Announcement • Oct 10
State Gas Limited, Annual General Meeting, Nov 20, 2025 State Gas Limited, Annual General Meeting, Nov 20, 2025. New Risk • Oct 01
New major risk - Revenue and earnings growth Earnings have declined by 7.7% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$8.8m free cash flow). Share price has been highly volatile over the past 3 months (46% average weekly change). Earnings have declined by 7.7% per year over the past 5 years. Revenue is less than US$1m (AU$112k revenue, or US$74k). Market cap is less than US$10m (AU$11.8m market cap, or US$7.78m). New Risk • Sep 30
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2024. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$9.5m free cash flow). Share price has been highly volatile over the past 3 months (47% average weekly change). Revenue is less than US$1m (AU$128k revenue, or US$85k). Market cap is less than US$10m (AU$11.4m market cap, or US$7.53m). Minor Risk Latest financial reports are more than 6 months old (reported December 2024 fiscal period end). New Risk • Jun 24
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Australian stocks, typically moving 18% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$9.5m free cash flow). Share price has been highly volatile over the past 3 months (18% average weekly change). Shareholders have been substantially diluted in the past year (43% increase in shares outstanding). Revenue is less than US$1m (AU$128k revenue, or US$84k). Market cap is less than US$10m (AU$9.03m market cap, or US$5.88m). New Risk • Apr 09
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Australian stocks, typically moving 13% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$9.5m free cash flow). Shareholders have been substantially diluted in the past year (43% increase in shares outstanding). Revenue is less than US$1m (AU$128k revenue, or US$78k). Market cap is less than US$10m (AU$11.8m market cap, or US$7.12m). Minor Risk Share price has been volatile over the past 3 months (13% average weekly change). Announcement • Apr 07
State Gas Limited Announces Successful Drilling, Wireline Loging and Casing of the Rougemont 6 Vertical Well At Its Rolleston West Project in the Southern Bowen Basin in Queensland State Gas Limited announced successful drilling, wireline logging and casing of the Rougemont 6 vertical well at its Rolleston West Project (ATP 2062) in the Southern Bowen Basin in Queensland. Rougemont 6 is 1.5 kilometres north-east of the existing Rougemont 2/3 dual lateral well system. The well intersected the Bandanna coal measures at 403.8 metres, with 8.1 metres of net coal close to the expected range. Elevated gas shows during drilling further validate the commercial gas potential of the formation. State Gas will incorporate wireline log data from Rougemont 6 into its geological model for ATP 2062. Data demonstrates strong correlation between with previously drilled wells. Drilling results from Rougemont 5 and 6, including wireline logs and production testing, are expected to support accreditation of a maiden 2P reserve of 30-50 PJ for the Rolleston West Project. Successful outcomes from the program will enable the Company to submit a petroleum lease application over a substantial portion of ATP 2062 and advance discussions with potential end users and pipeline infrastructure providers. Drilling at the two new exploration/appraisal wells is fully funded under a $5.5 million Queensland Government Frontier Gas Exploration Program. New Risk • Mar 15
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -AU$9.5m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$9.5m free cash flow). Shareholders have been substantially diluted in the past year (43% increase in shares outstanding). Revenue is less than US$1m (AU$109k revenue, or US$69k). Market cap is less than US$10m (AU$13.7m market cap, or US$8.69m). New Risk • Jan 16
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 43% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Shareholders have been substantially diluted in the past year (43% increase in shares outstanding). Revenue is less than US$1m (AU$17k revenue, or US$11k). Market cap is less than US$10m (AU$15.7m market cap, or US$9.78m). Minor Risk Share price has been volatile over the past 3 months (15% average weekly change). Announcement • Nov 23
State Gas Limited has completed a Follow-on Equity Offering in the amount of AUD 5.913969 million. State Gas Limited has completed a Follow-on Equity Offering in the amount of AUD 5.913969 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 59,228,221
Price\Range: AUD 0.05
Security Features: Attached Options
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 27,742,051
Price\Range: AUD 0.05
Security Features: Attached Options
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 18,101,687
Price\Range: AUD 0.05
Security Features: Attached Options
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 13,207,421
Price\Range: AUD 0.05
Security Features: Attached Options
Transaction Features: Rights Offering; Subsequent Direct Listing Announcement • Oct 15
State Gas Limited, Annual General Meeting, Nov 21, 2024 State Gas Limited, Annual General Meeting, Nov 21, 2024. New Risk • Oct 11
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 38% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Revenue is less than US$1m (AU$17k revenue, or US$12k). Minor Risks Share price has been volatile over the past 3 months (15% average weekly change). Shareholders have been diluted in the past year (38% increase in shares outstanding). Market cap is less than US$100m (AU$20.5m market cap, or US$13.8m). New Risk • Oct 02
