Chariot Ltd. (OIGLF)

[DrillaHill]

"Old News" - dropping Namibia Northern Blocks

who gives a sh.t?

www.chariotoilandgas.com/files/9314/1399/1443/Chariot_Oil__Gas_-_Northern_Blocks_1811AB_Namibia_-_update_23_10_2014.pdf

Chariot Oil & Gas Limited (AIM: CHAR), the Atlantic margins focused oil and gas exploration company today announces that it has opted not to apply for a new exploration licence in the Northern Blocks 1811A&B, offshore Namibia, with the current licence due to lapse on the 26 October 2014.
The Chariot team has analysed significant amounts of proprietary seismic and well data, as well as integrated information from third party drilling activity to study the possibility for long range hydrocarbon migration to the Zamba prospect. This work, however, has not significantly de-risked the prospect and, given that a new licence would entail significant additional investment both in capital and time, management considered it too high risk to justify further near term exploration expenditure. Whilst Chariot considers the acreage to remain prospective, this decision was made in line with the Company’s focus on portfolio management and capital discipline.

Northern Blocks were only a fraction of Chariot's Portfolio
It was quite clear that Chariot would drop the Northern Blocks as they've suggested within their latest presentations.

Long distance migration is possible but it is risky and capital intensive to find out,
everyone would prefer to drill reservoirs directly above those prolific source rocks we have in Walvis & Orange Basin, here is where Datarooms are full of interested companies, and where drilling will take place and further light oil will be discovered the next couple of years. Tullow O&G will drill (imo) at least two wells in 2015/16, expect an announcement next month within their Interim Management Statement ( 12 Nov).

Norther Blocks - No Source - No Drilling - No waste of Work & Money

Central & Southern Blocks are where to put efforts in Namibia because here is where we have hundreds of metres of proven prolific source rocks to potentially fill our reservoirs with billions of barrels of light oil, here is where we want to see the drillbit turning, not to forget Chariot's licenses in Mauritania, Morocco and Brazil..
who cares about the northern blocks...pfff..

GLA