Chariot Share Discussion Threads

[hedgebetter] 03/4/2014 09:41

Today 09:18sbsb5303ShareProphets article23.50No Opinion

It pays for a company not to have all its eggs in one basket. The way that Chariot Oil and Gas (CHAR) has diversified makes it even more attractive. All eyes are focused on the forthcoming exploration activity in Namibia targeting multi-billion barrels of oil, and, although Chariot have no direct involvement in the drill by Repsol and Tower Petroleum (TRP), which is due to spud in a few weeks time, a successful result finding commercial oil would give a massive boost to its own share price. This would also be the catalyst to finding a farm out partner for its Namibia northern blocks, adding yet more funds to the company's ever-growing pot, which stood at $56.7 million in cash at the end of 2013, and means it is fully funded through to the end of 2015 in terms of its contractual commitments. Chariot is convinced that the way forward is to find leveraged partners in what it describes as a 'two tier process' - initially for the 3D seismics, and then for the actual drills themselves - reducing the risk to the company whilst allowing it to retain a sizeable chunk of its licenses, and also generating additional funding. This is an approach that it has already implemented in Mauritania, farming out a 35% interest to Cairn before the 3Ds were even shot, in return for $26 million plus 39% of future exploration costs. And now that 3500km sq of seismics have been shot and processed, and the C19 block deemed drill ready, it is looking for a further farm out to fund that stage. Back in Namibia, the company is looking to take a similar approach on the central blocks, with drill-ready 'Prospect B' already identified as having gross mean prospective resources of 469mmbbl and with a geological Chance of Success of 22%, and significant upside on a strike. This is just one of a dozen prospects, some of which have even larger potential resources. Diversification into Morocco and Brazil is still in the early stages of seismic acquisition and finding suitable partners to take them forward, but offer good potential. Although no drills are currently planned, reading between the lines it isn't going to be long until one happens, and we could see more activity than the 'three wells in the next three years' that the company has mentioned itself. This drilling, and the timeframe for it, is largely dependent on what third parties in the same areas find – certainly in the cases of Namibia, Mautitania and Morocco, which will all see plenty of activity in the coming year. With the market cap currently at just £48 million and a share price of around 23p it represents a fantastic opportunity for anyone willing to take a risk on even some of the drills being successful, which would give upside of multiples of the current level. - See more at:

[heyho2] 03/4/2014 09:10

OIL & GAS: CHARIOT OIL & GAS (LON:CHAR)COMMENCES MOROCCO 3D SEISMIC SHOOTChariot has commenced a 1,700km2 3D seismic survey across its licences offshore Morocco.Survey will encompass the 1,075km2 shoot in the Rabat deep area, 250km2 in Loukas Offshore and 375km2 in Mohammedia area.Chariot has a 75% interest in the blocks in which government petroleum agency ONHYM is free carried to the tune of 25%.The aim is to mature drillable prospects in the Mio-Pliocene and Jurassic plays identified in reprocessed historic 2D seismic.No change to forecasts.NORTHLAND UK VIEW: The programme is expected to take six weeks and fulfils all of the work commitments for the Morocco Licences. It is expected to cost around $13m and is built into this year's capex budget included in our forecasts above. However, the company will hope to recoup this spend later by farming out to meet its aspiration of zero cost exploration as it successfully did last year with the partial farm out of Block C19, offshore Mauritania. As stated in our update note on Tuesday, we see good scope for further farm outs this year. In particular, we hope to see the farm outs of the Central Blocks and a further farm out for the drilling of Block C19. Overall, we remain confident of management's ability to achieve a valuation uplift on balance sheet intangibles and to financially de-risk an element of its exploration portfolio. At the current price, the shares are trading at a c. 60% discount to net assets. This looks undemanding and we maintain our BUY rating with a price target of 40.5p.

[clumpweight] 03/4/2014 07:27

RNS, seismic in Morroco, to identify drilling prospects, which they ay drill in 5 years time.

Any this to prevent drilling in Nammibia.

[dimtim1] 01/4/2014 15:26

DRILLING IN 2014 ?http://www.chariotoilandgas.com/files/2913/9634/3655/31.03.14_CHAR_factsheet.pdf

[epiphany99] 28/3/2014 11:42

Red Evans on which area could lead the turnaround for AIM small cap oil & gas

[clumpweight] 27/3/2014 19:30

The refinary is old, Anne bad news.

Production in these West African countries only works when the oil. Goes to an offload tanker, and is sold.

A Gov regulation, saying oil must go Nammibia refinery is bad news. You will never see the money.

[maximillian1] 27/3/2014 12:03

For a new refinery...you would need a lot of new crude to process...tells a story...

somebody knows somthing is in the pipe line so to speak..

[hedgebetter] 26/3/2014 18:46

Thank You TK.

[hedgebetter] 25/3/2014 17:13

I read somewhere that Namibia have announced they are going to build an Oil Refinery in the Walvis Bay area.. has anyone got a link?

[lovegod2] 25/3/2014 17:05

cairn was up today as well

[cherisher] 25/3/2014 17:02

looks like 50p on good news to me... good news is close by the way. watch this space

[hedgebetter] 25/3/2014 11:39

No - that is very old news. Chariot are awaiting on several farm-outs and some fantastic recent coverage by analysts.. etc

[osirisra] 25/3/2014 08:08

Trp announced a drill ship in Namibia recently, knock on affect here maybe?