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: AU$14.3m (US$9.82m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Revenue is less than US$1m (AU$17k revenue, or US$12k). Market cap is less than US$10m (AU$14.3m market cap, or US$9.82m). Minor Risks Share price has been volatile over the past 3 months (17% average weekly change). Shareholders have been diluted in the past year (2.8% increase in shares outstanding). Announcement • Sep 12
State Gas Limited Announces Appointment of Doug Mcalpine as Director State Gas Limited announced appointment of Doug Mcalpine as Director. Date of appointment is 10 September 2024. Recent Insider Transactions • Sep 03
Non-executive Director recently bought AU$362k worth of stock On the 29th of August, Philip St Baker bought around 8m shares on-market at roughly AU$0.045 per share. This transaction amounted to 47% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. New Risk • Aug 06
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: AU$15.1m (US$9.78m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$9.6m free cash flow). Share price has been highly volatile over the past 3 months (21% average weekly change). Revenue is less than US$1m. Market cap is less than US$10m (AU$15.1m market cap, or US$9.78m). Minor Risk Shareholders have been diluted in the past year (22% increase in shares outstanding). New Risk • Apr 17
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Australian stocks, typically moving 14% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$9.6m free cash flow). Revenue is less than US$1m. Minor Risks Share price has been volatile over the past 3 months (14% average weekly change). Shareholders have been diluted in the past year (22% increase in shares outstanding). Market cap is less than US$100m (AU$28.8m market cap, or US$18.5m). New Risk • Sep 29
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -AU$11m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$11m free cash flow). Revenue is less than US$1m (AU$45k revenue, or US$29k). Minor Risks Share price has been volatile over the past 3 months (12% average weekly change). Shareholders have been diluted in the past year (33% increase in shares outstanding). Market cap is less than US$100m (AU$37.3m market cap, or US$24.1m). New Risk • Sep 16
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks High level of non-cash earnings (35% accrual ratio). Revenue is less than US$1m. Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Shareholders have been diluted in the past year (33% increase in shares outstanding). Market cap is less than US$100m (AU$37.3m market cap, or US$24.0m). Announcement • Sep 07
State Gas Limited, Annual General Meeting, Nov 16, 2023 State Gas Limited, Annual General Meeting, Nov 16, 2023, at 11:00 E. Australia Standard Time. New Risk • Aug 31
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks High level of non-cash earnings (35% accrual ratio). Revenue is less than US$1m. Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Share price has been volatile over the past 3 months (14% average weekly change). Shareholders have been diluted in the past year (26% increase in shares outstanding). Market cap is less than US$100m (AU$37.6m market cap, or US$24.4m). New Risk • Aug 09
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Australian stocks, typically moving 13% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks High level of non-cash earnings (35% accrual ratio). Revenue is less than US$1m. Minor Risks Share price has been volatile over the past 3 months (13% average weekly change). Shareholders have been diluted in the past year (13% increase in shares outstanding). Market cap is less than US$100m (AU$36.0m market cap, or US$23.5m). Announcement • Feb 16
State Gas Limited Announces Rougemont Production Testing Update Coals Begin Unloading State Gas Limited advised that the pilot is beginning to show early signs of the coals unloading their gas. HIGHLIGHTS: Rougemont-2/3 reaches early gas production of 50,000 cubic feet per day during testing - Desorption pressure now reached, with the well surging gas and water - With water level currently 170m above coal seams, further strong results are anticipated when coal seams are exposed. As of 14 February 2023, gas flow rates have exceeded 50,000 cubic feet per day and are steadily increasing despite water levels being still 170 metres above the uppermost coal seam. Coincident with reaching desorption pressure, the well commenced surging both gas and water, indicating good permeability and strong drive. It is anticipated that, as further water is removed from the well and drained from the coal cleats, gas rates will continue to climb. The Company will keep the market informed of continued progress with production testing results from Rougemont and is now evaluating the location for further step-out wells to support an initial resource estimate for the project. Accelerating the delivery of pipeline quality gas from Rougemont is a critical part of the Company's strategy to supply the tightening eastern seaboard gas market. Production from Rougemont could be additional to that included in the ACCC's long term supply analysis. Gas from the Company's permits is not restricted by domestic gas reservation requirements, and therefore, has the flexibility of being sold to either local customers or export markets. Board Change • Nov 16
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. No independent directors (5 non-independent directors). Executive Chairman of the Board Richard Cottee was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Board Change • Apr 27
