NeutralMajor
Talon launched a 1-for-1 fully underwritten entitlement offer at A$0.011 per share to raise up to A$1.12m, a 15.4% discount to the last close. Morgans underwrites it, with the chairman and two directors sub-underwriting. It follows cash falling to A$1.7m.
22 July 2014capital raising announcement● Neutral
Offer booklet for the 1-for-1 entitlement offer at A$0.011 per share to raise up to A$1.12m, opening 31 July and closing 18 August 2014. Text supplied is mainly legal and offer terms and adds nothing material beyond the 22 July announcement.
15 July 2014investor presentation● Neutral
July investor update showing cash down to A$1.7m and market cap A$1.2m at 30 June (share price 1.2 cents). Adds Coolangatta as a seventh project. Brice Bonner #1 is shown at 40 bopd and Bonner 1H at 35 bopd. Mostly repeats known facts.
27 June 2014director officer appointment● Neutral
Director David Mason, on the board since September 2011 and re-elected a month earlier, has retired. He stays as technical adviser through Wandoo. The board will not replace him, citing cost reduction.
30 May 2014investor presentation● Neutral
AGM presentation by the CEO repeating known facts: A$2.1m cash and market cap at 30 April, 2.17 mmboe 3P reserves, six projects with NPV estimate of A$31.2m-53.3m. Says Bonner 1H commerciality is still being evaluated, with 100% load recovery expected late May.
23 May 2014investor presentation● Neutral
Australian roadshow presentation. It shows cash and market capitalisation both at A$2.1m as at 30 April 2014, a share price of 2.0 cents, no debt, and 2.17 mmboe 3P reserves. It adds new projects (Angourie, Sunshine, Dunsborough) and an estimated NPV range of A$31.2m-53.3m.
28 Mar 2014annual report● Neutral
2013 annual report, the first as a standalone company. The chairman says the Bonner 1H technical issues are resolved and the Sundance claims settled. Focus for 2014 is finishing Bonner 1H testing and drilling Quintanilla 1H. Full financials are not shown in the excerpt.
26 Mar 2014material agreement● NeutralMajor
Talon settled Sundance's claims: US$300k of the roughly US$1.35m escrow goes to Sundance and about US$1.05m is released to Talon. Talon also assigns its Austin Chalk interest to Sundance and will help reallocate pre-demerger costs. This resolves the September 2013 dispute.
5 Feb 2014farm in farm out agreement▲ GoodMajor
Talon agreed a joint group with Terrace, Aschere and EFSE to drill the Quintanilla 1H Olmos well, with Talon operating at 10% of an estimated US$5.5m cost. Talon is paid about US$90k and keeps 50% of the surrounding acreage. Options could add about US$2m. Drilling is expected in the June 2014 quarter.
29 Jan 2014flow test result▲ GoodMajor
Bonner 1H, on a jet pump since November 2013, has lifted oil recovery from about 45 to 70 bopd, with about 60% of frac fluid recovered and 1,849 barrels of oil produced. These are early, preliminary results for the Roundhouse proof-of-concept well, in which Talon holds about 24%.
26 Sept 2013drilling progress report▲ Good
The operator has installed and cemented the 5-inch tie-back casing in Bonner 1H, resolving the repair step flagged on 9 September. Fracing of the remaining seven stages is now scheduled for the second half of October 2013. Talon holds about 24%.
13 Sept 2013half year report▼ Bad
Six months to 30 June 2013: loss of A$6.46m (2012: A$0.55m), mainly from A$3.63m of written-off exploration costs and a A$2.23m Hoskins #2 impairment. Revenue was A$303k and cash A$4.99m, down from the A$8.5m reported at 31 March.
12 Sept 2013material agreement● Neutral
Talon says it has strong grounds to challenge all of Sundance's claims and expects any liability to be well below the roughly US$1.5m in escrow. The claims could still affect the timing and amount of escrow funds released.
9 Sept 2013drilling progress report● Neutral
The operator has plugged the Bonner 1H well to isolate the four fracced stages and will run a new 5-inch casing string over the next few weeks before resuming fracing. Talon and the operator have started insurance claims; Talon holds about 24%.
9 Sept 2013material agreement▼ BadMajor
Sundance Energy has given notice of claims under the Texon merger agreement and the demerger deed. US$1.5m is held in escrow for such liabilities. Talon is assessing the claims; the amount claimed is not stated.
31 July 2013drilling progress report● Neutral
Update on the Bonner 1H incident: the injured workers had minor acid burns and returned to work. A blowout preventer is on the well, which is flowing a little water. The operator plans to mobilise a rig to try to restore casing integrity.
