The flow rate will be the game changer but the extension of the gas field from offshore to onshore is very significant imho.
This gas is high quality tertiary age turbidite reservoirs – Miocene have excellent reservoir properties with 30% porosity. 100m of net gas pay would be amazing!
This should easily maintain 30mmscfd – the deeper the sands the better for all
We have not mentioned RSD1 Rissana - which is another extra 2 TCF conservatively to be drilled in the future
This company will be taken out....and we will all say that was an easy trade wish I bought more at 8/9/10p
With a 10 yr tax holiday for chariot what is not to like!
1. This is will be a material onshore gas discovery which was not accounted previously valued at 0 p
2. They should sell the renewable / electricity biz worth conservatively 5p also currently valued at 0 p
3. 1 tn cubit feet gas is 170m barrels oil I think everyone can do the maths
4. Obviously the only way is a trade sale of this business for much higher or unless we get some proper institutional fund managers now thinking this is a good trade….
Who knows but I can assure everyone today the spiv traders pulling it down today has no reflection on the price in the near term (3-6 months)
I am topping up all day every day under 9 p
Looking like a great buy now
Also chariot oil looking strong which will be a win win!
Strong read through for other geologically linked prospects in the Gaufrette area with success potentially unlocking combined Best Estimate recoverable prospective resources of 26 Bcf
If my maths is correct 26 BCF is worth approx around half the market cap of Chariot ?
Would be a great find and could be producing in 6 months….
The Transitional Power business was a successful start-up by AP, with minimal capital expenditure. With the support of major players, I believe it has the potential to generate 5-10m for Chariot and eliminate the need for further funding. Once the gas starts flowing, the business will become more attractive for potential buyers. It is puzzling why brokers like Stifel are not actively seeking solutions and bringing in more institutional funds given the low valuation of the company.
What was the date when we last saw AP setting up the rig ?
We should definitely get news next week…. Quarter end is v close!
Seller must be closing out - been pulling down since December!
Come on management gives us an update pls!
Friday generally is good day !
I'm sure everyone saw the below article re ENOG
The new contract with Eshkol is a further testament to the trust in Energean from the Israeli electricity producers, adds circa $2 billion of revenues over the life of the contract to our business, and is in line with our strategy to secure long-term reliable cash flows from long-term gas contracts,” added Rigas.
At the end of 2023, Energean revealed a new country entry in the Mediterranean region with plans to take over the operatorship helm at two Moroccan offshore licenses from Chariot, thanks to the duo’s partnership agreements.
…..
ENergean is very much now in control…..
I am sure like many you have owned the shares for a while and are v disappointed at the direction of the share price and have lost money feel awful.
But is a 50% fall in 6 months justified? Is there a fundamental change in management or the company prospects?
Are they going bust or running out of cash? Is there a route to profitability near turn?
If in September the price fell in a day from 15 to 7p how would one react?
ENOG just make our market cap in one days trading! They are up 7% plus.
Do we think this will fall to 5p - it could
However, once gas is flowing onshore and offshore do we think the shares will be at these prices?
Although it's painful to watch 50% value destruction in the last few months
If you can buy shares at a 80% discount plus 25 m cash on the books ( which accounts for 35% of market cap ) just maybe you are not so stupid.
My biggest concern is that this company with 1tcf of gas is bought out at a low price.
Panr went from 8p to 20 p in 8 days
He1 did 10x in 5 days
Char went from 8 p to 20p in a couple of months
Can Char turn a corner in the next 60 days lets hope so!
The key to success lies in being patient. This particular share is incredibly cheap and discounted -it's not a matter of if, but rather when it will happen. It's no longer a risky bet; after the successful discoveries made by Reposol and Dana Petroleum, Chariot has shown significant progress albeit taking some time. Without the support of Adonis P, the company would have been close to bankruptcy at 1 p. Several brokers have set targets of 45 p or higher, - The share price is expected to rise significantly in the next two months as they prove the presence of 1tcf of gas. So, brace yourself, as I don't believe this price will last for much longer and will all be kicking ourselves for not topping up at these prices.
John Maynard Keynes famously observed that markets can remain irrational longer than one can remain solvent. The recent market behavior seems to have forced many investors into capitulation. It appears that a significant number of individuals profited by betting at 1-5 p per share and now require liquidity. The selling pressure has been predominantly from retail investors, leading to low momentum and a lack of institutional participation. However, looking ahead, the next six months are likely to bring fundamental value to Chariot, eventually rewarding long-term investors. Reflecting on past experiences like Pantheon Resources, which surged from 8 p to 140 p and back, there is potential for Chariot to replicate a similar pattern. Despite its previous move from 8 to 19 p in a relatively short time frame, there is a possibility that it could undergo a similar trajectory once again. That is why I continue buy at these levels.
As Ben Graham wrote
Mr. Market is there to serve you, not to guide you. It is his pocketbook, not his wisdom, that you will find useful. If he shows up some day in a particularly foolish mood, you are free to either ignore him or to take advantage of him, but it will be disastrous if you fall under his influence. Indeed, if you aren’t certain that you understand and can value your business far better than Mr. Market, you don’t belong in the game. As they say in poker, “If you’ve been in the game 30 minutes and you don’t know who the patsy is, you’re the patsy.”
The company has cash and should be making 70 m plus ( current market cap) in revenues in 15-20 months.
It will be v interesting to know the premium the govt and other entities will pay for the gas….with everything heating up in the ME i am sure this minow will be in the hands of a major sooner rather than later it has all the relevant hallmarks - This is not a binary bet now it it is de risked company with a growing asset / gas basin….
It seems like the other pillars will make profits in the next yr which should be 5-10 p in value. The future is looking brighter indeed! V excited for drill results this quarter! 😊
True this has been death by a thousand cuts over 1.5 yrs - and rather a painful year for many!
But I only buy shares which I am happy to hold for 5 years
This company has a very good chance on a probability basis of outperforming the market. I am looking at value and will continue to buy in at these prices. Even if it falls to 6 p I would look to allocate. As long as I continue to buy a good company at a good intrinsic price the rest is easy. If in December it was 15 p and 9 p I see it as a fantastic opportunity. The company has been significantly de risked and the market is giving me another bite of the apple. Personally I reckon the company has a very good chance to be bought out in 6-12 months.
If not it’s on course in the next 24 months to make free cash flow of 100m a year. I think it’s worth it at 8/9 p
Chariot is one of the few aim companies to have agreed terms with a fantastic experienced partner who has drilled very successful wells already in the Eastern Med.
If people are so upset with the share price they should sell -
In 3-6 months it will be a lot higher with positive drills expected