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 5 non-independent directors. Executive Chairman of the Board Richard Cottee was the last director to join the board, commencing their role in 2019. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Feb 15
State Gas Limited Announces an Update on its Current Production Testing Activities State Gas Limited gave an update on its current production testing activities. Good progress is being made in its production testing of the Rougemont-2 well at the Company's Rolleston-West Project (ATP 2062) in Central Queensland, where the Company is working to confirm the potential of the area for gas development. The well, drilled mid 2021, is being gradually dewatered to ensure a controlled reduction in downhole pressures and facilitate gas flow. Gas flows commenced approximately four weeks ago and have been consistently building since, even though the water levels remain above the top of the coals (currently ~35m above). Production is expected to materially increase once the coals are fully exposed, still some several weeks away. Sampling conducted in 2021 indicated gas of near pipeline quality at Rougement-2. At its Reid's Dome Project (PL 231), State Gas is production testing two wells, Nyanda-8 and Serocold-1, as it looks to confirm the commerciality of the Project for delivery of new gas supplies into the east coast market. The Nyanda-8 well continues to consistently produce gas with small but steady increases daily. The consistency of the well is encouraging, suggesting that skin damage caused to the formation may be slowly resolving. The Company has recently completed a workover of Serocold-1 and returned the well to production. The water level is currently just above the coals, and gas flows are expected to commence over the next few days. State Gas will continue to provide updates as activities progress. Announcement • Jan 29
State Gas Limited Updates on Its Current Production Testing Activities Underway Within Its Central Queensland Gas Projects State Gas Limited updated on its current production testing activities underway within its Central Queensland gas projects. The Company is conducting concurrent programs of work: at its Reid's Dome Project at PL 231 (Reid's Dome Beds coals), to confirm the commerciality of the Project for delivery of new gas supplies into the east coast market; and at its contiguous Rolleston-West Project (Bandanna Formation coals) on the recently issued ATP 2062 to confirm the area for gas development. Gas production testing is currently underway at both of these projects. Two wells, Rougemont-1 and Rougemont-2, were drilled into the eastern arm of ATP 2062 in mid 2021 as the first wells in the new permit 1. The wells targeted the Bandanna Formation, a coal formation producing commercially at Arcadia Valley (Santos operated) to the south east, and under development (by Comet Ridge) at Mahalo to the north. Both wells encountered approximately 8m net coal, with good quantities of gas at or near pipeline quality. The permeability at Rougemont-2 was an exceptional 395mD, and the Company commenced a production test of the well on 15 November 2021. Production testing at Rolleston-West has included ongoing pumping to slowly reduce water levels at Rougemont-2, to minimise the potential for sudden pressure changes to damage to the reservoir. While the water level is currently ~130m above the coals with several further weeks required to expose them, gas production has already commenced at Rougemont-2. Gas flows are steady with consistent growth, and are expected to increase significantly once the coals are fully exposed. Sampling conducted in 2021 indicated gas of pipeline quality at Rougement-2. At Reid's Dome, State Gas undertook a highly successful production test of the Nyanda-4 well in the first part of 2021. Encouraged by this success and the high gas contents in the area 4, the Company undertook production enhancement activities at the Nyanda-8 and Serocold-1 wells to establish the potential of these wells to deliver results similar to the Nyanda-4 well. The Nyanda- 8 well was jetted and the test recommenced on 28 November 2021 5, and the Serocold-1 well was sleeved and the test recommenced on 5 December 2021. Skin damage to the formation at Nyanda-8 appears to be slowly resolving, enabling ever increasing gas volumes to be produced from the well. Despite the formation damage, Nyanda-8 is consistently producing gas at relatively low volumes, with small but steady increases daily. The Company looks forward to further progress from the well. The Serocold-1 production test started well, producing consistent and growing volumes. Production has temporarily ceased at Serocold-1 as a result of a failure of the pump (due to parted rods). The Company is currently co-ordinating the repair of the pump, with testing expected to re-commence in early February. State Gas will continue to provide updates as activities progress. Announcement • Dec 17
