Chariot Oil & Gas today posted a strong financial position as part of its half year results.
The firm has $29million in cash and no debt. The figure exceeds its licence commitments.
In the first six months of the year, the firm also successfully partnered with Eni in the Rabat Deep exploration permits offshore Morocco. The RD-1 well is expected to be drilled on the JP-1 prospect in 2017. The RD-1 well will be operated by Eni, following the conclusion of the Governmental approval process and the transfer of the operatorship of Rabat Deep.
Chief executive Larry Bottomley said: “Chariot continues to pursue its strategy of acquiring frontier acreage, maturing the portfolio and partnering to drill to create transformational value for shareholders through the discovery of material reserves. In the reporting period, we have secured the Mohammedia exploration permits in Morocco, matured the portfolio in those permits and the Southern blocks of Namibia, acquired extensive 3D seismic programmes in Namibia and Brazil, and successfully secured a drilling partner with Eni in the Rabat Deep permits in Morocco. Capital discipline is an ongoing focus and the strength of our approach to this, which has enabled the ongoing development of our asset base, is reflected in our cash balance.
“Our technical work over the last few years has laid the foundations of a strong company with a portfolio of assets capable of delivering transformational growth. The next phase across our portfolio is to create value with the drill bit and our aim is to partner with a target of drilling three wells within the next two years.”
The firm now plans to target the drilling of three wells within the next two years – four prospects from within Chariot’s portfolio are technically mature and drill-ready with the RD-1 well already funded through a capped carry.
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