Past year: ▲ 35%(6.17 – 8.62 AUD)
Each one in plain English, with the numbers worked through for a shareholder.
23 Dec 2011debt financing▲ GoodMajor
Santos secured US$1.2bn of export-credit-agency-backed corporate debt facilities, averaging eight-year maturities, to fund the GLNG construction period. It says total funding capacity, including cash and committed facilities, exceeds A$7bn. Drawdown conditions are expected to be met by January 2012.
21 Dec 2011production update● Neutral
Cue reports Wortel-4 is completed and Wortel-3 is being drilled, with first gas now expected by end-January 2012, within the US$105.1m budget. Slips from the earlier late-December/early-January target for Santos's 45%-operated Sampang project.
6 Dec 2011production update▲ GoodMajor
First gas from Reindeer/Devil Creek flowed into the Dampier-Bunbury pipeline, with the plant initially ramping to 120 TJ/day sales. Santos (45%, Apache operator) calls it the third of four year-end start-ups, on schedule and budget.
1 Dec 2011joint venture update▼ Bad
Operator ExxonMobil raised PNG LNG's estimated capital cost by US$0.7bn to US$15.7bn due to the stronger Australian dollar; Santos's 13.5% share is about US$100m. First LNG remains on schedule for 2014.
30 Nov 2011investor presentation● Neutral
Asian roadshow slides in Singapore and Hong Kong repeat known strategy: 80-90 mmboe by 2020, oil-linked pricing, 2012 production guidance of 51-55 mmboe, and a stated A$6.2bn funding capacity at 30 September. No new results.
28 Nov 2011material agreement● Neutral
Drillsearch signed a gas sale agreement with the South Australian Cooper Basin JV (Santos 66.6%) to buy raw wet gas from its Middleton and Brownlow discoveries, interruptible to April 2013. Santos's Cooper group gains third-party gas supply; the deal is Drillsearch's story.
23 Nov 2011drilling scheduled● Neutral
Octanex says the Winchester 3D survey (720 km²) over WA-323-P/330-P finished without incident, meeting year-1 work obligations; processing is due by end Q2 2012. Winchester well on the Ensco 109 remains scheduled for Q3 2012; Santos holds 75% and funds it.
22 Nov 2011production update▲ Good
Beach says the Santos-operated Tantanna-Gidgealpa pipeline in the Cooper Basin is back online, flowing about 5,500 bopd, over two months ahead of Beach's expectations. Restores oil export route for Western Flank producers; minor for Santos.
21 Nov 2011other● Neutral
ERM Power says its Wellington power station and Young-Wellington pipeline, which have development approval, are unaffected by Santos withdrawing ESG's Narrabri-Wellington pipeline application. Third-party clarification; no new Santos information.
17 Nov 2011business combination▲ GoodMajor
The Eastern Star Gas scheme was implemented: ESG holders receive 0.06881 Santos shares per ESG share. Santos executives replace ESG's directors, and ESG has applied for delisting, expected 21 November. Santos now owns the Gunnedah/Narrabri CSG assets.
17 Nov 2011business combination▲ GoodMajor
Santos completed the Eastern Star Gas acquisition, owning and operating 80% of its CSG permits (TRUenergy takes 20%), lifting NSW reserves to 1,216 PJ 2P. It withdrew ESG's Narrabri-Wellington pipeline application and plans about A$500m of exploration, including 15 pilot wells, over the next year.
10 Nov 2011investor presentation● Neutral
Investor seminar part B covers GLNG: first LNG 2015 on schedule from the US$16bn project, bulk earthworks 35% complete, 9 Tcf of dedicated reserves and resources. Largely repeats known progress.
10 Nov 2011investor presentation● Neutral
Investor seminar part A sets out strategy, claiming production growth to 80-90 mmboe by 2020 from producing, sanctioned and likely-sanction projects alone. Lists upside such as Zola, Winchester and Cooper shale. Management projection, not a new result.
4 Nov 2011production update▲ Good
Partner Cue says the Sampang PSC Wortel gas development (Santos 45% operator) is on schedule and budget at US$105.1m, with first gas likely late December 2011 or early January 2012. Production should rise to about 90 MMscf/d gas and 3,500 bopd.
3 Nov 2011investor presentation● Neutral
David Knox's Brisbane address on Queensland coal seam gas and Asian LNG demand. Restates the LNG portfolio and GLNG first cargo in 2015 and Bonaparte LNG construction from 2014. Strategy speech with no new results.
3 Nov 2011investor presentation● Neutral
GLNG investor tour presentation repeats known facts: US$16bn project, 7.8 mtpa, first LNG 2015 on schedule. Notes 383 wells drilled, about 520 landholder agreements and over 100 km of line-pipe made. Progress update only; no new decisions.
