Chariot Share Discussion Threads

[edgein] 11/1/2022 10:45

Excellance,

Until now CHAR was largely uninvestable, its was pure Namibia exploration and didn't find commercial hc's from the multiple wells they drilled. Ultra high risk and a pure gamble. I entered here on the day the 5.5p placing and open offer was announced as it was cheap and was about to drill their best prospect to date (the Anchois appraisal). That was moderate to low risk. I was hoping the A,b, perhaps C and O sands would come in, didn't expect a fully house or over twice the previous net pay. Well came in way beyond my top level of expectations. Gas column in terms of pay for A, B, C, M and O sands between A-1 and A-2 circa 400ft. Great stuff as the Anchois structure is over a large area and is adjoined by Anchois North. Also updip is now clear of the gas water contact. More significant is that Anchois and all of the other targets have a similar seismic signature so the likelihood that Anchois is alone on this and the surrounding licences is low. This is a company transformational well to CHAR, certainly by far the most significant well in its history.

From the annual report:

"Whilst fully written down, Chariot has retained its interest in Namibia and Brazil
with no work commitments going forward and will continue to host data-rooms for
marketing of both assets"

These are now non-core legacy assets and already written off. They may be written back on though if both Shell and Total hit large oil in their current wells. Already reports that Shell has hit oil in the Upper Cretaceous. CHAR's previous wells were perhaps just not deep enough. Namibia could once again become a hot area very quickly but the company's focus is very rightly on Moroccan gas and alt power.

Regards,
Ed.

[excellance] 11/1/2022 10:32

Isn't yesterday's news the most significant well CHAR have ever drilled?

I can't recall them having any success anywhere else ever with a drill, and now they are moving towards green energy so the focus is less on oil and gas.

Do they still hold oil assets or are they disposing of them?

[ant15] 11/1/2022 09:53

Jfreshfield, SPOT ON !!

[888icb] 11/1/2022 09:51

CHAR’s market cap is now £85 million and following the deriding as a result of yesterday’s RNS one would imagine that Institutional Investors will start to show strong interest in a stake in CHAR.

[888icb] 11/1/2022 09:32

Don’t wait to long now Up 4.2% at 11.15 on volume of 17.5 million with buys exceeding sells 2/1.

[pally12] 11/1/2022 09:27

Hope they keep price low so I can get some more

[jungmana] 11/1/2022 09:17

I believe more institutions joining us this morning after digesting the reports. This buying is not pi's alone

[888icb] 11/1/2022 09:02

After the first hour of trading Up 3.7% on volume of 11.5 million. Looking poised for a further move north with strong buying.

[jfreshfield] 11/1/2022 08:56

They just need to sit and wait. Focus on gas and other transitional assets. If a major finds more oil near them the value of the licence goes up. It's a growing asset on the balance sheet

[red rook] 11/1/2022 08:54

... 'when do Char drill these blocks'

... at this time I would prefer Char to focus on their offshore Moroccan asset and to start generating a wall of cash
... Char have currently no remaining commitments on the blocks to retain their licence, but are drill ready. They can afford to wait and see.
... if the current drills by Shell and Total produce results I'm sure there will be a resurgence of activity in Namibia ... other operators in the area also have plans currently to drill
... any success and with oil pushing $80 there will be a stampede like Guyana.
... if Char decide to restart they activity on their Central Blocks (which are in a prime loacation) then as operator and with 75% holding they have a number of alternatives ... with a potential 2.6 Bnbbls of prospective resource
... they could easily farm out and go on a free carry if they decide not to wait for the wall of cash coming in from morocco

[888icb] 11/1/2022 08:45

In addition to the Finn Cap 54p which is not valuing anything in addition to this current drilling we have had a Buy recommendation from Simon Thompson and Malay. The rerate should continue today in anticipation of further news above expectations from the re drilling of the original well.

[seball] 11/1/2022 08:21

As a result, FinnCap has hiked its prior price target. At 54p the broker’s new target suggests more than 400% upside to the current price of 10.05p.

"This well result transforms Chariot’s Moroccan gas ambitions and sets it firmly on a path to becoming a strategically important transitional gas producer,” Wright said.

Peel Hunt analyst Werner Riding, meanwhile, echoed the sentiments – similarly calling it a “potentially transformational well result” that confirms a new commercial development and de-risked further substantial exploration upside.

[jungmana] 11/1/2022 08:17

My thoughts too 30 to 50p valuation todsy. 2nd largest holding in my pot now as I doubled my holding yesterday around 10p

[seball] 11/1/2022 08:15

Agree this is extremely undervalued and now this is my biggest holding in my portfolio. These should be trading minimum 30p. Market will realise soon imo. If Shell have indeed hit oil in Namibia then this is also excellent news for Char and there prospective blocks. Buy

[sweepie2] 11/1/2022 08:14

Bought in here yesterday, love seeing significant find in a RNS

[ant15] 11/1/2022 08:12

Hi someuwin good to see you on here. As certain as can be that this is a fantastic opportunity.

[someuwin] 11/1/2022 08:07

Bought more. This still looks way too cheap now.

[everready1] 11/1/2022 06:40

so red when do Char drill these blocks?

[red rook] 11/1/2022 00:25

... Chariot operator of the Central Blocks licence offshore Namibia
...
Drill Ready; No Remaining Commitments
> 2.6 Bnbbls of prospective resource
Current Equity Position: 75%

... link from 2018 with map showing the offshore licences at the time Chariot commenced drilling operations for Prospect S well, offshore Namibia ... Shell and Total hold licences in the southern end.
...

... also another interesting link, with a focus on the Central Blocks
'Deepwater turbidites offshore Namibia shown to provide high-quality reservoir sands'
...

.

[mynameiskhan] 10/1/2022 20:46

Repsol relinquished Lixus license due to their strategic decision. They exited four countries including Morocco, that's why they had to relinquish Lixus.Plus, Anchois was not commercial in 2009 on standalone basis due to lack of infrastructure structure.However, now situation has been changed, there is infrastructure and any gas discovery will be connected to infrastructure via pipeline and gas prices is significantly higher than compare to 2009.

[red rook] 10/1/2022 19:56

... 'more good news for char'

... looks like Namibia may be finally kicking off if Shell has indeed hit oil.
... think Total have also spudded in the adjacent block, and results should be due soon.
... a lot of the big operators have interests in the area
... Char is operator and also holds licences covering two blocks in Namibia.

... anyone got a link to Chariots blocks wrt Shell & Total's ?

[jungmana] 10/1/2022 19:19

Finncap 54p price target, https://www.proactiveinvestors.co.uk/companies/news/970767/chariot-price-target-doubled-on-new-moroccan-discovery-970767.html

[excellance] 10/1/2022 17:01

So Repsol only drilled one of four holes looking for gas in 2014 and gave up the license five years later.

Still don't know why, but gas prices were extremely low at that time, particularly from Algerian producers, so development costs of $240m to $500m were considered prohibitive for development.

How things have changed!

[excellance] 10/1/2022 16:56

The reserves are “high quality dry gas (97% methane, no CO2 or H2S) in excellent quality reservoirs,” Chariot says.

[excellance] 10/1/2022 16:51

10.70p UT at close to artificially boost our share price
I still expect a significant rise in coming days and weeks if I've read this right.