12th Sep 2018 13:26
LONDON (Alliance News) - Chariot Oil & Gas Ltd said Wednesday that its loss for the first half of the year narrowed significantly and the company has started drilling in Morocco at no cost.
For the six months to June 30, the company's pretax loss amounted to USD2.0 million, compared with a USD53.0 million loss a year ago.
A year ago, the relinquishment of the Southern Blocks offshore Namibia resulted in a USD51.3 million non-cash impairment against previously capitalised costs, the company explained.
As it is an oil & gas exploration company, Chariot did not post any revenue for the six-month period.
In the first half, Chariot started a drilling campaign at "zero cost" with the drilling of the Rabat Deep 1 dry well in Morocco.
Chief Executive Officer Larry Bottomley said: "Our participation in the Rabat Deep 1 well in Morocco demonstrated our ability to expose the company and its shareholders to potentially transformational events at zero cost."
The company is currently debt-free and has a cash balance of USD28.4 million.
Looking ahead, the company said that in the near term, it "is focused on delivering safe, efficient and cost effective drilling operations in Namibia", where it will drill Prospect S in the fourth quarter.
Chariot shares were trading down 1.5% at 9.0 pence each.
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