2 Nov 2011drilling progress report● Neutral
Beach's October report is mostly its own wells. In Santos-operated Cooper Basin work, Moomba-188 and -190 were cased as gas producers, Coonaberry-3 was spudded in Queensland, and Munro-6 and -7 were cased as oil producers. Continues routine Cooper development drilling.
31 Oct 2011investor presentation● Neutral
Conference speech by James Baulderstone argues eastern Australian gas demand will triple in ten years and domestic prices will rise to A$6-9/GJ from about A$4. Santos cites over 10,000 PJ of east coast reserves. Repeats known strategy; no new results.
28 Oct 2011asset acquisition disposition▲ GoodMajor
Santos agreed to sell its entire 40% operated interest in Evans Shoal (NT/P 48) for up to US$350m: US$250m cash at completion plus up to US$100m contingent on a positive FID and reserves. Buyer is unnamed; completion targeted by end-2011. This follows the terminated Magellan sale.
20 Oct 2011drilling scheduled▲ Good
Partner Octanex says Santos has contracted a 675 km² Winchester 3D seismic survey over WA-323-P and WA-330-P, starting as early as 21 October. The Ensco 109 rig is secured to drill the Winchester well in Q3 2012; Santos holds 75% and pays 100% of costs.
20 Oct 2011quarterly activities report▲ Good
September quarter production was 12.7 mmboe (+7% on the June quarter) and revenue A$680m (+13%), as Cooper Basin recovered from weather. 2011 production guidance of 47-50 mmboe is held; royalty-related tax guidance rises to A$100-120m on higher oil prices.
14 Oct 2011business combination● Neutral
ESG's chairman urges shareholders to vote for the Santos scheme on 28 October. At Santos's A$12.80 close the offer is worth about A$0.88 per ESG share (ratio lifted to 0.06881 after Santos's dividend). Directors unanimously recommend it, absent a superior proposal.
10 Oct 2011resource reserve update▲ GoodMajor
Partner Tap Oil reports an independent estimate for Zola, the WA-290-P gas discovery in which Santos holds 24.75%: 378 Bcf contingent resource and 2.3 Tcf prospective in the wider structure. Follows the Zola-1 discovery; a new 3D seismic survey is being processed, with drilling late 2012.
10 Oct 2011production update▲ GoodMajor
First oil flowed from Chim Sáo in Vietnam (Santos 31.875%, Premier Oil operator), on schedule and under budget, from six wells with a plateau of about 25,000 barrels a day gross. It is the second of four 2011 start-ups, after Halyard/Spar.
5 Oct 2011drilling progress report▲ Good
Beach's September report is mostly its own wells. In the Santos-operated SA Cooper Basin, Hackett-2, Nephrite South-9 and Dilchee-4 were cased as future Patchawarra gas producers, as planned. Continues Cooper gas development drilling.
30 Sept 2011capital raising announcement● Neutral
Santos issued 4,962,955 shares at A$11.3241 to dividend reinvestment participants and 6,498,096 shares at A$11.6145 to the underwriter for the 15c interim dividend. Administrative close-out of the dividend reinvestment plan.
What it means for a shareholder
5.0m new shares at A$11.32 to raise about A$56.2m. That's 0.562% dilution: every existing holder's slice gets 0.562% smaller. If you held A$1,000 of shares (88 at the issue price), your slice goes from 0.0000101% to 0.00001% of the company. To keep it you'd need 0 more shares - about A$0 at the issue price.
Create a free account to see this worked out for your own holding.
29 Sept 2011other● Neutral
Administrative Appendix 3B asking for quotation of 378 shares from the end of the restriction period under the ShareMatch employee plan. Negligible.
26 Sept 2011farm in farm out agreement● NeutralMajor
Carbon Minerals says it agreed with Santos to transfer a further 40% of Gunnedah Basin PELs 1 and 12 for A$15m, taking Santos to 65% and Carbon Minerals to 35%. A new work program runs to June 2013. A partner announcement, not Santos's.
26 Sept 2011investor presentation▲ Good
Moomba investor-trip briefing argues east coast gas demand will triple by 2020 and prices will rise toward oil-linked parity of about A$6-9/GJ. Cooper Basin targets about 1,000 PJ of extra 2P reserves by 2015. Strategy messaging, no new results.
23 Sept 2011business combination● Neutral
ESG's scheme booklet for the Santos takeover is released, with directors unanimously recommending a yes vote and the independent expert (Grant Samuel) finding it in shareholders' best interests absent a superior proposal. Detail is summarised in the companion release.
