Past year: ▲ 137%(11.0c – 36.0c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
20 Sept 2019director officer appointment● Neutral
Appendix 3Y notices: founders Dennis Donald and Duncan MacNiven each received 18m delayed reverse-takeover consideration shares, lifting holdings to about 141.6m each. They remain entitled to 145.2m consideration shares in total, issued in tranches.
16 Sept 2019drilling progress report● Neutral
Strike has run and cemented the final 5-1/2in casing at 5,090m, securing the Kingia and High Cliff discoveries. It will perforate the Kingia, run the completion, then flow test. Strike expects the Kingia alone to limit flow rate; High Cliff and Wagina tests come later.
16 Sept 2019capital raising announcement▲ GoodMajor
Warrego completes a $12m institutional placement at 29c per share (41.4m shares), a 4.9% discount to the last close. Funds go to EP469 appraisal, Spain, EPA-0127 and working capital. Follows the Aug cash query that flagged the need to raise capital.
11 Sept 2019resource reserve update▲ GoodMajor
Strike upgrades the Kingia discovery: net pay rises to 58m from 41m, with pressure of 6,814-6,828 psia and permeability of 102mD. Pressure suggests a 220m gas column. Contingent resource booking depends on a Kingia flow test within weeks. High Cliff pressure testing was hampered by hole washout.
11 Sept 2019investor presentation● Neutral
Conference presentation by David Casey repeats known facts: company history, Perth Basin context, and the Wagina, Kingia and High Cliff discoveries. Shows 631m shares and ~$7.3m cash at the June quarter. No new results.
11 Sept 2019resource reserve update▲ Good
Warrego relays Strike's Kingia upgrade (net pay 58m, up from 41m; permeability 102mD; 220m gas column implied) and attaches the operator's statement. Adds that early planning has begun for more seismic and appraisal wells. No resource estimate yet.
6 Sept 2019drilling result▲ Good
Warrego's release of the High Cliff discovery: 22m gross gas, 10m net pay, porosity up to 16%, well at 5,100m total depth. This is its third discovery in the well, after Wagina and Kingia. Repeats Strike's announcement; resource certification awaits further analysis.
6 Sept 2019drilling result▲ GoodMajor
Strike reports a High Cliff gas discovery at West Erregulla-2: at least 22m gross gas, 10m net pay, 10.3% average porosity, no gas-water contact. Drilling finished at 5,100m, completing the Wagina, Kingia and High Cliff 'trifecta'. Resource booking awaits flow testing.
2 Sept 2019drilling progress report▲ Good
Strike says West Erregulla-2 intercepted the High Cliff sandstone at 4,928m, with drilling breaks and elevated gas. At 5,017m it is the deepest onshore well in Australia. Drilling continues to the Holmwood Shale, then wireline logging. No log results yet.
30 Aug 2019investor presentation● Neutral
Roadshow presentation repeats known facts: Wagina and Kingia discoveries, High Cliff still to be reached, cash ~$7.3m, 631m shares, no debt. Adds a possible Tesorillo appraisal well planned for 2020. No new results.
27 Aug 2019drilling result▲ Good
Warrego's own release of the Kingia gas discovery at West Erregulla-2: at least 97m gross gas column, 41m net pay, 14.3% average porosity, no gas-water contact. Repeats Strike's 27 August announcement; no resource booked until flow testing. Drilling continues toward the High Cliff.
27 Aug 2019admin correction● Neutral
Re-release of Strike's Kingia gas discovery announcement, identical in content to the earlier version apart from the 'LEAVE' marker in the title. No new information.
27 Aug 2019drilling result▲ GoodMajor
Strike reports a Kingia gas discovery at West Erregulla-2: at least 97m gross gas column, 41m net pay, average 14.3% porosity with peaks of 19%, and no gas-water contact. This is the primary target Warrego's story hinged on. Drilling continues toward the High Cliff.
23 Aug 2019drilling progress report▲ Good
West Erregulla-2 is interpreted to have entered the Kingia sandstone at 4,761m, with drilling breaks, elevated gas and chlorite-coated clean sands seen in cuttings. Strike thinks it is about halfway through the formation. The bit is being changed; no log results yet.
