Dart Energy Limited. Quarterly Report

Transcription

1 Dart Energy Limited Quarterly Reprt fr the Quarter ended 30 September 2013

2 HIGHLIGHTS Implementatin f crprate restructure near cmplete. Pririties have been reset with a near-term fcus n the Cmpany s U.K. business, shale in particular. The number f internatinal prjects is being reduced, t thse cnsidered material and with minimal hlding cst, prviding lng-term ptin value in the prtfli. Several initiatives were successfully cmpleted, t secure additinal cash resurces f apprximately $46 millin, including: Cmpleted the previusly annunced sale f Dart FLG Pty Ltd (Liulin asset in China) and received in ttal US$20.22 millin (apprximately A$22.2 millin) in cash; Divestment f certain ther nn-cre assets in the U.K. as well as all shares held in LNG Limited fr ttal cnsideratin f apprximately A$3.4 millin; Successful capital raising f apprximately A$20.7 millin via a placement (A$11.9 millin) and a nn-renunceable entitlement ffer (A$8.8 millin). The placement was cmpleted n 13 September 2013 and the entitlement ffer (versubscribed) cmpleted n 9 Octber 2013; and Of the prceeds frm these initiatives, apprximately $18.3 millin has been used t cash-back brrwings under the Cmpany s HSBC Facility, such that the Cmpany is effectively debt-free. In Octber 2013, the Cmpany entered int a farm-ut agreement with GDF Suez E&P UK fr a 25% interest in thirteen f the Cmpany s assets in the U.K. Upn cmpletin, GDF Suez E&P UK will pay the Cmpany US$12 millin cash cnsideratin and in additin, will carry Dart Energy in a substantial CBM and shale wrk prgram, funding US$27 millin f the Cmpany s cst. ACTIVITY DURING THE QUARTER UK. Prjects Prject Highlights UNITED KINGDOM SHALE East Bwland Shale (England) GDF Suez E&P UK farm-in Onging gelgical studies West Bwland Shale (England) UNITED KINGDOM CSG Airth, PEDL 133 (Sctland) GDF Suez E&P UK farm-in Discussins nging fr certain ther licences Onging gelgical studies Planning appeal prcess nging All peratins suspended pending planning appeal utcme Directins hearing expected during 4Q2013 Slway, PEDL 159 (Sctland/England) Other CSG (England) Wrk cntinues with landwners t finalise a prgram f wrk Preparatin wrk fr explratin and appraisal prgram including identificatin f drilling lcatins and securing key cntractrs Expect t cmmence this prgram by end f 2013 Quarterly Reprt, Quarter Ended Page 2

3 Internatinal Prjects Prject Highlights CHINA Xiushan (Shale) PSC apprval expected within 2013 INDONESIA Suth Sumatra (CSG) Preparatins fr the drilling, simulatin and testing wrk prgram Field peratins scheduled t resume in early 2014 AUSTRALIA NSW (CSG) N significant activity was undertaken during the quarter Sale f PEL 461 in Octber 2013 (subject t regulatry apprvals) Nn-Cre Assets / Others Liulin CSG Prject, Shanxi, China: The previusly annunced sale f Dart FLG Pte Ltd was cmpleted. The Cmpany received ttal cash cnsideratin f US$20.2 millin (apprximately A$22.2 millin) frm this sale, net f cmpletin adjustments. Eurpe: n significant activity was undertaken during the quarter at the Cmpany s prjects in Germany and Belgium. The cmpany cmpleted its exit frm Pland, by clsure f its ffices and relinquishment f licences. Indnesia, East Kalimantan (Sangatta West and Bntang Bengaln CSG prjects): n significant field activity was undertaken during the quarter. A frmal prcess t seek farm-ut / JV r divestment pprtunities fr these assets cntinued. India: Satpura CSG cmmitment wrk prgram cmpleted, preparatin fr relinquishment was prgressed. The Cmpany cntinues t prvide services t Tata Steel n a fee basis, which included setting up fr prductin mnitring peratins in three f Tata s degassing wells. A frmal prcess t seek farm-ut / JV r divestment pprtunities fr the Indian business cntinued. Crprate Activity A$20.7 millin capital raising was successfully cmpleted. The capital raising cmprised a placement t raise apprximately A$11.9 millin which cmpleted n 13 September 2013; at the placement price f A$0.09, apprximately millin new rdinary shares in the Cmpany were issued; and a nn-renunceable entitlement ffer t raise apprximately A$8.8 millin which cmpleted n 9 Octber 2013; at the entitlement ffer price f A$0.09, apprximately 97.6 millin new rdinary shares in the Cmpany were issued. Bth the placement and the entitlement ffer were significantly versubscribed. The Cmpany sld all shares held in LNG Limited, a cmpany listed n the ASX, via a series f nmarket transactins fr aggregate cnsideratin f A$2.7 millin. The Cmpany als sld certain nn-cre assets in the U.K. fr a cash cnsideratin f apprximately A$0.7 millin. In additin, subsequent t the quarter end, the Cmpany sld its interest in a licence in NSW, Australia (PEL 461), subject t regulatry apprvals, fr a cnsideratin f A$0.25 millin and ptentially a further A$0.25 millin cntingent upn certain prductin milestnes r grant f a Petrleum Prductin Licence ver PEL 461 area in future. Quarterly Reprt, Quarter Ended Page 3

