Chariot Oil & Gas takes on Moroccan oil prospects

Chariot Oil and Gas, the Africa focused commodities explorer, said it had acquired two prospective blocks off the coast of Morocco.

The company has struck a deal with Maghreb Petroleum Exploration whereby the latter will transfer its 75% ownership and operational interests in the Loukos and Casablanca/Safi blocks to Chariot.

In exchange, Chariot will take on the work commitments and obligations of the initial exploration phase for each licence.

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The company said it intended to apply "modern exploration techniques to the results of previous exploration work".

Chief Executive Paul Welch said the Loukos and Casablanca areas had been of interest to Chariot for some time.

"We consider [them] to hold significant potential," he said.

Once the deal is approved by Moroccan authorities, Chariot will hold a 75% equity interest in the two exploration permits, with the Office National des Hydrocarbures et des Mines holding the other 25%.

Following approval, Chariot will be required to reprocess 835km of 2D seismic data within the Loukos licence and 1,200km of 2D seismic data within the Casablanca/Safi licence, within a six month exploration period.

Once complete, Chariot will have the option to move forward into further exploration phases which would involve the acquisition of 3D seismic data and the subsequent undertaking of exploration drilling activities.