REG - Challenger Energy - GUAYAGUAYARE LICENCE - TRINIDAD

Challenger EnergyAnnouncement

14/06/2023 07:00

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RNS Number : 6737C  Challenger Energy Group PLC  14 June 2023

14 June 2023

Challenger Energy Group PLC

("Challenger Energy" or the "Company")

 

GUAYAGUAYARE LICENCE - TRINIDAD

Challenger Energy (AIM: CEG), the Caribbean and Americas focused oil and gas
company, with a range of oil production, development, appraisal, and
exploration assets, is pleased to advise that CEG Goudron Trinidad Limited
("CGTL"), a wholly owned Trinidadian subsidiary, has been notified by the
Trinidad and Tobago Ministry of Energy and Energy Industries ("MEEI") that the
Government of Trinidad and Tobago has authorized MEEI to enter into
negotiations with CGTL for the grant of an Exploration and Production (Public
Petroleum Rights) Licence for the Guayaguayare block (the "Licence"),
following a successful bid for that Licence by CGTL.

 

The Guayaguayare block is located onshore in south-east Trinidad. It is one of
the largest onshore exploration and production blocks in Trinidad
(approximately 306 km(2)), and is strategically and operationally synergistic
with the Company's core Trinidadian production business, in that the Licence
wholly encloses the Company's Goudron licence area, and is adjacent to the
Company's Trinity-Inniss licence area (refer to the Appendix to this RNS).

The Company considers the Guayaguayare block to be highly prospective, being
amongst the largest remaining underexplored / undrained contiguous onshore
areas in Trinidad. Additionally, the block contains approximately 65 historic
wells, a few of which are active, but most of which are currently shut-in /
suspended / abandoned, and many of which the Company believes can be
reactivated and serviced from existing operations, thus offering the
opportunity for near-term production uplift at minimal incremental cost.

The Company will advise the terms and conditions of the Licence, including the
Company's agreed work obligations, on completion of negotiations with MEEI.

 

Eytan Uliel, Chief Executive Officer of Challenger Energy, said:

"Late last year, we advised of our Trinidad strategic focus, which was to
concentrate on the south-east of Trinidad, where we have most of our existing
production and operations, and thus a competitive advantage. Recognising the
strategic and operational synergies available, we submitted only one bid as
part of MEEI's 2022 Onshore and Nearshore Competitive Bid Round, for the
Guayaguayare licence - one of the largest available onshore licences in
Trinidad, and a block that is fully aligned to our strategy. We are thus
extremely pleased to have now been selected by Cabinet as the party with whom
MEEI is to negotiate licence terms, and we look forward to working with MEEI
on this process. We are enthusiastic about the prospects this block offers for
CEG in Trinidad - both in terms of near-term production gains, and long-term
exploration upside."

 

For further information, please contact:

 

 Challenger Energy Group PLC                     Tel: +44 (0) 1624 647 882

 Eytan Uliel, Chief Executive Officer
 WH Ireland - Nomad and Joint Broker             Tel: +44 (0) 20 7220 1666

 Antonio Bossi / Darshan Patel / Enzo Aliaj
 Zeus - Joint Broker                             Tel: +44 (0) 20 3829 5000

 Simon Johnson
 Gneiss Energy Limited - Financial Adviser       Tel: +44 (0) 20 3983 9263

 Jon Fitzpatrick / Paul Weidman / Doug Rycroft
 CAMARCO                                           Tel: +44 (0) 20 3757 4980

 Billy Clegg /Hugo Liddy / Sam Morris

Notes to Editors

 

Challenger Energy is a Caribbean and Americas focused oil and gas company,
with a range of oil production, development, appraisal, and exploration assets
in the region. The Company's primary assets are located in Uruguay, where the
Company holds high impact offshore exploration licences, and in Trinidad and
Tobago, where the Company has a number of producing fields and earlier-stage
exploration / appraisal projects.

 

Challenger Energy is quoted on the AIM market of the London Stock Exchange.

 

https://www.cegplc.com (https://www.cegplc.com/)

 

ENDS

 

APPENDIX: CEG T&T LICENCES, WITH GUAYAGUAYARE

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