REG - Chariot Limited - Significant Gas Discovery at Anchois-2 Well

ChariotAnnouncement

10/01/2022 07:05

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RNS Number : 8860X  Chariot Limited  10 January 2022

 

 

 

 

 

 

10 January 2022

 

Chariot Limited

("Chariot", the "Company" or the "Group")

 

 Significant Gas Discovery at Anchois-2 Well

Successful appraisal and exploration drilling in Moroccan offshore gas project

 

Chariot (AIM: CHAR), the Africa focused transitional energy company, is
pleased to announce the result of the Anchois-2 appraisal and exploration well
on the Anchois gas project within the Lixus licence ("Lixus"), offshore
Morocco. Chariot has a 75% interest and operatorship of Lixus in partnership
with the Office National des Hydrocarbures et des Mines ("ONHYM") which holds
a 25% interest.

 

·      Anchois-2 well has been safely and efficiently drilled to a total
measured depth of 2,512m by the Stena Don drilling rig in 381m of water.

 

·      Comprehensive evaluation of the well has been undertaken through
wireline logging, including petrophysical evaluation, subsurface formation
testing including reservoir pressures and gas sampling, sidewall cores and
well bore seismic profiles.

 

·      Preliminary interpretation of the data confirms the presence of
significant gas accumulations in the appraisal and exploration objectives of
the Anchois-2 well with a calculated net gas pay totalling more than 100m,
compared to 55m in the original Anchois-1 discovery well.

Appraisal Target

Gas Sand B has a calculated total net gas pay of more than 50m in two stacked
reservoirs of similar thickness. The upper reservoir is a continuation of a
reservoir drilled in the original discovery well, Anchois-1, with the lower
reservoir being newly identified.

Exploration Targets

Gas Sands C, M & O were successfully encountered with multiple gas-bearing
intervals across a gross interval of 250m measured distance with no
water-bearing reservoirs identified, materially exceeding pre-drill
expectations.

·      Previously discovered Gas Sand A was not targeted in the
Anchois-2 well, due to the intention of evaluating it in the subsequent
Anchois-1 re-entry operations, however, the Anchois-2 well encountered gas
bearing sands at this level providing important additional subsurface data.

·      High quality reservoirs were encountered in all gas sands.

·      Further analysis will be undertaken to fully understand the
positive implications on:

o  Gas resources within the expanded Anchois field and the scale of the
potential gas development.

 

o  De-risking of numerous additional material exploration prospects within
the Lixus licence area with similar seismic attributes to the Anchois
discovery now considered to be low risk.

 

·    The well will now be suspended for potential future re-entry and
completion as a production well in the development of the field.

 

·    The Stena Don rig will then move to the Anchois-1 gas discovery well
to perform re-entry operations with the objectives of assessing the integrity
of the previously drilled well, and if successful, providing a future
potential production well for the development of the field.

 

 

Adonis Pouroulis, Acting CEO of Chariot, commented:

"I am delighted to announce that Chariot, as well as conducting a successful
appraisal well operation, has made a significant gas discovery at the
Anchois-2 well which materially exceeds our expectations. We continue to
conduct further analysis on the data collected from the well, but as it
stands, we believe the result is transformational for the Company.

This is a tremendous outcome and I would like to thank ONHYM, our partners on
the licence, and everyone involved for their invaluable support, which enabled
the well to be drilled safely, successfully and on time during a time of
significant operational and logistical challenges posed by the current
pandemic.

With the recently announced key terms of gas offtake with a prominent
international energy group, interest from two highly regarded institutional
lenders to provide debt finance, an ongoing collaboration with a leading
constructor of offshore gas projects and now this successful gas well result,
the Anchois project is getting closer to helping provide a clean transitional
fuel to support Morocco's industrial and economic growth.

We look forward to providing a further market update once the appraisal
campaign has completed."

 

Qualified Person Review

This release has been reviewed by Duncan Wallace, Technical Director of
Chariot, who is a petroleum geologist with over 20 years' experience in
petroleum exploration, MSc in Petroleum Geology from Imperial College, a
Fellow of the Geological Society and a member of the Petroleum Exploration
Society of Great Britain. Mr Wallace has consented to the inclusion of the
technical information in this release in the form and context in which it
appears.

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.

For further information please contact:

 

 Chariot Limited                                   +44 (0)20 7318 0450

 Adonis Pouroulis, Acting CEO

 Julian Maurice-Williams, CFO

 finnCap (Nominated Adviser and Joint Broker)      +44 (0)20 7220 0500

 Christopher Raggett, Simon Hicks, Edward Whiley

 Peel Hunt (Joint Broker)                          +44 (0)20 7418 8900

 Richard Crichton, David McKeown

 Celicourt Communications (Financial PR)           +44 (0)20 8434 2754

 Mark Antelme, Jimmy Lea

 

NOTES FOR EDITORS:

 

About Chariot

 

Chariot is an African focused transitional energy group with two business
streams, Transitional Gas and Power.

 

Chariot Transitional Gas is a high value, low risk gas development project
with strong ESG credentials in a fast-growing emerging economy with a clear
route to early monetisation, delivery of free cashflow and material
exploration upside. Chariot Transitional Power, looking to transform the
energy market for mining operations in Africa, providing a giant largely
untapped market with cleaner, sustainable, and more reliable power.
Additionally in September 2021, Chariot announced its partnership with the
Government of Mauritania for the potential development of a large-scale green
hydrogen project.

 

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

 

 

 

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