Chariot Oil & Gas exits Mauritania license

*Mauritania oil and gas acreage.

*Mauritania oil and gas acreage.

17 June 2016, London — Chariot Oil & Gas Limited announced Thursday that it has elected not to enter into the First Renewal Phase of the C-19 license in Mauritania.

The company acquired 1,351 square miles of proprietary 3D seismic data, undertook extensive reprocessing of legacy 2D seismic data and completed seabed coring to enable an integrated analysis and evaluation of the hydrocarbon potential and prospectivity of the C-19 block.

The work undertaken by Chariot to de-risk this asset resulted in industry interest, said Chariot in a company statement, “with a number of partnering discussions reaching advanced stages”. This interest, however did not lead to a firm transaction within the defined timeframe.

“Whilst Chariot considers the acreage to be prospective, this decision was made in line with the company’s strategy and focus on portfolio management and capital discipline,” said Chariot in a statement on its website.

“A fundamental part of Chariot’s risk strategy is partnering through the major investment phases in our exploration programs,” said Chariot CEO Larry Bottomley in a company statement.

“This independent, third-party validation ensures that we invest the company’s capital on the best quality opportunities. Whilst we have been unsuccessful in attracting third-party funding for an exploration well in C-19, we have substantially achieved our aspiration of zero-cost exploration on this license.

While it is clearly disappointing, it is important that the company maintain discipline in the management of risk, allocation of capital and in developing those parts of the portfolio likely to yield drilling opportunities,” he added.

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