Chariot expands into green power for mines
Chariot Oil and Gas is diversifying into renewable energy for mines, under a deal to acquire Africa Energy Management Platform (AEMP).
The company will also drop the “oil and gas” from its name when it has completed the deal. It will pay up to $2 million to acquire AEMP, primarily in Chariot’s shares – representing around 4% of the company.
AEMP is in a strategic partnership with Total Eren. France’s Total has a stake of around 30% in Total Eren, indirectly and directly.
AEMP and Total Eren are working on ways to provide power to mines in Africa. Chariot said there was a pipeline of 500 MW.
The company Chariot is buying has the option to invest for up to 15% of equity in projects developed. When the deal is completed, Chariot will have a 10% stake the Essakane power project, while Total Eren has 90%. This will provide cashflow.
Chariot’s acting CEO Adonis Pouroulis said the move would provide the company with “numerous further valuable, exciting and scalable projects that complement and build on our value accretive transitional gas project in Morocco.
“The acquisition also plays to Chariot’s and its managements’ significant experience and other business interests within the mining sector in Africa.”
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