State Gas Limited Announces Three Production Test Wells Continue to Provide Encouraging Results After Early Testing State Gas Limited advised that the three production test wells continue to provide encouraging results after early testing. Following highly successful production testing of the Nyanda-4 well earlier this year, State Gas undertook jetting at the nearby Nyanda-8 well last month. After 20 days on production test, the well is averaging 16 bwpd and has a steady flare at 36% drawdown. The Nyanda-8 production test was commenced on 28 November 2021The Serocold-1 production test is part of the Company's program of work to confirm the commerciality of its Reid's Dome Project (PL 231) in Central Queensland for delivery of new gas supplies into the east coast market. State Gas performed a foam squeeze on the well last month in order to control the unwanted production of silt and sand. After 14 days on production test the well is averaging 55 bwpd and has an intermittent flare of gas at only 25% drawdown. The production testing at Rougemont-2 has yielded encouragement with gas production at 8 mcfd and water production at 36 bwpd after 32 days with the well at 43% drawdown. The Rougemont-1 and -2 wells are the first wells drilled in the eastern area of ATP 2062, which was issued to the Company in October 2020. The wells targeted the Bandanna Formation coals currently in commercial production to the south-east at the Santos operated Arcadia Valley project and under development at the Comet Ridge operated Mahalo project to the north-east. The drilling results confirmed the presence of good quantities of gas at or near pipeline quality and the current test to is to confirm its producibility. Water levels are being monitored and drawn down carefully to control the reduction in downhole pressures to optimise production. The early gas flows were unexpected. Announcement • Dec 08
State Gas Limited Announces Third of its Current Production Tests Commences at Serocold-1 Well State Gas Limited announced that the third of its current production tests commenced at the Serocold-1 well on December 5, 2021. The Serocold-1 production test is part of the company's program of work to confirm the commerciality of its Reid's Dome Project (PL 231) in Central Queensland for delivery of new gas supplies into the east coast market. Following highly successful production testing of the Nyanda-4 well earlier in year 2021, the company undertook jetting at the nearby Nyanda-8 well last month, and has just completed sleeving of the Serocold-1 well to enhance the wells production performances. The Nyanda-8 production test was commenced on November 28, 2021, and on December 5, 2021 saw the pumps at Serocold-1 turned on. As announced on November 17, 2021 the company is also production testing the Rougemont-2 well at its contiguous Rolleston-West Project (ATP 2062). The Rougemont-1 and -2 wells are the first wells drilled in ATP 2062, which was issued to the company in October 2020. The wells targeted the Bandanna Formation coals currently in commercial production to the south-east at the Santos operated Arcadia Valley and under development at the Comet Ridge operated Mahalo to the north-east in the eastern area of the permit. The drilling results confirmed the presence of good quantities of gas at or near pipeline quality and the current test to is to confirm its producibility. Water levels are being drawn down slowly to carefully control the reduction in downhole pressures to optimise production. It is expected that the tests will continue for several weeks before gas flows commence. The company will continue to provide updates as activities progress. Announcement • Sep 24
State Gas Limited announced that it expects to receive AUD 8 million in funding State Gas Limited announced that it has issued 25,000,000 shares at a price of AUD 0.32 per share of gross proceeds of AUD 8,000,000 on September 24, 2021. The transaction included participation from Australian institutional and sophisticated investors in the energy sector.
The transaction is expected to close on September 29, 2021. Announcement • Jun 25
State Gas Limited Announces Update from Production Log Testing (PLT) At Nyanda-4 State Gas Limited announced that Production Log Testing (PLT) at Nyanda-4 has confirmed that in addition to gas production from coal seams between 400m and 1000m, gas is being successfully produced at Reid's Dome at depths below 1150m, well below the usual depths regarded as the limit for the production of coal-seam gas. State Gas is appraising the coal seam gas potential of its 100% owned Reid's Dome Project at PL231. The coals at Reid's Dome extend to depths well below those usually regarded as productive. The particular geological features of the dome, as well as analogue wells elsewhere, led to the Company's hypothesis that the coal seams would produce gas from much deeper than is typical. This hypothesis has now been proved. The Company has been production testing the Nyanda-4, Nyanda-7 and Nyanda-8 wells at Reid's Dome. Gas flow data from those tests strongly indicated that gas is being produced from the lower seams. To confirm that this is the case, the Company recently ran a PLT at the Nyanda-4 well. The Nyanda-4 well intersected 40m of net coal, between 394m and 1177m, with the lowest coals positioned just above the bottom of the well at 1200m depth. Both temperature logs and noise logs were acquired by the PLT to identify the zones from which the gas is being produced. The PLT results demonstrated that good flows came from both near the top of the coals (with the top producing interval between 400m to 600m), and importantly, good flows from the bottom section of the well below 1150m. The confirmation of gas production at greater depths is commercially important in confirming not just more productive zones in the Reids Dome Beds, but also a much larger productive area. The coal seams dip down away from the crest of the Dome; and if the depth cut off for productive coals is deeper a much more expansive area of the Dome can be expected to produce. This means significantly more gas reserves will be available to the Project than if the coals were limited to typical CSG depths. Announcement • Jun 09
