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I would think this would make it more likely that Energean would try and make Morocco work so that they are strategically diversifying (they have also made this statement publicly, pre drill), reducing the dependency they currently have on Israel

IMHO

Agree BDC, but you could quite easily buy it once they have sold Anchois to Enog.. I suspect Namibia will be important..

For a Total it’s attractive on power, renewables, hydrogen and Namibia.. especially with cash from the Anchois sale

DYOR

DYOR

With the market cap at £15m.. This is likely to attract a speculative bid.. Which if public, is another potential share price catalyst..

£15m market cap currently, give or take and a lot of value on offer

An an example 10p a share or £100m market cap would buy you

1. 30% of Loukos and 40% of Rissana. Potentially the whole licence if Enog walk (dont think they will). 1C at a minimum and a stack of exploration upside. Or sellable to Energean for half of the purchase price of Chariot?

2. 500 mw power pipeline on power + renewables, financing in process

3. 50% of one of the worlds biggest Hydrogen projects in the world. The only way currently to achieve net zero.

4. Namibian back in rights at 10% on 2714 a+ b. If application successful much broader access to a multi billion play, where Char have a lot of intel - and a good to go farm out partner?

5. Loukos - With a potential well to test, and newly identified exploration prospects.

6. $6-9m cash

You would think the bidder might wait until the Namibian application is confirmed..

Btw, I don’t want to sell at 10p, but you could see a bid as a catalyst..

DYOR

I wouldn’t go that far on Malcy gooner… he was talking about sunlit uplands on Friday 😆

With a focus on funding at the asset level, if they can succesfully achieve that for Power, Hydrogen and Namibia and Anchois is sold (with the team trasnferring) the G&A will reduce significantly at the top co level!

Keep posting BDC, I agree with you..

I thought there were some clear messages in the update..

Hydrogen and Power seeking to fund at the asset level, Namibia if successful will fund at the asset level - so focused on managing cash.

it sounds like, given the knowledge they have, that they stand a good chance of getting Namibia. I suspect they have a partner lined up.

They clearly aren't sure about Loukos in terms of OBA1, so aren't taking the risk for now. I would prefer they preserve cash and avoid any further leakage on this well if they aren't certain.

Sounds like they will/may sell Anchois, but making the point it is valuable. If they recover $30-60m (even if phased) then that is clearly helpful in terms of them being properly capitalised moving forward. I assume if they sell Anchois the team will go with it, reducing G&A. They may use some of this to further develop Loukos (based on new targets) with the ambition of creating future cashflow.

DYOR

If Anchois runs on the basis of a gas volume of between the 1 and 2c (say 450-500), with a gas price of 11-12 - any thoughts on what Energean would pay for Chariot’s share?

I would be surprised if they dont run with Namibia.. given the noise they have made around it and partnering quickly.

DYOR

The point is that they are set to update on

Loukos, Namibia, Power and Hydrogen - and of course where we are with Anchois

There is still a lot of news flow to come

DYOR

Worth having a look at slide 15 for anticipated news flow.. not withstanding that Anchois will now likely follow a different timeline..

https://chariotenergygroup.com/app/uploads/2024/09/Chariot_July2024_presentation_pngfinal.pdf

DYOR

Based on Capex of $500m. for a 1 well solution in both 1c and 2c cases..

Worth taking a stare at Anchois. Crudely using your numbers from the other day, Fernan..

NPV10

1C (365) = $480m (Gas at $10) // $567m (Gas at $11) // $650m (Gas $12)

2C (637) = $1.6bn (Gas at $10) // $2.3bn (Gas at $11) // $3.1bn (Gas at $12)

Pick a number in between... -450-500 with Gas at $11-$12 is over a $1.0bn. The 1C is confirmed by Netherland Sewell Associates, a respected independent body. Chariot currently own 30% of this.. clearly to be negotiated. Even If they lose half in exchange for some cash they still have $150m + whatever cash the can access. They own 40% of Risanna.

Power Pipeline - Auctus have 8p indicator, Stifel 10p. CFO has confirmed they are expecting to raise $50m based on current conversations..

Namibia Back in rights (10% of something - TBC)

Namibia licence ?!?

Hydrogen - Massive Gigascale partnership with Total

Loukos (sustainable cash flow, if it flows)

All of this really worth £20m market cap? DYOR...

The ENOG CEO has confirmed there is gas there (in Anchois), just less than expected or modelled and its about price... at $11 this is likely to run on the 1C with the exploration upside for ENOG .. and if it doesnt someone else will run it

Looking at Chariots roadmap of updates for July - updates on all of the above are due this calendar year

DYOR

Well said M young. Only adds are : we know it’s likely at least that number.. the NPV on that number of $700m moving quickly toward a $1billion if it is 400 or more … and we know the ENOG CEO stated there is gas, the development depends on the mor gas price. We also know the Moroccans are desperate for energy security.

Reading up online it sounds unlikely that the rig would rendezvous with a supply ship at the drill location. More common near to the port .. if they were demobilising …

But as you say time will tell..

DYOR

Thanks M3. The bit that looks particularly curious is that October is a contractual commitment .. not an option. The drill and analysis would surely have been scheduled to complete end September?

Thoughts?

Whilst hope and luck are clearly not good investment strategies… we may be due a bit …

Let’s see

IMHO

If they have knowledge of something that can materially influence the price, that the market doesn’t, then they can’t buy

Out of curiosity does anyone have a view on what they would need to drill and flow test A2 that they aren’t carrying ?

Any ideas how long to reenter it, and flow test it ? 7-14 days?

Chat GPT has it at 4km, but I cant find the data source...

Marland - Are you saying Duncan said it was 6 miles?

Or perhaps they are... ENOG issue an update on an analyst call, saying there is gas, we will go ahead with a smaller development - but its about price

About 72 working hours later Chariot RNS that 'that's it, rig demobilised, targets water wet... but there is gas in the B sands .. just less of it than we thought... Sounds awfully similar to ENOGs comment to me..

Who knows, and just a theory - but you might conversely argue they are joined up..

DYOR