RE: Gas prices being offered for 10-year LNG supply deals23 Apr 2022 18:59
Translated :
ANCHOIS 1: Now let's travel to the year 2009, the subprime bubble had just burst and the prices of hydrocarbons sank afterwards due to the drop in demand. In this context, Repsol and Naturgy are involved in an exploratory project in the waters of Morocco, with good results. In Anchois 1 there is gas. But keep in mind that natural gas was not so important at the time, and the lack of a gas pipeline nearby and other factors caused the Spanish oil company to scrap the project in 2014.
ANCHOIS 2 : Thus, it is Chariot who takes over Rissana's license, interpreting new 2D and 3D studies, and comes to the conclusion that there are areas near Anchois 1 that have not been explored and could have great potential. For this reason, it was decided to do directional drilling to reach all the sands. The result was a plenary session. All were rich in natural gas and without appreciable water content.
It is difficult to know how much gas is around these wells, but presumably it is very easy for there to be more than 1TCF. The next CPR published by Chariot (I don't think it's very far away), will resolve doubts about already insured reserves. As you can see, the surroundings have geological changes and are likely to be drilled in the future, since, for example, North Anchois has already been "derisked". The next step will be to seek financing to put the two current wells into production, and for this Chariot could sell part of its stake to obtain money, make a JV or the one that least convinces me, ask for debt to finance it alone. The amount of development could perfectly be around 200 million dollars. In the following image, you can see the size of Lixus and Rissana the block that surrounds it, which Chariot has the option to explore.
BEHAVIOR OF THE ACTION : If we look closely, the results of the drilling were well received, but it was not until the percentage of gas, quality, etc. was known. when the price has really hit a good rally. All this while waiting for the biggest driver: The news of the financing of the development of the field.
Sign In
Follow the stocks
