Chariot Oil & Gas (LON:CHAR) is getting ‘closer to the prize’ in Namibia according to analysts at City heavyweight UBS. Following a UBS-hosted institutional roadshow last week, the investment bank today issued an upbeat note on the stock. According to analyst Melanie Savage Chariot is set to achieve key milestones in the ‘near term’ such as the signing of a rig contract for the drilling of the 800 million barrel Tapir prospect. Savage reckons Chariot will spud the high impact exploration well before the end of this year, regardless of the outcome of its ongoing farm-out talks. “The prospect is drill ready and the company will drill whether or not it brings in a farm-in partner in this block,” Savage said. “We expect the company to sign a rig contract in the coming weeks. “This will be followed by the 4.5 billion barrel Nimrod prospect on the southern block in 2012.” Importantly the UBS analyst also emphasised that Chariot is unlikely to need more funding in the near term. “The company has enough cash to drill four wells of its 4-5 well programme assuming it retains current equity holdings (which we expect will change either pre or post drilling), this gives it the flexibility to test a range of play types ranging from turbidite fans (Jubilee-type) to sub-salt carbonate (Lula-type),” Savage added. UBS rates Chariot as a ‘buy’ with a 510 pence price target – which suggests the stock could rise some 250 per cent from the current price of 143 pence. http://www.proactiveinvestors.co.uk...oser-to-prize-in-namibia-says-ubs--33357.html
Had a contract to build a network intrusion detection tool for UBS a few years back after they had some sort of incident. Had to have a drugs test before being allowed on site in their offices in the City. Suprised some of those traders that work their ever got through the doors
