Past year: ▲ 35%(6.17 – 8.62 AUD)
Each one in plain English, with the numbers worked through for a shareholder.
15 Feb 2007admin correction● Neutral
QGC replaced its earlier response to Santos's improved offer. The Santos investment in New QGC is corrected to about $40m, and wording now says the terms initially appear superior to AGL's. Board still recommends AGL.
14 Feb 2007drilling progress report● Neutral
Third-party Beach weekly report: Dullingari-58 (Santos 67%) was cased and suspended after a test recovered 5 barrels of oil. Coonaberry-2 is at 116 m and Fly Lake 22 has stuck pipe. Tunkalilla-1 is a Beach-operated well, not Santos.
12 Feb 2007contract award▲ GoodMajor
Santos won two deepwater exploration blocks in India's Bay of Bengal (100% and operator, about 16,500 sq km), with an eight-year US$70m work program including one well. It is Santos's third new country entry since August 2005, after Kyrgyzstan and Vietnam.
9 Feb 2007drilling progress report▲ Good
Third-party Drillsearch update: at Tintaburra (Santos 89% operator), Mulberry 29 (about 10 m net oil pay) was cased as a producer and Endeavour 35 as a water injector. Mulberry 35 is next.
9 Feb 2007drilling result● NeutralMajor
Caldita-2 (NT/P61, Santos 40%) reached 3,973 m and confirmed gas in the western Caldita structure, with the gas-water contact confirmed. It was not flow-tested and was plugged as planned. 3D seismic is due by end of Q1 2008 before resources are assessed.
8 Feb 2007other● Neutral
Santos notice that its QGC takeover offer period expired on 7 February. Santos CSG holds 3.86% of QGC, and compulsory acquisition will not proceed. This confirms the $1.26 hostile bid has lapsed, as flagged earlier.
8 Feb 2007drilling result▲ Good
Third-party Magellan report: Thungo 13 (Nockatunga, Santos 61.006%) reached 1,138 m, found 8 m of net pay in the Murta, and was cased as a future oil producer. The rig moves to Muthero for four wells.
7 Feb 2007drilling progress report● Neutral
Third-party Beach weekly report: Coonaberry-2 (Santos 61%) and Moorari 12 (Santos 67%) remain suspended; Dullingari-58 is logging at 1,822 m; Fly Lake 22 is drilling at 649 m. No results.
1 Feb 2007drilling progress report● Neutral
Magellan reported that drilling at Thungo 13 (Nockatunga, Santos 61.006% operator), spudded 21 January, stayed suspended with no progress because widespread rain cut access to the site. Operations were expected to restart later that week once roads reopened.
1 Feb 2007drilling progress report● Neutral
Third-party Drillsearch update: at Tintaburra (Santos 89% operator), Endeavour 36 showed oil and will be cased as a future producer or water injector; Mulberry 29 spudded 30 January. Work resumed after rain.
31 Jan 2007other● Neutral
Third-party AGL release: AGL says comparing its QGC offer with Santos's 30 January proposal is without merit. It cites a binding agreement it intends to enforce and prior ACCC clearance. Competing bidder's response; no Santos action.
31 Jan 2007drilling progress report● Neutral
Third-party Beach weekly report: Wilpinnie-4 (Santos 33%) is cased and suspended at 1,587 m. Coonaberry-2 (Santos 61%) and Moorari 12 (Santos 67%) are suspended due to road closures. Routine.
31 Jan 2007regulatory community update▼ Bad
Third-party ACCC notice: it will not make a formal decision on Santos's earlier QGC bid, saying market submissions raised serious competition concerns. It will assess the new proposal, with submissions due 13 February and findings expected by 1 March 2007.
30 Jan 2007business combination● NeutralMajor
Santos proposed a new deal for QGC: $1.30 cash per share for its Undulla Nose assets, plus shares in a spun-off 'New QGC' that Santos values at about $0.50, implying about $1.80 in total. Santos would take 30% of New QGC for about $40m. The $1.26 offer will lapse. Deal is conditional and non-binding.
30 Jan 2007other● Neutral
Third-party QGC response: it received a conditional, incomplete Santos proposal, some elements of which appear attractive and are being considered by advisers. The QGC board still recommends the AGL proposal unless a superior offer emerges.
