Member Info for jt2017

I think since the reduction of directors last year, only 1 per year now needs to retire and seek re-election, with the oldest elected up first. That meant DW, AP & JMW had to draw lots and DW drew the short straw! IMHO

Hi Surfit, I’m not too sure what to make of the license extension news and if it is positive or negative for char. It’s been close on 6 weeks since the webcast and we have the usual radio silence from the bod. I think it was Oiltdr who gave the bod an F- for shareholder communication and I completely agree. We are no closer to knowing how advanced they are with any partnering and financing as we were months ago. I just don’t understand the reasoning on why they can’t be more open. I mean they can’t do any more damage to the sp that hasn’t already been done. IMHO (Sorry for the rant!)

Another article referencing the recent license extension, as found by Surety:

https://en.7news.ma/chariot-energy-wins-extra-year-for-loukos-and-rissana-gas-exploration/

I have asked Investor relations if CHAR would like to comment on the implications of the extensions and revised minimum requirements. DYOR

Good find Surety, just a shame this type of info is never considered important enough to be released by the bod and we are left to research it.

Do you think the ONHYM approvals could have been holding up any farm in negotiations for Loukos / Anchois?

Would be interesting to know what has changed regarding the minimum requirements of the Rissana license and if it still includes seismic in the extended period. DYOR

To be fair, I think they (the bod) have to play the hand they have been dealt. If A3 had not been a failure, we would have been in a much better place and probably not have needed to farm out Loukos. I still think they will be looking to delay the demerger as long as possible to allow Etana to grow and create more value, so they will be in no rush to develop Anchois in the short term. I don't think the last presentation was particularly upbeat, but I'm not expecting any more negative news. Namibia O&G conference is next week, so we may get some announcement soon. IMHO

The money raised during the early excitement with Anchois has built up the renewable business. With the exit of ENOG, the de-merger is the best way forward IMHO, as it allows the O&G side to debt fund any development / new ventures without risking the renewables side. However, I think they want to let the renewables business grow as much as possible before any demerger to get full value. It will be interesting to see how it all plays out after the tumbleweed clears. I wonder if the Managem group will be interested in Anchois, after their purchase of SOU’s Moroccan subsidiary? DYOR

I think PRD budgeted around £600k for the current testing of their on shore well in Morocco.

I think it is unlikely CHAR will test the discovery in the short term, as it is too risky. It is not just flow, but how much they can extract for it to be commercial. That's why they want a farm in to drill and test across the license IMHO.

Managed to extract a couple of paragraphs from that AfricaBusinessPlus article that Surety previously found:

"According to its CEO, Chariot is now seeking a profitable formula based on 70 to 100 million cubic metres of gas produced per day from the Anchois-1 and Anchois-2 wells alone. « The key issue now is capital expenditure, which has ballooned since the war in Ukraine, » he said"

"The funds will not be public: the solution of having ONHYM go back into the pot, which was considered for a while, has been ruled out. Chariot is in the process of splitting its gas business from its renewable activities on the Alternative Investment Market (AIM) in London"

So does that mean they are looking at producing from A1 & A2 and not re-drilling near A1? Also, seems to rule out any ONHYM funding for the project.

Funny how we seem to get more info from outside sources than from the bod. How accurate it is though is anyone's guess. IMHO

Another one:

https://northafricapost.com/88982-chariot-revives-moroccos-anchois-gas-field-with-pragmatic-approach.html

Not sure if it's possible to get gas production within 18 months though. IMHO

Another Anchois article:

https://en.hespress.com/116324-chariot-reclaims-anchois-gas-project-after-energean-exit-eyes-fast-tracked-moroccan-rollout.html#:~:text=Headlines-,Chariot%20reclaims%20Anchois%20gas%20project%20after%20Energean,eyes%20fast%2Dtracked%20Moroccan%20rollout&text=British%20energy%20firm%20Chariot%20Limited,granted%20to%20Energean%20in%202024.

AP said "The short answer is no" during the Q&A session on the webcast, when asked about funds in the subsidiary.

They have to publish the sub's accounts for year end 24 next month, so we can see were all the $56M got spent.

I believe positive news will come, but not sure of the timescales. Both AP and DW were careful with their words on Anchois progress during the webcast and I did not get the impression from them that things were advanced as Oiltdr previously suggested on this board. That said, I still think a development will happen and maybe ONHYM will be more involved (as a public company) than we think. Less than 2 months until the AGM, so lets hope of some news will be released beforehand. IMHO

The Namibia Oil & Gas conference is in August, so maybe we will get some idea on the Namibian government’s timescales to issue new licenses. Char were a bit vague on where they are looking for a possible production oil / gas asset, though DW did say it would be funded by debt in the subsidiary (How much I wonder?).

Still expecting first news to be on char investment stake in renewable assets, before anything else. In the meantime just need the tumbleweed on the road ahead to clear.

Also, I believe the O&G subsidiary has to file the 2024 accounts next month, so it will be interesting to see if it sheds light on how the $56M was spent by enog & char. Just seems a lot to me for drilling one well! IMHO

I expect a rinse and repeat (raise)! We do have a significant holder of 23%, as of 1/1/25 (Tulip who previously owned the Rhein asset got the shares via the last reverse takeover), so they may not be too keen on taking a hit, unless they've already sold out since. Jasper indicated he had contact with the bod, so maybe he can shed some light, unless he has sold out? IMHO

Hi Surfit, that’s the frustrating thing with char. We always seem to be waiting ages for a positive RNS announcing a deal or update. During the webcast, they seemed coy when pushed on forthcoming news and I’m unsure if anything will be announced until we are closer to the Sept AGM (would be nice to be proved wrong!). I would have liked them to go into more detail on the proposed scaled back Anchois development, but maybe their hands are tied. Oiltdr said there was a reason for the low funds raised for working cap, but I’m still not sure what that is? JMW though, seemed confident that we have enough funds to keep the lights on for another year.

A question for the experts out there:

Is it possible that a reduced Anchois development could start out with just one well e.g. A2 and then drill another or repurpose A1 at a later stage to increase production? Could they produce daily 70 million cubic meters of gas from just A2 well production? I suppose testing the main sands in A2 is currently the most economic option going forwards. DYOR

Hi Surety, to me, the power business has great potential, so to sell at this early stage would seem to be madness, unless it is at a price they can't refuse. The power business is closer to producing earnings IMHO. I agree there are still great prospects in the Morocco license area, but I think the A3 result has hit their confidence. I think DW was a bit subdued, but I don't subscribe to the theory of the lack of success being down to him. O&G exploration always carries a risk and I believe the success of A2 allowed the funds to be raised to build the power business.

Also, sounds like with Anchois, it may not be cost effective to target all of the sands, so resource estimate will be lower? That was my opinion.

Hi Surety, what was your take on the presentation?

For me, it was a bit underwhelming, with no real news on progress to report. Maybe the restructuring at ONHYM has prevented any update on Anchois negotiations, as I get the impression they may be more involved in any new development than we previously thought. At least AP acknowledged that previously raised funds were diverted due to A3 failure and that overheads have now been cut. Namibia delays are out of their control and no real update on Loukos. I think the power business is likely to provide the news flow in the short term. They have realised that using the previous O&G expectations to enable future fund raising is over and they need to adapt. Still think we are definitely under valued at the current sp, but don’t expect any change until some positive news flow. IMHO

Just submitted some questions for the webcast regarding any funds in the returned subsidiary (it would be nice to put this to bed), improve bod communications with shareholders and predictions for when each business will produce earnings /profit.