Chariot Share Discussion Threads

[ronan7] 10/9/2013 07:54

no surprise there tho

SP for hrt has told us this for last few weeks

[wild_goose] 10/9/2013 07:50

Three in a row,

HRT drill a duster.

[moneymunch] 10/9/2013 06:56

Results of the Moosehead-1 well offshore Namibia


RIO DE JANEIRO, Sept. 9, 2013 /CNW/ - HRT Participações em Petróleo S.A. (the "Company" or "HRT") (BM&FBOVESPA: HRTP3, TSX-V: HRP) announces that the Moosehead-1 well (2713/16-1) ("Moosehead-1"), the third offshore well in our exploratory drilling campaign, is a dry hole. This well targeted the Moosehead Prospect, located in Petroleum Exploration License 24 ("PEL-24"), in the Orange Basin, offshore the Republic of Namibia.

The main objective of the Moosehead-1 well was to test the resource potential of Barremian-aged carbonate reservoirs, expected to be equivalent to the Brazil and Angola "pre-salt" reservoirs, within a 546 km2 4-way dip closure, mapped on 3D seismic. Extensive formation evaluation was performed to confirm the nature and quality of the carbonate reservoir and source rock intervals, including wireline logs and sidewall core samples.

The Moosehead-1 well encountered approximately 100m of carbonates at the primary target. The nature of the reservoir, though further analysis of data collected will be necessary, appears similar to the "pre-salt" reservoirs as predicted. However, porosity was less developed than expected in this location, and is being considered a dry-hole. Wet gas shows were encountered in the section that increased in wetness with depth. At least two potential source rocks were penetrated, including the well-developed Aptian-age source rock. Indications of source rocks in the deeper rift section were also apparent, though not penetrated. Further analysis of the well sampling will greatly help with continuing exploration on the HRT blocks in Namibia.

The Moosehead-1 well was located in 1,716m of water depth and was drilled to 4,170m of measured total depth. The well was drilled, wireline logged and P&A, in a total of 47 days, by the Transocean Marianas (NYSE:RIG) semi-submersible rig. Operational and safety performance was excellent. This completes HRT's Namibian drilling campaign and the Transocean Marianas is available for sublease.

HRT is the operator of 10 blocks offshore Namibia, which are contained in 4 Petroleum Licenses. GALP Energia (NYSE Euronext Lisbon: GALP), with 14% participating interest, is HRT's partner to drill the first 3 wells of the current exploration campaign.

"The Moosehead well concludes HRT's first drilling campaign in Namibia with very important geological information even though no pay zones were found in this well. The time has come for a thorough analysis of our three well results and assets in Namibia to develop new plans for 2014 and 2015. We conclude this campaign with the understanding that both the Orange and Walvis basins, tested with drilling, are oil and gas prone basins, new exploration efforts will bring commercial hydrocarbon discoveries and that HRT will be part of the future of Namibian exploration", highlighted Milton Franke, the CEO of HRT.

[f0rl0rn] 10/9/2013 06:44

Another duster, looking not good, don't think PB will stay......oh dear.......

[hedgebetter] 09/9/2013 20:29

WG - you are clueless - where is your evidence - ahhhh you do not have any because your mate Thorium Bob has been on the happy juice and is feeding you gibberish ...as usual. Can you reiterate your BP/Namibia conspiracy theory again - I like a good laugh...

[pensioner2] 09/9/2013 20:10

Paxo..........squawk!

[wild_goose] 09/9/2013 19:56

Captain,

BP did the 3D seismic in record time, as you suggest.

Then they stalled on any announcement.

[captainfatcat] 09/9/2013 17:19

Wild Goose you are wildly off with your facts, what on earth are you talking about, BP have not stalled SQZ progress in Namibia if anything they have expedited exploration there by paying for extensive 3D seismic and processing that Serica could not afford. BP will no doubt have access to HRT's well data which would be used to confirm their own interpretation of seismic and also be used to help plan their own wells. The reality is that exploration for offshore Namibia is moving ahead at a very decent pace and from licence award to drilling progress is faster than many onshore wells.

[hedgebetter] 09/9/2013 16:47

Yes Lanaken, its a good post by Jimmy. I agree - more likely to get a lower percentage share than 50% - but the other guys will do the donkey work . Works for me!

[lanaken] 09/9/2013 16:18

Fair comment hedgebetter. They liked what they saw and dealt quickly to secure the deal.

If HRT hits the price will go up.

Some comment by Jimmy on iii

I agree with most of it but there is no way, imv, they'll retain a 50% share if another firm pays the drilling costs. More like 30% but that would still give a fiver per share on commercial success, as estimated now, and multiple chances of further success. See

hxxp://www.offshoreenergytoday.com/chariot-identifies-resource-potential-offshore-namibia/

Prospect B, Chariot's principal drilling candidate, is an Upper Cretaceous canyon-head trap in the shallower petroleum system and has an audited Unrisked Gross Mean Prospective Oil Resource of 469mmbbl, with an estimated probability of geologic success (Pg) of 22%. For this trap type and age of reservoir there are an additional three prospects (Prospects A, C and D) in the 3D seismic volume and three leads (Leads E, G, and H) in the 2D area. These additional prospects and leads range in Unrisked Gross Mean Prospective Oil Resource from 290mmbbl to 1,487mmbbl and success in Prospect B would offer significant follow-on exploration potential in these targets.

Unless HRT hit of course when we might get more;-)

[...]

