Chariot gets fresh approval for Loukos drilling campaign

5th Feb 2024 13:16

(Sharecast News) - Africa-focussed energy company Chariot announced on Monday that it has successfully secured approval for its environmental impact assessment (EIA) from the Unified Regional Investment Committee for the Loukos drilling campaign.

The AIM-traded firm said the approval pertained to drilling activities within the Loukos onshore licence in Morocco.

Chariot is the operator of the licence with a 75% stake, while Morocco's national energy company ONHYM holds the remaining 25%.

The comprehensive EIA encompassed a total of 20 well operations, with an initial drilling campaign involving the exploration of two wells, targeting the Gaufrette and Dartois prospects.

It also included an additional 17 potential well locations, and a re-entry into an existing gas discovery.

This permit would be valid for five years, providing Chariot with the necessary authorisation to proceed with its drilling activities.

The company said it would initiate civil works to prepare the initial well locations and establish access routes for its operations.

"We are very pleased to receive approval of the environmental permit for drilling activity on our Loukos licence," said Pierre Raillard, Chariot's head of gas and country director for Morocco.

"This is not only an important step towards our initial drilling campaign but EIA approval for multiple additional locations gives us flexibility in future campaigns.

"In addition to this, the land access activities and civil work contracting have concluded, site construction activities are now underway and we are on track for commencement of operations around the end of the first quarter of 2024."

At 1232 GMT, shares in Chariot were down 0.65% at 9.12p.

Reporting by Josh White for Sharecast.com.