4 The frmal prcess t seek partnership, strategic c-peratin and farm-ut pprtunities in respect f sme f the Cmpany s prjects, including in particular the Cmpany s shale assets in the U.K. cntinued. Subsequent t the quarter end, the Cmpany entered int a farm-ut agreement relating t a 25% nn-perating wrking interest in thirteen f its U.K. licences with GDF Suez E&P UK Ltd ( GDF Suez ). Upn cmpletin, GDF Suez will pay Dart Energy a cnsideratin f US$12 millin and in additin, will fund Dart Energy s share f wrk prgram csts f up t US$27 millin. Dart will remain peratr f all licences. Further details are set ut in the Cmpany s annuncement released n the ASX n 22 Octber FINANCIAL & HSE&S INFORMATION Health, Safety, Envirnmental & Security Perfrmance Dart Energy recgnises that perating in multiple lcatins in multiple cuntries requires stringent health, safety, envirnmental and security ( HSE&S ) management. Drilling activity cntinues t take place and Dart Energy maintains a cnstant fcus n keeping ur HSE&S management system up t date with best in class internatinal practices and cmmunicates these HSE&S principles acrss the Cmpany. There were n reprtable HSE incidents during the last quarter. Financial Psitin The Cmpany s cash psitin at the end f the quarter was A$41.4 millin. This included A$5.8 millin n depsit in supprt f cash-backed guarantees and apprximately A$18.3 millin in a restricted accunt maintained with HSBC as cash-backing f the funds previusly brrwed under the Cmpany s debt facility (the Facility ) and applied twards develpment f the Airth prject at PEDL133, UK. The Facility is thus fully cash-backed such that the Cmpany is in effect debt-free. Subsequent t the end f the quarter, the Cmpany secured an additinal A$8.8 millin in additinal funding frm successful cmpletin f an entitlement issue. The Cmpany s available cash at the end f the quarter was thus A$17.3 millin (excluding A$8.8 millin prceeds frm the entitlement issue received after the quarter end). Inclusive f the entitlement issue prceeds, and assuming cmpletin f the farm-in with GDF SUEX E&P UK, the Cmpany s available cash balance will be apprximately A$39 millin. Explratin Expenditure Dart Energy's explratin expenditure fr the perid was A$4 millin. Refer t the Appendix 5B reprt fr further details f cash uses during the quarter. Crprate Infrmatin As at 30 September 2013, Dart Energy had 14,981 sharehlders and the share capital psitin was as fllws: Categry ASX Cde Number n Issue Issued Ordinary Shares DTE 1,010,608,214 Unlisted Optins 70,077,866 Share data during the quarter under review is as fllws: On 30 September 2013, Dart Energy securities clsed at a price f $0.135 per share The highest traded price f Dart Energy securities in the quarter was $0.16 per share (23, 26 and 27 September 2013), the lwest traded price was $0.073 per share (1 July 2013) Average daily vlume f Dart Energy securities was apprximately 4.7 millin shares Quarterly Reprt, Quarter Ended Page 4

5 DIRECTORY Directrs Cmpany Secretary Management Principal Registered Office in Australia Nichlas Davies Nn-Executive Chairman Stephen Bizzell Nn-Executive Directr Shaun Sctt Nn-Executive Directr Simn Pidevin OAM Nn-Executive Directr Nrman Stanley Nn-Executive Directr Paul Marshall Jhn McGldrick Chief Executive Officer Eytan Uliel Chief Financial Officer Justin Walta Chief Operating Officer Level 9, Waterfrnt Place, 1 Eagle Street Brisbane, Queensland 4000, Australia Telephne: Facsimile: Pstal Address: GPO Bx 3120 Brisbane, Queensland 4001, Australia Head Office 152 Beach Rad #19-03/04 The Gateway East, Singapre Telephne: Facsimile: Share Registry Link Market Services Lcked Bag 14 Sydney Suth NSW 1235, Australia Telephne Facsimile: Auditr Stck Exchange Listing Website Address PricewaterhuseCpers Riverside Centre, 123 Eagle Street Brisbane, Queensland 4000, Australia Australian Securities Exchange ASX Cde: DTE ABN Quarterly Reprt, Quarter Ended Page 5