State Gas Limited Announces Rougemont-2 Results Establish New CSG Play State Gas Limited announced that the Rougemont-2 test results have confirmed a new Bandanna coal seam gas (CSG) play. The Rougemont-2 well was drilled, logged and tested and has been suspended pending production testing. Rougemont-2 intersected gas-bearing Bandanna coal measures which show strong correlation with the measures identified by coal exploration holes and historic conventional wells in the area, thereby validating the Company's hypothesis of a viable CSG play within the eastern half of the Rolleston-West (ATP 2062) Gas Project area. Analysis of drill-stem test data confirms excellent permeability. Additionally, initial Rougemont gas analysis received indicates near-pipeline quality gas. Field values of gas content of the coals indicate the laboratory-determined numbers should exceed the threshold for commercial volumes. Final gas contents from the laboratory will be available in due course. Planning for production testing of the Rougemont wells has already begun. The shallower of the two wells will be utilized for gas production testing, with facilities to be installed at the earliest opportunity to determine production metrics for both gas and water. Concurrent planning for appraisal drilling has also commenced, with the new Rougemont data being inserted into the Company's geological model. Appraisal well locations will be selected to obtain additional critical information and maximise the potential reserves capture. The Rolleston-West Gas Project is contiguous with the Company's 100%-owned Reid's Dome Gas Project (PL 231) and located 30 kilometres from major pipeline infrastructure interconnected with the east coast gas transmission network and the export LNG facilities at Gladstone. At the Company's 100%-owned Reid's Dome Gas Project (PL231), the production testing continues, with the four wells showing combined gas flow in excess of 220,000 cubic feet per day. This week, production log testing at Nyanda-4 is expected to determine how many of the coal seams in the well are contributing to the 140,000 cubic feet daily gas flow from the well. The Serocold-1 well, drilled in 2019, has also been cleaned out and is currently flowing gas at 35,000 cubic feet per day. Nyanda-8 is flowing gas at 40,000 cubic feet per day and Nyanda-7 is contributing 7,000 cubic feet of gas per day. Daily rates continue to climb as the coal seams are de-watered. Announcement • Jun 08
State Gas Limited Announces Success At Second Rougemont Gas Well State Gas Limited announced that its second Rolleston-West well, Rougemont-2, has intersected gas-bearing Bandanna coal measures very similar to the coals identified during drilling last month at its Rougemont-1 well1 in Central Queensland. The strong correlation of the results of Rougemont-1 and 2 validate the Company's hypothesis that the extensive Bandanna Formation within the Rolleston-West Gas Project (ATP 2062) hosts significant volumes of gas. Both Rougemont wells intersected approximately 8 metres of net coal, hosted in a number of seams with the thickest seams in excess of 2 metres (2.8m at Rougemont-2 and 2.2m at Rougemont-1). The coal measures in Rougemont-2 were encountered at approximately 295 metres depth (i.e. approximately 200 metres shallower than at Rougemont-1). Gas was observed bubbling from the coal samples taken from both wells, and field values for the
gas content of the coals from both are similar. While final gas contents will be determined by laboratory analysis in due course, the field values suggest the gas content is likely to be within expectations for a commercial development. The visual appearance of the coals from each is also similar. These similarities between the results from the wells so far suggest good consistency across the Bandanna coal measures at a range of depths. The Bandanna coal measures are extensive throughout this eastern arm of the Rolleston-West Gas Project, and correlate with the Bandanna coals at the Arcadia Valley Coal Seam Gas project (Santos/GLNG) and under development at Mahalo (Santos/APLNG/Comet Ridge). Announcement • May 31
State Gas Limited Announces the Spud of Rougemont-2 State Gas Limited announced the spud of Rougemont-2, the second well in its new Rolleston-West Gas Project (ATP-2062) in Central Queensland. Following the successful drilling of Rougemont- 1, State Gas has commenced drilling Rougemont-2, located some 3.7 km to the northeast of Rougemont-1. The well spudded at 8.40am on 29 May 2014. As at 6am this morning drilling had reached 75m. Rougemont-2 is targeting the highly prospective gas-bearing Bandanna Formation coal measures on the eastern flank of the south-plunging Consuelo Anticline. The coals in this location are expected to commence up to 100m shallower than at Rougemont-2 and will provide valuable
information about the coal seam gas potential at a range of depths within the Project area. The Bandanna Formation has been highly productive at this range of depths in the analogue fields of Arcadia Valley (Santos/GLNG) and Mahalo (Comet Ridge/Santos/APLNG) at similar distances to the south-east and north-east of ATP 2062 respectively. State Gas will determine the thickness and gas content of the coal in the well through sampling the coals (coring) and wireline logs. Permeability testing will also be undertaken. These initial tests should confirm important information about the potential of this area of ATP 2062 and inform preparations for production testing in the future. Once these initial tests are completed the well will be suspended until production testing is commenced. State Gas will continue to update the market as drilling and testing activities continue. Announcement • May 18