Chariot have issued a new investors Presentation document to day. My comments below include points raised by others here but are included again for completeness.
1. To days presentation co incides with the revised CPR details for the prospective resources for the cental namibian blocks with an updated geological prospect maps on page 8. Chariot have highlighted prospect B with prospective resources of 469 million bbls as their lead target.
2. Prospect B appears to have an AVO anomly consistent with the structure size also, however this is not commented on.
3. Prospect has an NPV to Chariot of £12.00 per share, or assumming a farm out £6.00 per share.
4. Prospect B is a canyon head turbidite sand reservoir, just like what Tullow are focusing on, and sourced by a shallow source rock, presumably Aptian.
5 Prospect B seem to lie above a carbonate prospect, but no mention of that in the presentation.
6. huge follow on potential. Chariot are not drilling the largest prospect in their 3D inventory, so it would be interesting to know why it was selected.
7. Partnering process initiated on the centrals.
8. Chariot have received other approaches in connection with Brazil, Morrocco and Namibian Block 2714 B
9. Block 2714 B includes a Canyon Head turbidite prospect that appears to by sourced by a "proven petroleum system" presumably from the nearby K1 Nimrod well.Chariot will only extend its next 3D seismic program if the nearby Moosehead prospect prooves a deeper petroleum system. This indicates to me that the deeper petroleum system did not work for the K1 well, just the shallower source rock which lay above the Nimrod reservoir. This makes HRT's mooshead Barramian prospect a challenge, perhaps HRT's shallower cretacous prospect will have a better chance. Time will tell. However, either way the Canyon Head prospect in 2714B looks to be de risked by the Nimrod k1 well.
10. Forecast year end cash balance of circa $55 million or £0.18 per share
11. Strong track record of farming out.Thats key for us long term shareholders, lets have lots of rolls of the dice paid by third parties. With time and patience will hit oil. Chariot state that in the Central Blocks " Mature oil prone source rocks, good quality reservoir and seal demonstrated by nearby drilling" . So more farm outs to occurr, Tullow perhaps ?
12. Special welcome to our new Exploration Manager Mr Duncan Wallace, previously with Perenco and joins other Perenco alumni in Chariot such as Larry Bottomley CEO, Juliet Crosby, and Paul Ramsey.
13. Seems very quite with regard to Northern Blocks 1811.

With year end cash of 18p and huge amounts of activity in the area, its hard to believe that probably close to $100 million of 3D seismic costs are valued by the market at less than 1p or £2 million, and drilling succes could easily see Chariot at £6 per share for a discovery in its Central Blocks.

[f0rl0rn] 09/9/2013 15:43

No drilling till 2015, what's next? Dilution. ...

[wild_goose] 09/9/2013 15:34

The farm-in partner, is BP.

They will stall this block, as they have done to the others, Inc SQZ.

[wild_goose] 09/9/2013 15:32

HEDGEBETTER   9 Sep'13 - 14:56 - 3814 of 3815   0 0

My gut says HRT is a duster but I also note that Tullow have farmed in ahead of any HRT result. Wingat proved what the other oilers wanted to see and they are putting the money in. I suspect they have found something that moves us forward in understanding the geology. At no cost to Chariot.
-------

My gut says HRT is a duster, correct.


But I Lao note that Tullow have farmed in ahead of putting money in = wrong, Tullow know the result.

I suspect they have found something that moves us forward in understanding the geology. At no cost to Chariot. This is complete gibberish, can you translate please.

[wild_goose] 09/9/2013 15:19

HEDGEBETTER   9 Sep'13 - 09:43 - 3809 of 3814   0 0

BP are with Serica.
----

Thanks for that Hedge.

They have tied up, and stalled all progress on the SQZ block.

They will do the same with the CHAR central block.

[hedgebetter] 09/9/2013 14:56

My gut says HRT is a duster but I also note that Tullow have farmed in ahead of any HRT result. Wingat proved what the other oilers wanted to see and they are putting the money in. I suspect they have found something that moves us forward in understanding the geology. At no cost to Chariot.

[mariopeter] 09/9/2013 14:39

Very quiet at HRT and wishful thinking says better news coming there. Bad news was issued very early in their last dry well.

[f0rl0rn] 09/9/2013 14:06

As I said plan postpone already

[lanaken] 09/9/2013 12:54

The risked and unrisked figures are pie in the sky. CHAR will need an immediate hit on the first drill to end up with at best 30% of those figures given the need to farm out expensive drills.

Failure to hit with the first drill will lead, at best, to further dilution and much less upside.

That said the prospects are huge for a company with a market cap just a few coppers per share above cash.

The risks and rewards look attractive, but it remains a punt, albeit a very decent one at these prices.

repo

[hedgebetter] 09/9/2013 10:31

New fact sheet - approaches on 2714B, Morocco and Brazil. 2714B is in the South ...Chariot has 85% ..2714A was a duster (more like a wingat type duster!) ...

the Zamba prospect which is a great opportunity is in the North and here we are with a centrals update which is huge. Like I said a few days back - all three Namibia regions will be farmed out... and then there is Morocco and a second farmin probably by Cairn to take operatorship of Mauritania.

"Net unrisked NPV(10) of current portfolio at current equity is estimated by Chariot to range from: US$1.5B (£5/share) to US$5.5B (£17/share) Net risked EMV(10) of current portfolio at current equity is estimated by Chariot to range from: US$100mm (32p/share) to US$750mm (£2.50/share)"

I am accumulating while the market sleeps.... ;-)