Full Year Statutory Accounts and Annual Report
Sydney, Sep 28, 2012 AEST (ABN Newswire) - Buccaneer Energy Limited (
ASX:BCC) is pleased to provide the Company Full Year Statutory Accounts and Annual Report for the year ended 30 June 2012.
Chairman's Letter
Dear Shareholder,
The past few years have been about setting the solid foundations on which to build the Company's future. We now have the keys to unlock the Proven Reserves in our Cook Inlet projects and the strategy in place to build into sustainable growth. Buccaneer is now in a strong position to transition beyond being an exploration focused company, to one which is developing its own assets to generate production and cash flow using both onshore and offshore rigs controlled by the Company.
Our Growth Strategy
Throughout this transition our business strategy has remained consistent. We have focused on actively progressing our existing Cook Inlet, Alaskan projects. With both the Endeavour offshore Jack-Up rig and Glacier onshore rig, we are able to control the pace of development at our 100 per cent owned projects that hold significant Proven Reserves.
Onshore, we have achieved first production at Kenai Loop, providing solid cash flow to the business with the potential for expansion to yield additional volumes of production. At our offshore projects, we are now in a position to be able to tap into the significant Proven Reserves with the mobilisation of the Endeavour rig to the Cook Inlet.
Prudent Capital Management
During the 2012 Financial Year, we undertook several capital management initiatives to ensure we had the funding to develop our Alaskan projects, utilising a combination of debt and equity.
In April 2012, the Company executed a US$20 million project finance facility to allow further development of our assets ahead of putting into place a longer dated financing alternative. Additionally, we also secured a US$30.0 million bridging funding to 'bridge the gap' between our capital outlay for exploration and when we receive the ACES program rebates from the Alaskan state government ACES program.
The ACES program is probably the most unique of its kind in the world. The Alaskan state government provides an incentive by rebating, in cash, up to 65% of exploration costs associated with drilling either onshore or offshore. Additionally they rebate up to 45% of development costs. Buccaneer has been the recipient of both of these rebates and has received approximately US$13.0 million in rebates over the last 12 months.
Post 30 June 2012, we secured a solid cornerstone investor and raised an additional $13.5 million through a Placement and Share Purchase Plan (SPP). The strong response from investors and a substantially oversubscribed SPP, demonstrates the confidence of our shareholders in our growth strategy.
As we now strongly progress our Cook Inlet projects forward, I would like to thank our Buccaneer team who have worked tirelessly to bring the Company to this point. With a program of high impact drilling and development activity ahead, I look forward to the coming year and further bringing our growth strategy to fruition.
Yours sincerely,
Alan Broome, A.M
Chairman
View the complete Buccaneer Energy Annual Report at the link below:
http://media.abnnewswire.net/media/en/docs/ASX-BCC-697631.pdf
Contact
Buccaneer Energy Limited
T: +61-2-9233-2520
F: +61-2-9233-2530
WWW: www.buccenergy.com
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