31 Mar 2021annual report● Neutral
Appendix 4G governance checklist lodged with the annual report. Administrative, no substance.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
29 Mar 2021drilling progress report▲ Good
Borba 1-7 records another gas peak of 68 units (14 times background) near 8,600 feet, with the Lower Guinda said to look better than the Dempsey 1-15 interval. Drilling slowed by clay-rich rock; total depth about 9,700 feet.
26 Mar 2021asset acquisition disposition● Neutral
Co-owner Sacgasco reports it closed its 30% of Red Earth, producing about 1,070 BOEPD gross. Confirms the joint venture deal Xstate also holds 25% of, with Blue Sky 45% and operator. No new Xstate-specific information.
26 Mar 2021asset acquisition disposition▲ GoodMajor
Xstate settles its 25% purchase of the Red Earth oil fields, completing the deal agreed in November 2020 and extended in March. Fields produced 1,070 BOEPD gross at closing, 268 BOEPD net to Xstate.
22 Mar 2021asset acquisition disposition▲ GoodMajor
Xstate buys a further 10% of the Red Earth oil fields for CAD$700,000 plus A$150,000 of shares (10.1m at 1.48c, subject to shareholder approval), lifting its stake to 25%. Adds about 100 bopd net; closing expected by end of March 2021.
19 Mar 2021drilling progress report▲ Good
Borba 1-7 meets its best gas shows yet: a 385-unit peak (39 times background) over 30 metres of Lower Guinda sandstone, with ethane appearing for the first time. Shows are not flow results; logs come at total depth.
17 Mar 2021drilling progress report● Neutral
Borba 1-7 meets a gas peak of 12 units over a 2-unit background in the second target, the Guinda sandstone, at 1,726 metres, with 7 metres of reservoir so far. Higher mud weight may be suppressing shows. Logs will come at total depth.
15 Mar 2021drilling result▲ Good
Operator Sacgasco reports the same Borba 1-7 Kione result in feet: 92 feet of net gas pay, with another 45 feet possible. Pay is to be flow tested after drilling finishes. Confirms the Xstate announcement; no new result.
15 Mar 2021drilling result▲ GoodMajor
Logs confirm a gas discovery at Borba 1-7: 28 metres of net gas pay in the Kione sandstone, plus 14 metres of possible pay, with 14-27% porosity. It is cased and awaits later flow testing. This confirms the earlier gas shows; the deeper Guinda target is next.
11 Mar 2021listing compliance notice● Neutral
ASX pauses trading in Xstate pending a further announcement. Administrative notice; the gas pay result followed on 15 March.
8 Mar 2021drilling progress report▲ Good
Borba 1-7 hits gas shows in the first target (Kione sands), peaking at 65 units over a 5-unit background. The company calls it promising but says the significance needs log analysis. Drilling continues below 4,737 feet.
1 Mar 2021drilling progress report● Neutral
Borba 1-7 has 13 3/8 inch casing cemented at 1,828 feet as planned. Drilling will continue toward the first gas objective this week. No new result.
23 Feb 2021drilling spud▲ GoodMajor
Borba 1-7 spudded on 21-22 February 2021, ending the long delay since 2018 plans. Drilling ahead at 262 feet toward 13 3/8 inch casing at about 1,800 feet. Xstate pays 37.5% of costs for a 33.33% interest. Well expected to take 25-35 days.
17 Feb 2021listing compliance notice● Neutral
Xstate's shares are suspended at its request pending an announcement on a Borba 1-7 resource report. Administrative notice.
17 Feb 2021resource reserve update▲ GoodMajor
Independent report (ERCE) gives Borba a mean unrisked prospective gas resource of 141 Bcf gross, 38 Bcf net to Xstate, with a 70% chance of finding at least one gas zone. These are undrilled prospect estimates, not discovered gas. Spud is expected this week.
17 Feb 2021admin correction● Neutral
Administrative cleansing notice: 5m shares were issued on 16 February 2021 on conversion of options. No new information.
17 Feb 2021listing compliance notice● Neutral
Administrative notice: Xstate's suspension is lifted immediately after the Borba resource report was released.
11 Feb 2021admin correction● Neutral
Administrative cleansing notice: 500,000,125 placement shares were issued on 11 February 2021, plus 10m shares from option conversions. No new information beyond the earlier raising.
10 Feb 2021drilling scheduled▲ Good
Drilling contract signed and Graham Rig 5 mobilised to Borba 1-7, with spud expected within a week. The well will test gas targets between 3,200 and 9,500 feet, taking 25-35 days. Xstate pays 37.5% of costs for 33.33% after drilling.
10 Feb 2021drilling scheduled● Neutral
Operator Sacgasco's version of the rig mobilisation: Rig 5 is on its way to Borba 1-7, with spud within a week and 25-35 days of drilling. Repeats the Xstate announcement and interests; adds nothing new for Xstate.
9 Feb 2021asset acquisition disposition▲ GoodMajor
Xstate closes the 10% Alberta Plains oil asset purchase announced on 28 January. Current output is about 100 bopd, with reactivation aiming for 500 bopd gross. Xstate has paid its AUD$85,000 share of reactivation costs to the operator.
3 Feb 2021capital raising announcement▲ GoodMajor
Xstate raises $4m via a 500m-share placement at 0.8c, to fund Borba drilling and working capital. It also earns a further 9.33% of Borba by paying 13.5% more of the well cost, lifting its interest from 24% to 33.33%. The 10% Alberta deal's vendor purchase has completed.
3 Feb 2021capital raising announcement● Neutral
Operator Sacgasco raises $5m at 6.5c and assigns 9.33% of Borba to Xstate, leaving Sacgasco about 67% and Xstate 33.33%. Sacgasco funds about 62.5% of the Borba well cost. Mirrors Xstate's own raising and farm-in.
28 Jan 2021asset acquisition disposition▲ GoodMajor
Xstate agrees to buy a 10% interest in southern Alberta oil fields (about 50 bopd net) for CAD$250,000 cash plus 10.9m shares at 0.64c. Proved reserves net to Xstate are 366,560 BOE. Adds to Red Earth, taking Alberta to about 200 bopd net. Closing is due by 10 March.
28 Jan 2021listing compliance notice● Neutral
Administrative notice: ASX lifts Xstate's trading suspension from 29 January 2021 after the acquisition announcement. No new information.
27 Jan 2021listing compliance notice● Neutral
Xstate's shares are suspended at its request pending an announcement on a material acquisition, expected by 29 January 2021. The company cites delays in obtaining reserve estimate detail. No terms are given.
21 Dec 2020drilling progress report● Neutral
Sacgasco reports Borba 1-7 conductor and cellar installed, with drilling to start in late January 2021, so the 2020 target is missed. A farmout is in final negotiation, and Sacgasco expects to keep at least 51%. Xstate holds 24%.
1 Dec 2020admin correction● Neutral
Administrative notice that the 362m placement shares were issued to sophisticated investors on 30 November 2020. No new information.
20 Nov 2020listing compliance notice● Neutral
Trading in Xstate shares resumes after the Red Earth acquisition and capital raising were announced. Administrative notice.
20 Nov 2020asset acquisition disposition▲ GoodMajor
Xstate buys a 15% interest in the Red Earth oil fields in Alberta (about 150 barrels a day net) for CAD$300,000 plus 58.3m shares at 0.3c. 1P reserves are 0.66m barrels net. A 362m-share placement at 0.25c raises $905,000. Sacgasco holds 30%.