(Agence Ecofin) – The Chariot company is very invested in Morocco, particularly in oil and gas research on the Loukos Onshore license, on which a second exploration well was launched in May, after the failure of the first.
In Morocco, the energy company Chariot Oil formalized, Monday June 24, the conclusion of a downstream collaboration with Vivo Energy, a company active in the distribution and marketing of petroleum products in Africa.
The agreement targets the exploitation of the gas potential identified on the Loukos Onshore license, currently being explored. This, with the aim of supplying gas to Moroccan industrial companies via the establishment of a joint venture focused on compressed natural gas (CNG).
Under the terms of the agreement, Chariot will sell, from future Loukos production, an initial gas volume “up to 3 million cubic feet per day” to the joint venture, as part of an upcoming long-term gas sales agreement.
For its part, Vivo will have the main costs “to design, finance, construct and operate a gas compression plant and a virtual distribution network to transport natural gas from a number of sources, to industrial customers in Morocco”.
According to Pierre Raillard, general director of Chariot Maroc, this agreement indicates the guideline towards the rapid monetization of Loukos gas “potentially unlocking the development of pre-existing discoveries”.
Note that the realization of this deal depends on the identification by Chariot of a commercially viable deposit on this perimeter. Not to mention that with Vivo, a gas purchase contract, as well as other related agreements, must still be signed.
Abdel-Latif Boureima
Read also:
05/21/2024 – Morocco: drilling of a new well on Loukos Onshore
05/16/2024 – Morocco: mixed results on the exploration of Chariot Oil’s Loukos permit
