Chariot raises US$25.5M for offshore gas project in Morocco

MOROCCO – Africa-focused energy exploration company Chariot has raised US$ 25.5 million to progress its flagship Anchois offshore gas project in Morocco, as well as its other renewable energy projects across Africa.

The Anchois gas development project, which falls under the Lixus Offshore drilling license, covers an area of around 2,390km², with a water depth that ranges from the coastline to 850 meters.

The Anchois-1 and Anchois-2 gas discoveries represent a high-value gas appraisal and development project.

The explorations led to the discovery of “excellent quality, dry gas across seven reservoirs with approximately 150m net pay,” according to the company.

Chariot aims to improve the African energy market for mining operations by providing and generating “cleaner, sustainable, and more reliable power.”

The British company has partnered with various African countries to develop large-scale green hydrogen projects, including Mauritania.

Chariot’s acting CEO Andonis Pouroulis expressed his delight with the support and funding the company has received and pledged to “remain fully aligned with our shareholder base, demonstrating our commitment and belief in the value and future growth of our business.”

We are excited about moving the Anchois development towards FID and we look forward to updating the market in this regard, as well as with our progress across our wider portfolio,” Pouroulis added.

In February 2022, Chariot locked a deal with Morocco’s National Hydrocarbons and Mining Office (ONHYM) to acquire a new offshore exploration and drilling license – Anchois-2 – near the city of Larache in northern Morocco.

Last month, the energy company announced upgrading estimates on Anchois-2 gas appraisal from 100 meters to 150 meters, against 55 meters in the original Anchois-1.

Our ambition is to bring the Anchois gas development online quickly, to fuel Morocco’s economic growth, but also to deliver near-term cash flows to our shareholders,” Pouroulis confirmed.

The company has put in place a US$300 million to US$500 million project that would see gas flow initially from two subsea wells to an onshore processing plant.

Gas would be sold under a memorandum of understanding signed with “a leading international energy group” last year, a deal that also covers partnering in the Anchois project.

Key terms of the gas sales deal cover about 40 million cubic feet per day over a period of up to 20 years on a take-or-pay principle.

This latest news on Anchois-2 came just days after Chariot said it had been formally awarded the Rissana license in Morocco, an offshore tract that surrounds Lixus.

Chariot holds 74% of the Anchois project interest, while Morocco’s ONYHM has a 25% stake.

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