Member Info for Surety

Etana quite bullish on the quote front '...enables private sector investments'

https://energycapitalpower.com/cape-town-launches-electricity-wheeling-project/

Https://energycentral.com/news/cape-town-opens-electricity-grid-energy-traders-after-successful-pilot

Etana Energy

'Etana Energy is delighted to have participated in the City's wheeling pilot project with our valued customer Growthpoint. The successful conclusion of the pilot and opening up the wheeling opportunity more broadly is an important milestone in unlocking private investment in much needed new energy generation capacity in South Africa. It really is a win-win-win. Allowing customers to access cost competitive renewable energy through the grid via wheeling enables South African businesses to remain competitive on the global stage, while also benefiting the country and the planet,' said Etana Energy Chief Executive Officer, Evan Rice.

Thought this was worth sharing... Solar SAS?

https://www.bracewell.com/news-events/bracewell-advises-iamgold-essakane-s-a-on-acquisition-of-essakane-solar-sas-in-burkina-faso/?news_type=51

Given the BRITISH support today and the recent opening up on power following a successful pilot with 3 companies (one of which was Etana), hopefully that bodes well for the short / medium term whereby Chariot can realise some form of value in power - even if they then sell their stake..

BDC. The British government have announced this TODAY

https://www.gov.uk/government/news/uk-climate-envoy-rachel-kyte-announces-support-for-south-africas-wholesale-electricity-market-reform-and-implementation

All his other business are PLC Harry. If he delists he loses accesses to institutional investors and public money. He also takes a massive paper loss on his shares …

DYOR

~2030, but guidance by the summer on what follows

Https://on.ft.com/4buZaVi

Tells you quite a bit about priorities shifting .. and the importance of O&G to the exchequer ..

Unsurprisingly the cavendish and Zeus notes are calling out that they are not particularly concerned - but positively they are majoring positively on the early rhetoric of the fiscal consultation which backs up the AB statement

Agree, not ideal. But 2 points that were positive in ABs note.

1. There appears to an opportunity to recommit to it.

2. The opening rhetoric at the start of the fiscal consultation was clearly more pragmatic.

IMHO

The route to unlocking the Buchan development continues to depend on achieving satisfactory conclusions in respect of the on-going fiscal and regulatory consultations. The fiscal consultation was kicked off yesterday and encouragingly, while the details are yet to be fleshed out, it was apparent that the government has heard many of the concerns of the industry."

Allowances = losses

Divec

My perspective FWIW

i) on cap allowances - they have clearly reduced them but not to the Armageddon level (as people feared at the budget in Oct). I wonder if there will be a concession provided to the Jogs of this world given their low carbon approach as an incentive to regain some of the allowance that was withdrawn (in the hopefully soon to be post Milliband world).

ii) I think the FT take on the scope 3 evaluation due shortly (ie the Spring) seems to indicate it will be manageable

iiI) tax post epl in my view is the critical one. The consultation appears to have just started with the industry … this is the one to watch IMHO

Overall though I am feeling more optimistic (famous last words) with the rhetoric on Milliband exiting and for the time being his slightly softer language toward the North Sea at the post epl consultation kick off

Add Jogs interest in realising their allowances earlier through acquisition and things are hopefully finally looking up a bit

OilTDR. Any view on timescales please

Oiltdr, just building on JT's q. Rigas made a statement to the trade press (energy voice?) saying Anchois was commercially viable for a smaller operator (just not them) and that they had found gas. Do you think this stands in light of the re-appraisal - and how long do you think to conclude the process. Is the Gas Price deal attractive? Assume it must be acceptable if it's clearer and Energean are still working with Chariot?

Moderate interest in Loukos sounds ok - they only need 1 partner!

Assume the good news you referred to is either Power or Namibia

Any thoughts on timescales?

Https://propertywheel.co.za/2025/03/cape-town-opens-electricity-grid-following-successful-wheeling-pilot-project/

'qualifying providers' ..... feels like things are moving over there...

IMHO...

I think the point is more than they WILL likely acknowledge that O&G is a critical part of our energy mix for decades to come (and plays a key role in ultimately getting to net zero - if that remains the aim). It makes a material and much needed contribution to the exchequer and ultimately helps fuels a growth economy - and that banning our own oil and gas (particularly that with the lowest production emissions) makes no sense on either i) an energy security front or ii) when you consider the impact of importing O&G from less clean sources

I suspect that is the difference that will quite quickly become apparent ..

IMHO

Completely agree on cash

We need to hope that AP also recognises this. He’s put proper money in so can’t imagine he’s keen on this route

Looks pretty bad on the new chair too having said as recently as October on his appointment that their priority was shareholder value.

My hope, which may be misplaced, is that they have cut the burn significantly($1m month max further reducing as they start to fund at the sub level ), and are serious about what they said at the interims about subsidiary level funding …. + back costs from Loukos

🤞

An example of something very current... I wonder what Etana are working on...

https://www.engineeringnews.co.za/article/solarafrica-secures-r18bn-solar-investment-advancing-wheeling-adoption-in-south-africa-2025-02-25

DYOR

And finally... Total are clearly active there... Backup player for Anchois? Help Chariot get Loukos going...

https://www.africabusinessplus.com/en/822321/totalenergies-and-vivo-energy-form-joint-venture-in-morocco/

tick tock......

Thought this was also interesting.. on the Anchois economic point...

https://www.moroccoworldnews.com/2025/03/179424/morocco-becomes-spains-top-gas-customer-surpasses-france/

DYOR