30 Jan 2007other● Neutral
Duplicate of the Santos section 630(3) notice: QGC offer conditions not freed, none known to be fulfilled, voting power 3.89%. Re-release with attachment; no new substance.
30 Jan 2007other● Neutral
Santos notice on its QGC offer: the $1.26 offer has not been freed from its conditions, none is known to be fulfilled, and Santos's voting power in QGC was 3.89%. Procedural notice only.
29 Jan 2007drilling progress report● Neutral
Third-party Victoria Petroleum update: Wilpinnie-4 (Santos operator) was cased and suspended at 1,587 m for later completion and production testing; the rig was released on 26 January. No new results. Routine.
25 Jan 2007drilling progress report● Neutral
Third-party Magellan report: Santos-operated Thungo 10 (Nockatunga, Santos 61.006%) was cased as a future Murta oil producer with 10 m net pay. Thungo 13 spudded but was suspended at 56 m because of rain. Routine.
25 Jan 2007drilling result▲ Good
Third-party Impress report: Wilpinnie-4 (Santos operator, 33.3% after farm-out) found an 18 m oil column (1,476-1,494 m) in the mid Namur and will be cased as a future oil producer. Impress says results were within pre-drill estimates; no commercial flow proven yet.
25 Jan 2007drilling progress report● Neutral
Third-party Drillsearch update: at Santos's Tintaburra block (Santos 89%), Endeavour 17 (about 5 m net pay) and Endeavour 39 (about 6 m) were cased as future oil producers. Endeavour 36 and Mulberry 29 are next; rain slowed work. Routine.
25 Jan 2007drilling progress report● Neutral
Third-party Victoria Petroleum update: Wilpinnie-4 (Santos operator) is to be cased with 5.5 inch casing for later production testing of the 18 m mid Namur oil zone. Repeats earlier test results. Routine.
24 Jan 2007quarterly activities report● NeutralMajor
Santos reported record 2006 production of 61.0 mmboe and record sales revenue of $2.77 billion. Q4 production was 15.4 mmboe. 2007 guidance was cut to 59-61 mmboe from 62-63, because of the planned US sale and uncertainty over Maleo offtake constraints.
24 Jan 2007drilling progress report● Neutral
Third-party Beach weekly report: Cooper-Eromanga drilling was delayed by heavy rain and road closures. Santos-operated Coonaberry-2 (Santos 61%) was at 2,297 m, Wilpinnie-4 at 1,587 m waiting on cement, and Moorari 12 had spudded. Routine.
23 Jan 2007other● Neutral
Santos extended its $1.26 cash QGC offer by 7 days to close 7 February 2007 and reported that none of the offer conditions has been fulfilled. Its QGC stake was 3.89%. Procedural notice only.
22 Jan 2007contract award▲ GoodMajor
Santos won a new gas supply contract worth over $90 million with Newmont Australia, supplying the Jundee gold mine and Parkeston power station for three years from 1 January 2007. Gas comes from the John Brookes field (Santos 45%), adding to earlier Western Australian contracts.
22 Jan 2007drilling result● Neutral
Third-party Victoria Petroleum report: Wilpinnie-4 (Santos operator) DST-2 plugged and gave no new information; the well reached 1,587 m. Logs show an 18 m gross oil zone (1,476-1,494 m) with an oil-water contact at 1,494 m. Resolves the earlier test uncertainty only partly.
19 Jan 2007well test result● Neutral
Third-party Victoria Petroleum report repeats that Wilpinnie-4 (Santos operator) DST-1 was a partial test, with an estimated 24 barrels of oil influx (about 144 bopd). DST-2 over 1,468-1,489 m was being run. Duplicates the Impress update; the text was truncated.
19 Jan 2007well test result● Neutral
Third-party Impress filing: Wilpinnie-4 (Santos operator, 33.3%) DST-1 lost its packer seat, with an estimated 24 barrels of oil influx, about 144 bopd, and possible reservoir damage. DST-2 follows, then deepening to 1,551 m. Modest, inconclusive result.
18 Jan 2007drilling progress report▲ Good
Third-party Magellan report: Santos-operated Thungo 9 (Nockatunga, Santos 61.006%) reached 1,390 m, with about 8 m net pay in the Murta Member, and was cased as a future oil producer. Thungo 10 is drilling at 436 m. Routine.
