Marketing of natural gas: Chariot announces the signing of an agreement with Vivo Energy

Marketing of natural gas: Chariot announces the signing of an agreement with Vivo Energy
Marketing of natural gas: Chariot announces the signing of an agreement with Vivo Energy

Credit: DR

The British junior Chariot announced this Monday the signing of an agreement in principle with Vivo Energy for future natural gas extracted from the Loukos Onshore license in Morocco, where the company holds a 75% stake alongside ONHYM.

The agreement aims to define the next steps in the implementation of a gas distribution activity to industry through, on the one hand, the marketing of domestic gas and, on the other hand, the creation of an intermediate compressed natural gas (“CNG”) sector to meet Morocco’s growing industrial energy needs.

Chariot is the operator of Loukos and recently completed its first drilling campaign on the permit, now planning flow testing operations at the OBA-1 well.

The agreement states that Chariot intends to sell initial volumes under the long-term gas sales contract. It is also noted that it has also been decided that Vivo Energy intends to design, finance, construct and operate a CNG plant and distribution networks to transport natural gas from a number of sources to existing and new facilities. Finally, it is specified that this intermediate CNG activity will be operated through an ad-hoc vehicle, in which Chariot will hold a stake of up to 49%.

As a reminder, in May 2023, Chariot and Vivo Energy announced the formation of a joint venture intended to supervise the distribution of natural gas to industrial customers in Morocco.

©️ Copyright Pulse Media. All rights reserved.
Reproduction and distribution prohibited (photocopies, intranet, web, messaging, newsletters, monitoring tools) without written authorization
-

-

NEXT To lower electricity prices, the next government will have to change the rules