Chariot Oil & Gas annual results hit by impairment charge

Chariot Oil & Gas posted an annual loss on Wednesday following an impairment charge on an oil well in Namibia that was plugged and abandoned.

Chariot Oil & Gas posted an annual loss on Wednesday following an impairment charge on an oil well in Namibia that was plugged and abandoned.

The Africa-focused oil and gas company incurred a pre-tax loss of $88.6m for the year to the end of December 2012, compared to a loss of £9.1m for the 10 months ended December 31st 2011.

Chariot said the loss reflected an impairment of $80.8m on the Tapir South well and higher administration costs which came to $7.5m, up from $5.6 the previous year, due to a shorter accounting period and organisational restructuring expenses.

However, the firm remained debt free with cash balances of $68.3m as it progressed on projects including farm-out agreements with BP and PGS.

"This past year has seen the company take some bold steps forward which have served to further develop our asset base on a number of levels," Chairman Philip Loader said.

"We now have a strong foothold in three very interesting geological provinces for oil and gas exploration and have created a portfolio that contains a variety of regional plays; exploration success in any of these regions has the potential to deliver transformational value to the stakeholders in Chariot. We look forward to continuing our work and taking these assets through the value curve."

In the pipeline this year is preparation on projects in Namibia, Mauritania and Morocco for offshore drilling in 2014, 2015 and 2016, respectively.

RD

Recommended

Get healthy returns from these three healthcare stocks
Share tips

Get healthy returns from these three healthcare stocks

Professional investor Paul Major of the BB Healthcare Trust highlights three of his favourite healthcare stocks.
25 Oct 2021
Share tips of the week – 22 October
Share tips

Share tips of the week – 22 October

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
22 Oct 2021
Three dividend stocks from the dynamic Asia/Pacific region
Share tips

Three dividend stocks from the dynamic Asia/Pacific region

Professional investor Sat Duhra of the Henderson Far East Income investment trust highlights three of his favourite stocks.
18 Oct 2021
Share tips of the week – 15 October
Share tips

Share tips of the week – 15 October

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
15 Oct 2021

Most Popular

Properties for sale for around £1m
Houses for sale

Properties for sale for around £1m

From a stone-built farmhouse in the Snowdonia National Park, to a Victorian terraced house close to London’s Regent’s Canal, eight of the best propert…
15 Oct 2021
How to invest as we move to a hydrogen economy
Energy

How to invest as we move to a hydrogen economy

The government has started to roll out its plans for switching us over from fossil fuels to hydrogen and renewable energy. Should investors buy in? St…
8 Oct 2021
Emerging markets: the Brics never lived up to their promise – but is now the time to buy?
Emerging markets

Emerging markets: the Brics never lived up to their promise – but is now the time to buy?

Twenty years ago hopes were high for Brazil, Russia, India and China – the “Brics” emerging-market economies. But only China has beaten expectations. …
18 Oct 2021