State Gas Limited Commences Drilling the First Well in Its New Rolleston-West Gas Project in ATP 2062 State Gas Limited has commenced drilling the first well in its new Rolleston-West Gas Project in ATP 2062. Rougemont-1 was spudded at 9:00pm on 14th May 2021. At 6am this morning the well was at 75m. The Rougemont-1 well is the first of two planned wells being drilled to evaluate the highly
prospective Bandanna coals in the eastern arm of the new Rolleston-West permit, which was granted to the Company by the Queensland Government late last year. The Bandanna Formation is well established as a host of commercially viable coal seam gas, producing at the Arcadia Valley (Santos/GLNG) and under development at Mahalo (Comet Ridge/Santos/APLNG) at similar distances to the south-east and north-east of ATP 2062 respectively. Rougemont-1, with a planned total depth of 800m, is targeting gas-bearing coals between approximately 500m and 780m. Located on the crest of a "plunging nose" in the formation, the coals are expected to host gas content and permeability comparable to the analogue fields. The Rougemont wells will confirm coal thickness, gas content and the permeability of the coals in this area of ATP 2062. This will be achieved using wireline logs, coal sampling (coring) and specific permeability testing of the coals. The data will provide valuable information as to the potential of the area, to be confirmed through subsequent production testing of the wells. Once the initial testing processes are completed, the wells will be suspended, awaiting subsequent production testing of the wells. As previously advised1, State Gas is appraising the potential of the Reid's Dome Gas Project (PL231) for development, undertaking production testing of three coal seam gas (CSG) wells in the southern area (Nyanda-4, 7 and 8), and the Serocold-1 well in the central part of the permit. Production from the Serocold-1 well has been very promising. The well was placed on pump on 7 April, following a workover to clean out and line the well and set the pump some 330m lower than had been possible in the previous test last year2. The water level has been lowered to expose just over half of the coals, culminating in production reaching 35,700 cft/day and expected to increase as pumping is optimised. This rate, more than twice the rate achieved in the previous test, indicates the Company has made very substantial progress in "cracking the code" of the coals in this area. As previously advised3 the Nyanda-4 well has produced exceptional results, with gas production reaching over 700,000 cft/day as natural fractures were intersected in the well, after which production resumed at the economic rate of around 100,000 cft/day. This production pattern suggests that the free gas in the intersected fractures has been drained. Production at Nyanda-4 has been gradually increasing again, currently at 114,000 cft/day, and The company expects that this consistent build-up will confirm the rate at which gas is produced from the natural matrix of the coal. Production at Nyanda-7 is also slowly increasing, as the rate of water production is reducing. The higher effective permeability of this well bodes well for future productivity, as natural open fractures provide pathways initially for water and then for gas to be released. Production has built to the current 6,700 cft/day and The company expects the productivity of the well to continue to steadily improve. Gas production at Nyanda-8 is increasing and currently approaching 44,000 cft/day. This well is expected to pass the economic threshold by the end of this financial year. Announcement • Mar 17
State Gas Limited Announces Recordes CSG Flow Rates at Reids Dome State Gas Limited announced relating to its production testing activities at its 100%-owned Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland. As previously advised, State Gas is undertaking production testing of three coal seam gas (CSG) wells in the Nyanda area at Reid's Dome in order to appraise that area for early development. The Nyanda-4 well has provided exceptional results overnight, producing a total of 620,000 cubic feet in the previous 24 hours. Drilled in late 2018, the Nyanda-4 well was placed on test for two periods last year; in each case promising gas production was interrupted by pump breakdowns after six and nine weeks respectively. Production in the current test has exceeded previous rates achieved, on both a daily production and instantaneous basis. Production testing at the Nyanda-7 and Nyanda-8 wells drilled in 2020 also continues. Nyanda-7 is experiencing strong water recharge, indicating good permeability, although slowing the progress in reducing downhole pressures aimed at accelerating gas production. Despite this, and in a positive early sign, gas production at the well has commenced, with 5000 cubic feet/day recorded. Nyanda-8 gas flows also continue to build, producing 31,000 cubic feet/day over 24 hours yesterday. State Gas also advises that the Secure Well Services Rig 2 was mobilised to site on 15 March 2021 to undertake a workover at the Serocold-1 well. This well will be cleaned out and a new pump installed, prior to a production test commencing to establish the producibility of gas in this central area of PL231.
