Chariot Oil & Gas Limited report that, as a result of further geological and seismic work on the Tapir trend in Northern Blocks 1811 A & B, it has increased the chance of success of the Tapir South prospect from 19% to 25%. The improvement is primarily due to the recognition of multiple four way dip closures that contain deep marine channel sandstone geometries which are adjacent to a well defined oil charge kitchen. As a result the Tapir South prospect is now the preferred first drilling target with the greatest chance of success and well planning is at an advanced stage.

Additionally, in the Central Blocks, reprocessing and reinterpretation of the full 3,000km of existing 2D seismic data, previously acquired by Chariot, has identified 11 new leads attributing an aggregate mean unrisked resource potential of 3.9 billion barrels ("Bbbls"). These leads lie in the northeast section of the acreage and occur in several different target intervals within both structural and stratigraphic traps. These include analogues to the "Nimrod" feature identified in the Southern blocks. Recently completed studies indicate that two source rock levels are mature for oil generation in this northeast area and as a result this section of the block offers the greatest chance for delivering multiple drillable prospects. Consequently, the 3D survey has been increased in size to 3500km2 to cover the 11 leads identified and is due to commence at the beginning of November. It should be noted that the leads previously identified remain attractive exploration targets that will be a priority for future exploration activity.

As a result of this recent technical work Chariot's gross mean unrisked prospective resources have increased from 16.1 Bbbls to 20.0 Bbbls (with net increase to Chariot from 8.9 Bbbls to 12.5 Bbbls).

Tags: Chariot Oil & Gas Limited