LONDON (Alliance News) - Chariot Oil & Gas Ltd Monday reported a significantly wider loss for the first half of the year, as it wrote down the value of exploration assets off the coast of Namibia.
The oil and gas explorer reported a net loss of USD36.1 million for the six months to end-June, from USD4.3 million a year earlier, as it booked a USD33.6 million writedown on the northern blocks offshore Namibia.
The company isn't yet earning any revenue, so its profit and loss account is dependent on costs. Its administrative expenses stayed broadly flat at USD3.0 million in the first half.
The company has several licenses offshore Namibia, as well as in other countries like Morocco, Brasil and Mauritania. It was recently re-awarded licenses in the central and southern blocks offshore Namibia and has been doing seismic surveys in the southern licenses while looking for partners for the central blocks. However, it decided to writedown the value of the northern blocks after another company drilled a well near Chariot's blocks and failed to find any oil or gas.
Chariot Oil & Gas shares were down 4.1% at 14.50 pence Monday morning.
By Steve McGrath; stevemcgrath@alliancenews.com; @stevemcgrath1
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Chariot (CHAR)