Planning is also progressing for drilling at the Company's new Rolleston West permit (ATP 2062), located to the north-east of PL 231, with drilling anticipated to commence in mid to late April, weather permitting. Further details will be available on 17 March 2020 via a company presentation by Mr. Cottee to the Australian Energy & Minerals Conference, to be held in Brisbane. A copy of the presentation will be released to the Australian Securities Exchange on 17 March. State Gas will also continue to update the market as production testing continues and as drilling activities progress. Is New 90 Day High Low • Mar 16
New 90-day high: AU$0.62 The company is up 17% from a price of AU$0.53 on 16 December 2020. Outperformed the Australian market which is up 3.0% over the last 90 days. Exceeded the Oil and Gas industry, which is up 6.0% over the same period. Announcement • Feb 18
State Gas Limited Provides Update on Production Testing Activities at its Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland State Gas Limited provided weekly update on production testing activities at its 100%-owned Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland. State Gas is undertaking production testing of three coal seam gas (CSG) wells in the Nyanda area at Reid's Dome in order to appraise that area for early development. Gas production continues strongly at the Nyanda-4 well. Growth in the production rate shows good consistency with prior testing of the well. Current rates are around 100,000 cubic feet a day, which is ahead of previous comparable production tests at Nyanda-4 based on the dewatering timeframe. Dewatering of the new Nyanda-7 and Nyanda-8 wells continues steadily, to avoid "shocking" the coals and damage to the formation. The water level has now been lowered below the top of the coals in both wells and both exhibit indications of gas flow. Both wells show good recharge, a most promising sign for permeability, and interestingly, the recharge has increased when water levels have dropped below natural fractures in the coals that were identified on image logs. The increases in water flow indicates the natural fractures provide increased permeability, and hence improved potential gas production volumes from the well. Planning is also underway for drilling at the Company's new Rolleston West permit (ATP 2062), located to the north-west of the Nyanda area at PL 231. State Gas will continue to update the market as production testing continues and as drilling activities progress. Announcement • Feb 11
State Gas Limited Provides Its Weekly Update on Production Testing Activities At Reid's Dome Gas Project State Gas Limited provided its weekly update on production testing activities at its 100%-owned Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland. As advised on 27 January 2021, State Gas is undertaking production testing of three coal seam gas (CSG) wells in the Nyanda area at Reid's Dome in order to appraise that area for early development. Gas production at the Nyanda-4 well continues to build. As at 6am on 11 February 2021(approximately three weeks after the well was recommissioned) the well was producing at the rate of 100,000 cubic feet a day, and rising. This rate is materially higher than the rates achieved at similar stages in prior testing (boosted by work the company has done on the well). It is also an important
milestone in achieving commercial viability for a CSG well. Dewatering of the Nyanda-7 well commenced two weeks ago. The well has shown good recharge (a promising sign for permeability) and with the company adopting a cautious approach to dewatering, the water level in the well is just now approaching the top of the coal seams. Gas production is expected to become measurable shortly after the level drops below the coals. With dewatering also underway at Nyanda-8, the water level in that well has just dropped below the top coal seam, and gas produced from the well has now become measurable and is continuing to rise. Currently, the well is producing approximately 5,000 cubic feet of gas per day. The water level will continue to be lowered over the next few weeks. Announcement • Feb 03
State Gas Limited Provides Weekly Update on Production Testing Activities at its 100%-Owned Reid's Dome Gas Project State Gas Limited provided its weekly update on production testing activities at its 100%-owned Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland. The Nyanda-4 well, which produced at rates approaching 500,000 cubic feet per day in testing late last year, was re-established for production on 19 January 20212, with the water being gradually drawn down to release the gas. As at 6am this morning the well was producing at the rate of 78 cubic feet per day, a result that is at least as good as, if not better than, the current stage during prior testing. Nyanda-7, drilled just prior to Christmas last year, was placed on production test on 25 January 2021. The well commenced producing gas on 1 February 2021 after just 6 days, a performance analogous with the performance of the Nyanda-4 well during its initial production test. Gas production is expected to build steadily as the water level reduces in the well. Announcement • Jan 28
State Gas Limited Announces Production Testing Update Reid's Dome Project State Gas Limited provided an update on production testing activities underway during the Phase 2 exploration and appraisal program at its 100%-owned Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland.
