Member Info for Jimmy23

Jt.

Chariot are expecting to get its licence awarded for blocks 2714 a and b in the Namibian orange basin.

Galp have just finished drilling its second successfull well in a 10 billion bbl prospect.

Chariot to get its licence at end of q1 25.

See.

https://www.offshore-energy.biz/fresh-oil-gas-condensate-discovery-comes-to-light-in-namibia/

Jimmy

Harry,

Clearly never done a farm out legal deal.

The farm in partner does its own due diligence on the technical data and forms its own opinion on the data. There are no representations and warranties regarding interpretation.

Jimmy

Harry,

You previously stated that enog were now farming out lixus licence, I asked for evidence, none was provided , so now you say no farm out.

The reality is a full technical assessment of lixus is required after anchois.

Happy Christmas.

Jimmy

Harry,

Anchois has three wells with proven gas in each. Morroco has a huge need for gas, and there are numerous nearby prospects to anchois offshore that could be added on as future satellite developments. I don’t believe enog will walk away. They will re evaluate all the prospects in the lixus licence with the additional data they now have.this takes time,

Jimmy

Harry,

Where your evidence that enog are farming out their lixus licence interest, you have yet to answer that question.

It’s common practice in farm out agreements that if a farm in partner fails to complete its farm in obligations by a specified date that the licence interest is re assigned back to the original holder. As such the licence interest is encumbered by this obligation and in my opinion is not assignable without the consent of chariot.

Looks like you never did an oil and gas licence farm out.

Jimmy

Harry,

What’s your evidence that enog are farming out lixus before they have completed their farm in obligations.

Jimmy

Fernan,

I am also very disappointed that the Oba 1 well in loukos has not been flow tested, particularly as the funds were raised to drill and flow tested four wells and only two drilled.

Unfortunately we do not know how reservoirs found gas and if they need to be flow tested individually if they have seperately gas pressure regimes. My guess is that if it’s a single reservoir then cost is about $500k and about 10 days max, and if it’s multiple reservoirs requiring seperate isolation then additional equipment and time needed then about a month and $1 million.

I agree, this is the fastest route to cashflow and should be a priority.

The recent financing for the renwables power business will hopefully unlock cashflow quickly as well.

Jimmy

Surety,

Thank y.ou for posting the link.

We know chariot had reprocessed the loukos area 3D seismic and integrated the well data with the well results. Not publicly announced the results.

The farm out brochure says.

“These include the RJB-2 Re-Drill, OBA-1 Discovery Appraisal and Material Exploration opportunities”

This suggest to me that rjb2 discovery is bigger than previously suggested and now warrants a redrill. In addition, the Oba 1 discovery is big enough to require appraisal.

With these two prospects are derisked by wells already drilled, they should get a farm out as Morocco is desperately short of gas, and a quick route to market via cng.

Jimmy

The placing price was 5p, not 5.5 p as you suggest.

J

Fernan

The 100 m guarantee is the max exposure by the banks, but because it’s a trading guarantee could be used multiple times during the year. So chariot might actually cover its operating costs and unlock new capex projects.

At long last.

Jimmy

Masterfly,

Another investor asked about this at the Agm and was advised that they expected to secure third party funding for the renewables business by year end or early 2025 and that this would put a value on the renewables business of $50 million plus.

That’s the last news

Jimmy

The dealbreaker,

It appears that enog have to cover future exploration costs up to a gross amount of $80 million, less the $30 million spent, or withdraw. As onhym and chariot together control 55% of the licence they can propose future drilling , so that will force a decision by enog. I suspect that enog are buying time to assess the prospectivity of the area before chariot and onhym push for further drilling of nearby prospect such as anchois west which hopefully would get the project over 500 bcf to justify a development. That’s the most likely way forward in my view.

The other way is higher risk, which under a Joint operating agreement which typically governs oil operations, called sole risk, whereby one or more members of a joint venture can declare sole risk and the other parties must then decide to either participate or assign that project to the sole risk parties.

So there are strategies to stop enog from sitting on the fence for long periods.

Jimmy

Fernan.

Thanks for posting that as it clearly shows that if enog drill again in lixus, chariots costs are covered by the farm out agreement. We know the proven gas volumes are not now at 500 bcf at anchois but there are plenty of nearby prospects that would get to that level, so enog will want to fully re evaluate all nearby prospects to get above the 500 bcf threshold.

They will try to leverage this uncertainty to get a gas price guarantee from morroco which is importing its gas and expanding gas powered power generation.

Note, energean state they will drill unspecified exploration targets in 2026.

Jimmy

Surety.

My guess is that anchois 3 is now analysed, and the operator and chariot have revised gas volumes, they want a guarantee of higher gas prices to proceed. Gas in Spain is $$13 mcf so that will most likely be economical.

Enog, are probably looking at the rest of the licence and may be reprocessing seismic to get better Avo signals that identify gas water contacts. That could take till 2q next year.

Just a guess, but chariot cannot say anything till the operator decides what to do.

Very frustrating.

Jimmy

In additi

The enog rns stated its key strategy is.

“ A key pillar of our strategy is ensuring a reliable dividend, supported by our focus on securing long-term cash flows that are independent of commodity price fluctuations”.

So energean looking to get a guaranteed gas price for an anchois development I would be consistent with such strategy.

Jimmy

It appears to me that mm widen the spread during periods of low volume, so that sell trades get reported as buy trades as they are at more than half the price of the bid offer spread.

Smoke and mirrors.

J

Harry,

You clearly have never done a farm out. Show me an example of a farm out in Morocco where onhmy increased their 25% interest.

You are simply wrong and do not understand the legal basis for farm outs.

Jimmy

Harry,

The licence obligations have been met, so the licence will progress to the next stage.

Chariot farmed out its licence interest to enog so it will revert to chariot if they withdraw. That’s how farm outs work. There is no prior situation in Morocco where onhym has increased its 25% carried interest.

I agree with you that chariot cannot say anything until enog formally withdraw, but chariot have a long list of parties to farm out again.

Jimmy

Surety.

Thanks for the translation.

It does look like energean will withdraw from the licence and chariot interest will increase to 75%.

We have three wells in anchois which all found gas, my guestimate is that it’s now circa 450 bcf and most of the design work for a development has now occurred.

The key will be to secure a state guarantee for the gas price. The current price of gas for 2025 in Spain is approx $13 mcf , so the project is likely to be viable at those prices.

Perhaps a farmout to a well connected moroccon entity would facilitate a state gas price guarantee which in turn unlocks the debt financing.

There were over 40 companies in the farm out data room, and with such high potential prospects around anchois, should be very attractive to a farm in partner.

Jimmy

Rob,

I sold most of my shares in predator but still hold a small proportion.

I posted because I feel the lowest risk strategy is to flow test mou 4 carbonates, as announced by predator in august, but not now included in the current operational plan.

I posted because this is another example of predator not doing what they said they would do and not explaining why.

Also, they need to explain why predator view mou5 as being 50% chance of success and independant expert view it at 12% chance. Not unreasonable clarify the reasons for the differences, but again no communication .

Jimmy