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Wasted opportunity to bring in someone new. Bad move.

Care to elaborate?

5p buyout? Hope not!

Interesting read. Makes me think they will try again in Morocco.

From Energean’s RNS:

“$15m in cash, which is contingent on FID being taken on the Anchois development.”

That’s clear to me that we will ONLY receive the cash IF we decide to develop Anchois. I’d be very surprised otherwise.

And on the seismic part

“up to $7m of seismic expenditure on the Rissana license”

The key words ‘up to’ could be used by Energean to offer the bare minimum of seismic expenditure to Chariot, meaning we are NOT entitled to receive $7m in lieu of seismic expenditure.

Surely the $15m will ONLY be paid to Chariot if the partnership reaches FID. If they decide NOT to develop Anchois, Energean will NOT by paying Chariot $15m.

The partnership could also agree to sell ALL of the 1st gas (on a fast tracked, smaller commercial operation) to Europe at the highest price possible. Then use the free cashflow to drill for more gas to expand the operation. THEN the extra gas would be there to supply Morocco 'at the right price.'

Timing will be more or less the sam i.e. the original plan would have taken 2 years (so let's say 2.5 years) construction before 1st gas. A new fast-tracked operation on a smaller scale would take only half that time. So Morocco will still get its cheap gas in 2.5 years from FID.

Start small.

It’s not over with ENOG. They won’t walk away from Morocco so easily. All Chariot needs to do is to hang on in there.

The partnering deal includes $7m for Risanna seismic. IMO this will kick off quite soon after Anchois FID is agreed, so sometime in 2025.

“At a conservative 6X P/E it’s a 12 bagger”

Glad I topped up this week.

TheBold

Rigas never alluded to the 'entire Anchois development being at risk.' He acknowledged that the gas is there and that the key to getting Anchois to FID is the gas price, which will be negotiated between ENOG, CHAR and ONHYM when finalizing FID.

Amt15

Agreed. And no mention of suspending their strategic sale, suspending dividends, reevaluating their Morocco country entry etc. All still to play for it seems with Energean still committed to making Anchois a commercial success.

CHAR has much more upside potential IMO

Stena Forth is still there, offshore Morocco.

CHaR could sell the 10% which ENOG don’t buy to someone else.

At the last webinar AP said flow testing would commence in September.

Are you saying a TO price of c. £1 per share is feasible?

That would be great, but I reckon anything above 25p per share is possible. I also think ENOG may exercise their option to acquire an additional 10% of Lixus, and wait for CHAR to pay back their carry to ENOG before they make a move to aquire CHAR's remaining stake in Lixus and Rissana. I doubt they'd be interested in CHAR's renewables business btw.

Interesting topic. I'm also an investor with cash on the sidelines looking to take a position in either DEC or ENOG.

ENOG looks safer, however, if they decide to develop offshore Morocco they will need to carry their junior partner Chariot to first gas at a cost of up to $850m. And they may also need to issue more shares to Chariot if they decide to exercise their option to acquire an extra 10% of the Lixus license. Perhaps then the SP will suffer in the mean time, and so will the dividend yield, until ENOG starts to see a return on its investment in Morocco?

Padfoot

Oakbloke has since edited “Rixos” to “Lixus.” Apparently the former was the name of a nice hotel he once frequented, and it was on his mind when writing this piece!

His comment on Energean exercising its option per the partnering deal is interesting: “The 10% additional investment and $50m appears nailed on for CHAR ”

“Together, we’re poised to achieve remarkable things!” Aldo Costantini, Energean Morocco country manager.

Energean are fully committed to making the upcoming Anchois appraisal still a success.

https://www.linkedin.com/posts/aldocostantini_im-thrilled-to-share-some-highlights-from-ugcPost-7230868757638725633-YlrS