As previously advised, a primary objective of the Phase 2 program is to appraise the Nyanda area for early development following the strong performance of the Nyanda-4 Coal Seam Gas (CSG) well, producing gas at rates approaching 500,000 cubic feet per day during testing in late 20201. Accordingly, the Company has drilled two "step out" wells approximately 2.5km to the north (Nyanda-7) and south-west (Nyanda-8) of the Nyanda-4 well2, to guide the delineation of an early development area. As announced on 6 January 2021 the new drilling has confirmed the widespread presence of gas-bearing coal seams and significant net coal within the Nyanda area, with all three wells intersecting good quality coals with seams of similar thicknesses and depths and evidence of open fractures. With these encouraging results the Company is embarking on production testing of the wells, commencing with the Nyanda-4 well being returned to production on 19 January 2021. Gas flows re-commenced immediately at Nyanda-4 with the resumption of dewatering. The well is expected to take some time to recover performance, however rates have been increasing steadily as water levels are slowly lowered. As at 6.00am (AEST) on 27 January the gas flow rate was 57,500 standard cubic feet per day. Nyanda-7 has now also been completed for production, and testing commenced on 25 January. The well is currently being dewatered to lower wellbore pressure and enable the gas to be produced from the coals. The Services Rig is currently operating at the most recently drilled well, Nyanda-8, to install the pump to enable dewatering for gas production. All three CSG wells in the Nyanda area are expected to be dewatering by early next week. The Phase 2 campaign at Reid's Dome also includes proposed wells in the north and central areas of the permit. As advised on 6 January, the drilling of these wells has been held over until the intensity of the current La Nina weather event has passed (the site has received more than 14 inches of rain since 1 December). Announcement • Jan 07
State Gas Limited Announces Nyanda-8 Evaluation State Gas Limited announced the initial results of the second well in its Phase 2 drilling campaign, Nyanda-8, at its 100%-owned Reid's Dome Gas Project (PL 231) in the Bowen Basin in Central Queensland. Nyanda-8 is approximately 2.2 km south-west of the Nyanda-4 well, and together with Nyanda-7 (approximately 2.6km north of Nyanda-4), was drilled as a coal seam gas (CSG) well as part of the Company's program to appraise the Nyanda Focus Area within PL231 for early development. Nyanda-8 reached the targeted Total Depth of 1200m on 3 January 2021, following spud on 29 December 2020. Wireline logs indicate the well has intersected 19.7m net coal with open fractures apparent on the image log, exhibiting good potential for CSG production. The results of both Nyanda-7 and Nyanda-8 are within the expected range based on data for Nyanda-4, where testing in late 2020 recorded gas production at rates approaching 500,000 cubic feet per day2. All three wells have intersected good quality coals, with seams of similar thicknesses and depths, confirming the widespread presence of gas- bearing coal seams and significant net coal within the Nyanda Focus Area. The next step in the appraisal of the Nyanda Area is to undertake production testing of the two new Nyanda wells and recommence the production test at Nyanda-4. To this end, the Completion/Workover Rig has commenced operations at Nyanda-4 to enable the production test to recommence, following which it will install pumps in both Nyanda-7 and Nyanda-8. All three wells are anticipated to be dewatering by the end of January to enable gas production. The drilling rig is currently completing installation of casing at Nyanda-8, following which the crew will demobilise while the current La Nina weather event is at its peak. When an appropriate weather window opens, the crew will return and drill the proposed Aldinga-2 well in the northern area of PL 231, and Serocold-3 in the central area. Announcement • Dec 26
State Gas Limited Announces Nyanda 7 Evaluation Update State Gas Limited announced that further evaluation of the Nyanda 7 coal seam gas well logs indicates 38.2 m net coal using parameters determined from Nyanda 4 core and desorption data. Located approximately 2.6km north of the successful Nyanda 4 well at the Reid's Dome Gas Project, the Nyanda 7 well reached its total depth of 1,210m on 19 December 2020. The net coal and seam thicknesses and good quality gas shows between 486 - 1,210m in the Reid's Dome Beds coal measures are similar to those encountered in Nyanda 4. Borehole image data indicates numerous open natural fractures intersecting the coal seams in Nyanda 7. Fractures such as these are commonly associated with favourable gas flow rates. During testing at Nyanda 4 in September this year, coal seam gas was produced at rates approaching 500,000 cubic feet per day. The Nyanda 7 well has had pre-perforated production liner and casing installed and the casing cemented to surface. The well has been suspended awaiting completion. Mobilisation of the drilling rig to the Nyanda 8 well location commenced on 24th December with Nyanda 8 expected to spud in the next few days, weather permitting. The Completion/Workover Rig is now on site and after the Christmas break, pumps will be installed at both Nyanda 7 and 8, and the Nyanda 4 pump will be serviced. Production testing will commence as soon as possible in the new year. Announcement • Dec 16
State Gas Limited Announces Spudding of First Well in Production Well Campaign State Gas Limited announced that the Nyanda-7 well, the first well in its Phase 2 exploration and appraisal program for the Reid's Dome Gas Project (PL 231), spudded this morning, 15 December 2020. The Nyanda-7 well is part of State Gas' 100% owned Reid's Dome Gas Project on PL231, located in the Bowen Basin in Central Queensland. State Gas' Phase 2 exploration and appraisal program is being undertaken to implement the Company's strategic plan to bring gas to market to meet near term forecast shortfalls in the east coast market. Focused on the area around the highly successful Nyanda-4 well, the program has been designed to provide additional data to secure a significant certified reserves booking and enable field development planning and infrastructure design for commercialisation of gas in the Reid's Dome Coal Beds in the area. Approximately 2.6 km north of the Nyanda-4 well, the Nyanda-7 well is being drilled as a step out well to Nyanda-4, from which gas was produced at rates approaching 500,000 cubic feet per day. The Company plans to log the new well once it reaches total depth (planned at 1200m), and subsequently commence production testing. Nyanda-7 will be followed by at least three further production wells on PL231, with timing of the further wells dependent on weather. The Company is hoping to complete drilling of at least two wells, and commence production testing of three (including Nyanda-4), before the wet season impacts. State Gas is also planning the drilling of two coreholes at its new Rolleston-West Project (ATP 2062) to commence in the New Year. These wells will investigate the gas potential of the highly prospective Bandanna Coals in the eastern region of the permit. 