Each one in plain English, with the numbers worked through for a shareholder.
6 June 2018capital raising announcement● NeutralMajor
Tlou raised A$2.5m via a placement of 24.75m shares at A$0.10, and launched a 1-for-6 entitlement offer of up to 54.9m shares at A$0.10 (up to A$5.5m), partly underwritten to A$1.37m. Funds go to production pod drilling in H2 2018 and core-holes.
What it means for a shareholder
24.8m new shares at A$0.100 to raise about A$2.5m. That's 7.0% dilution: every existing holder's slice gets 7.0% smaller. If you held A$1,000 of shares (10,000 at the issue price), your slice goes from 0.00304% to 0.00282% of the company. To keep it you'd need 751 more shares - about A$75 at the issue price.
Q2 2018 corporate presentation, citing the 20 February 2018 reserves and resources announcement as unchanged. Repeats known facts; no new information is visible in the text provided.
Project Montage slide pack repeating known facts: 100% of Lesedi and Mamba, 25-year Mining Licence, reserves (2P 41, 3P 427 BCF), and A$7.4m cash at 31 December 2017 with no debt. No new announcement content.
Half-year report to 31 December 2017. The managing director's letter recaps the 944% 2P reserve increase, the Mining Licence, over 18 months of Selemo gas production and the strategy of growing reserves and selling power to the grid. Financial figures are not visible.
SRK upgraded Lesedi and Mamba reserves to 2P 40.8 BCF (up 944% from 3.9) and 3P 426.6 BCF (up 63% from 261.1), as at 31 December 2017. Based on seismic and core-hole thickness data; gas analysis from the core-holes is not yet included.
Ministry said neither bid met compliance requirements, many of which only an operating producer could meet. Tlou believes the Ministry will amend the tender and will propose a separate smaller pilot project first. Follows the 13 February cancellation.
The Ministry cancelled the 100MW CBM power tender and asked for a re-tender between the same two bidders, Tlou and Sekaname. This sets back the September 2017 bid; Tlou will assess the re-tender before deciding whether to take part, and is pursuing other regional sales.
Two core-holes at Lesedi are complete; the Lower Morupule seam looks similar in thickness and quality to earlier holes. A third is planned at Mamba in early 2018. Desorption results are due Q1 2018 and may support reserve growth.
14 Dec 2017capital raising announcement▲ GoodMajor
The Botswana Stock Exchange listing was approved and trading began 13 December 2017. 21,153,845 shares were issued to African Alliance funds at P1.56 (about A$4.1m), resolving the conditional subscription. Issued capital is now 327,196,693 shares.
Seismic field acquisition (~250 km) is complete and processing continues. One of three planned core-holes is finished with samples sent for analysis. SRK interpretation report is expected early Q1 2018, so no reserve change yet.
21 Nov 2017capital raising announcement▲ GoodMajor
Tlou signed conditional deals with African Alliance-managed Botswana funds to subscribe about 21.2m shares at P1.56 (about A$0.20), raising P33m (about A$4.1m). It depends on a Botswana Stock Exchange listing expected mid-December 2017; funds would finish appraisal and begin first-phase development drilling.
What it means for a shareholder
21.2m new shares at about A$0.1934 to raise about A$4.1m. That's 6.5% dilution: every existing holder's slice gets 6.5% smaller. If you held A$1,000 of shares (5,171 at the issue price), your slice goes from 0.00169% to 0.00158% of the company. To keep it you'd need 359 more shares - about A$69 at the issue price.
Appendix 4G governance checklist for the year to 30 June 2017, pointing to pages 64-74 of the annual report. Administrative filing with no new operational or financial information.
Core-hole drilling began at Lesedi at a location picked from early seismic data, while the survey nears completion. Aims to confirm coal quality and gas content and support reserve growth. Development is planned for 2018, subject to the 100MW tender outcome.
AGM corporate presentation of 25 October 2017. Visible text is only disclaimers and a competent persons statement citing the 15 February 2017 reserves; no new information is visible.
Seismic survey started 8 October and is about 40% done, on time and on budget, with data quality described as excellent. It should run into November. Results will be used by SRK to try to expand reserves; no reserve change yet.
Tlou announced that work had started on the planned 250 km 2D seismic program over Lesedi and Mamba, run by Velseis. It aims to find areas to add gas reserves and to site core wells; no results were given.
21 Sept 2017regulatory community update▲ GoodMajor
Tlou lodged its response to the up-to-100MW CBM power tender, starting with up to 10MW, before the 20 September deadline. Only two companies bid and no decision date is known. All five Mamba licences were renewed to 30 June 2019, resolving the earlier three-month extension.
Annual report for the year to 30 June 2017. The visible text is the chairman's letter recapping the Mining Licence, the 100MW tender response, the IPC partnership and the 3.9 BCF 2P and 261 BCF 3P reserves. Financial statements are not visible.
Mining Licence terms confirmed: 25 years from 21 August 2017 to 2042, about 900 km2, fee about US$9,000 a year, 3% royalty, no minimum spend. Government chose not to take a shareholding. Follows the 21 August award announcement.
The Ministry extended the 100MW CBM power tender deadline again, from 23 August to 20 September 2017. Tlou was one of two groups to receive the RFP; its response is complete. Bid evaluation is pushed back, and Tlou turns to the seismic survey and core wells.
Botswana granted Tlou a Mining Licence over about 900 km2 at Lesedi (the old PL002/2004), the first CBM mining licence of its kind there. It follows the July application, gives security of tenure and moves the project from appraisal toward development. Mamba licences extended three months pending renewal.
July 2017 corporate presentation for the Noosa Mining Conference. Visible text is only disclaimers and a competent persons statement citing the 15 February 2017 reserves; no new information is visible.
Botswana's Ministry confirmed the closing date for the up-to-100MW CBM power tender is extended from 12 July to 23 August 2017, as some supporting documents are not yet released. This settles the date left open on 3 July.
Tlou lodged a mining licence application for Lesedi, which it describes as the first of its kind in Botswana; a licence is needed to sell gas. The Ministry will extend the 12 July tender closing date, with no new date yet.
Hugh Swire, a London-based investor and shareholder since 2009, joined the board as non-executive director. He and his spouse hold 3,064,366 shares (1.01%).
Tlou generated its first power from its own coal bed methane gas, using a 60 kVA gas generator at the Selemo pilot to replace a diesel unit. Expected to cut diesel use by about 50,000 litres a year; a second unit is planned. A small proof of concept.
Tlou appointed Velseis for a fully funded 250 km 2D seismic survey over Lesedi and Mamba, due to start Q3 2017. It follows the earlier need for seismic and aims to expand gas reserves and guide coring wells. Tender proposal still due July 2017.
May 2017 corporate presentation. Visible text is only disclaimers and a competent persons statement referring to the 12 October 2016 reserves release; no new information is visible.