22 Aug 2019listing compliance notice● Neutral
ASX queried Warrego's June quarter report: cash $7.307m, operating outflow $2.491m, and $5.13m forecast outflow next quarter. Warrego says it expects to keep raising capital, citing the EGM approval to issue up to 100m shares and $300,000 from Columbus, and says it complies with listing rules.
19 Aug 2019drilling progress report● Neutral
West Erregulla-2 has drilled the final production hole to 4,650m, with sandy shale seen just before the Kingia. The rig is in short maintenance, then will run logging-while-drilling tools to protect data quality through the Kingia. No new result.
15 Aug 2019investor presentation● Neutral
EGM presentation repeats known facts: board profiles, the Waitsia analogy, the Wagina gas discovery and the Kingia-High Cliff 'main prize' with 916 BCF P50 gross pre-drill estimate. No new results.
12 Aug 2019resource reserve update▲ Good
Strike upgrades its Wagina interpretation to at least 10.2m net reservoir (porosity up to 14%), with the gross gas column expected to reach 79m. Reservoir pressure exceeds 6,800 psia, and Strike compares it to Beharra Springs fields. No resource is booked until a flow test.
7 Aug 2019drilling progress report● Neutral
West Erregulla-2 has the 8-5/8in liner cemented at 4,226m, finishing the second intermediate section. Strike will run a cement bond log, then drill the final 6-3/4in hole toward 5,200m and the primary Kingia and High Cliff targets. No new result.
5 Aug 2019drilling result▲ Good
Warrego welcomes the Wagina gas discovery (74m gross, ~14% porosity) as a good sign for the deeper primary Kingia-High Cliff target, which it expects to reach by end August. The Wagina will be cased and cemented for possible future flow testing. Largely repeats Strike's results.
1 Aug 2019admin correction● Neutral
Strike corrected one highlight bullet in its Wagina discovery announcement, changing 'yet to encounter gas wet sands' to 'water wet sands'. No change to results.
1 Aug 2019drilling result▲ GoodMajor
Strike reports a significant gas discovery in the Wagina sandstone at West Erregulla-2: about 74m gross, 2.5m confirmed net pay, 14.2% porosity. Poor hole condition stopped pressure and sample collection. Contingent resource booking awaits a future flow test. Confirms the 24 July gas flow.
30 July 2019listing compliance notice● NeutralMajor
ASX paused trading in Warrego shares pending a further announcement. No reason is given in the notice. The timing is just after the latest West Erregulla-2 update; any link is an inference.
29 July 2019drilling progress report▲ Good
West Erregulla-2 reached 4,229m with continuous strong gas shows in the Wagina sands. Wireline logging of the section, taking 24 to 48 hours, is about to begin. The primary Kingia High Cliff target is still undrilled.
24 July 2019drilling result▲ GoodMajor
West Erregulla-2 hit the Wagina sandstone at 4,102m, with high-pressure gas (over 98% methane) flowing to surface strongly enough to light the rig flare. Strike says this matches pre-drill modelling, but flow rates and porosity await logging. This is a secondary target.
17 July 2019admin correction● Neutral
Warrego clarifies that alignment options from the placement went to brokers and consultants nominated by Bridge Street Capital, not to Bridge Street or ex-director Alex Sundich. Bridge Street, a related party, was paid a separate fee based on funds raised.
16 July 2019drilling progress report▼ Bad
West Erregulla-2 reached 3,617m, but drilling through the Kockatea shale has been significantly slower than expected, needing numerous bit changes. Strike expects progress to improve once through it, with Wagina sandstone next.
5 July 2019drilling progress report▲ Good
West Erregulla-2 is at 3,371m in the second intermediate section, with good hydrocarbon shows in the Lesueur and Woodada formations. Strike says these look markedly better than in the nearby West Erregulla-1 well. Wireline logging is planned; this is not a test result.
4 July 2019other● Neutral
Appendix 3Ys show Donald and MacNiven each received a further 1.75m delayed takeover consideration shares on 4 July. Each now holds about 123.6m including associates. Further tranche of the takeover consideration; administrative.
4 July 2019capital raising announcement▲ GoodMajor
The raising is complete at $6.61m in total: the $6.1m placement plus $510,000 from the share purchase plan, all at 9.5c. The SPP raised about half of the $1m targeted. Funds go to West Erregulla-2 and next steps.
