REG - Chariot Limited - Anchois Engineering and Design Update

ChariotAnnouncement

08/03/2023 07:15

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RNS Number : 2161S  Chariot Limited  08 March 2023

 

8 March 2023

 

Chariot Limited

("Chariot", the "Company")

 

Completion of Engineering and Design for Morocco Offshore Gas Development
Project

Progressing the Anchois development to deliver first gas

 

Chariot Limited (AIM: CHAR), the Africa focused transitional energy company,
is pleased to announce that it has now completed the Front-End Engineering and
Design ("FEED") on the key components of its flagship Anchois gas development
project ("Anchois"), offshore Morocco. The Anchois gas field is located within
the Lixus Offshore licence area ("Lixus"), in which Chariot holds a 75%
interest and operatorship, alongside ONHYM which holds a 25% interest.

 

·      The FEED for the Anchois development was initiated in June 2022.
In conjunction with the subsurface development studies, this work confirms the
individual components of the initial development, which includes:

 

o  Three initial subsea producer wells, including the Anchois-2 well drilled
by Chariot in 2022, with multi zone completions to enable gas recovery across
multiple stacked sands;

o  Subsea infrastructure ("SURF" and "SPS") capable of delivering produced
hydrocarbons from the wells to the onshore facilities via a subsea flowline
and controlling the wells via an umbilical, with future expansion capabilities
to tie-back additional wells;

o  Onshore central processing facility ("CPF") to process the hydrocarbons
and to deliver treated gas and condensate to market, with an initial capacity
of 105 mmscfd; and

o  Onshore gas pipeline to deliver the gas to the anchor gas offtakers via
the Maghreb Europe Gas Pipeline ("GME"), for which a tie-in agreement has
already been signed.

 

·      Engineering, Procurement and Construction ("EPC") commercial
proposals have now been requested.

 

·      In addition to the FEED, other technical work has been
progressing in parallel, in the lead up to development sanction, including:

 

o  Environmental, Social Impact Assessment ("ESIA"), for which onshore and
offshore environmental baseline surveys ("EBS") have already been conducted;

o  Field Development Plan ("FDP") is being finalised by the Lixus joint
venture partnership to enable the award of the production concession;

o  Development drilling planning is ongoing which can further evaluate the
potential of an additional 754 Bcf of 2U prospective gas resources for minimal
additional cost. The targets identified have an independently assessed
geological chance of success ("Pg") ranging from 49-61%.

 

Adonis Pouroulis, Chief Executive Officer, commented:

 

"We have made excellent progress across all aspects of our planned development
for Anchois and detailed discussions on partnering, gas sales agreements and
project finance continue concurrently as we move towards Final Investment
Decision.

 

"The conclusion of the FEED stage, largely performed by the Subsea Integration
Alliance ('SIA'), is an important step in defining the initial development
plan to deliver gas to our anchor customers. In conjunction with the Field
Development Plan and Environmental and Social Impact Assessment work completed
to date, we have further cemented the viability and commercial potential of
the development, founded upon its excellent reservoir and gas properties,
favourable location with regards to existing infrastructure and the
opportunity to leverage off existing, conventional technology. We remain fully
focused on taking the Anchois project to first gas in a way that can
continually grow the resource and project scale and help unlock the basin
scale potential that we see across our licence area."

 

This announcement contains inside information for the purposes of Article 7 of
EU Regulation 596/2014, as retained in the UK pursuant to S3 of the European
Union (Withdrawal) Act 2018.

 

Enquiries

 

 Chariot Limited                                  +44 (0)20 7318 0450

 Adonis Pouroulis, CEO

 Julian Maurice-Williams, CFO

 Cenkos Securities Plc (Nomad and Joint Broker)   +44 (0)20 7397 8900

 Derrick Lee, Adam Rae

 Stifel Nicolaus Europe Limited (Joint Broker)    +44 (0) 20 7710 7760

 Callum Stewart, Ashton Clanfield
 Celicourt Communications (Financial PR)          +44 (0)20 8434 2754

 Mark Antelme, Jimmy Lea

 

NOTES FOR EDITORS:

 

About Chariot

 

Chariot is an Africa focused transitional energy group with three business
streams, Transitional Gas, Transitional Power and Green Hydrogen.

 

Chariot Transitional Gas is focused on a high value, low risk gas development
project offshore Morocco in a fast-growing emerging economy with a clear route
to early monetisation, delivery of free cashflow and material exploration
upside.

Chariot Transitional Power is focused on providing competitive, sustainable
and reliable energy and water solutions across the continent through building,
generating and trading renewable power.

Chariot Green Hydrogen is partnering with Total Eren and the Government of
Mauritania on the potential development of a 10GW green hydrogen project,
named Project Nour.

 

The ordinary shares of Chariot Limited are admitted to trading on the AIM
under the symbol 'CHAR'.

 

 

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