Challenger Energy Group “Uruguay holds significant potential”, Daniel Slater, Zeus Capital

Challenger Energy
[shareaholic app="share_buttons" id_name="post_below_content"]

Challenger Energy Group (LON:CEG) is the topic of conversation when Daniel Slater, Director Equity Research at Zeus Capital caught up with DirectorsTalk Interviews for an update on Challenger Energy’s developments.

Q1. In February, CEG announced the sale of Caribbean Rex in St Lucia and, in March, has made further progress on the sale of the Cory Moruga license in Trindad and Tobago. How do you view the company’s strategic approach to these sales? Is there any upside potential?

A1. “These deals have given Challenger Energy a significant amount of cash upfront, allowing this to be redeployed elsewhere in the business. Existing production from the assets is limited, but the company has retained upside exposure via back in rights, which can be utilised if the assets are further developed. In our view, we very much appreciate the wisdom of these deals, which deliver cash now without fully surrendering upside.”

Q2. What are the key developments now with CEG’s Uruguayan offshore license?

A2. “The company’s Uruguay exploration position holds very significant potential for the company. There is helpful read across from discoveries being made offshore Southern Africa, and several major oil companies have also taken exploration acreage around their Uruguay position. The company is currently reprocessing existing seismic in order to begin working up exploration prospects, and further seismic may be acquired in due course. We also expect Challenger to pursue a farm out to help fund and support forward activity on the licence. We keenly await further news here.”

Challenger Energy Group plc (LON:CEG) is a Caribbean and Atlantic margin focused oil and gas company, with a range of petroleum assets located onshore in Trinidad and Tobago, and Suriname, and offshore in the waters of The Bahamas and Uruguay.

We’ll keep you in the loop!

Join 1,000's of investors who read our articles first

We don’t spam! Read our privacy policy for more info.

Share on:
Find more news, interviews, share price & company profile here for:

Oil prices rise as delayed Kurdish exports revive short-term supply risk

Oil prices gained as fresh delays to Kurdish exports reminded investors how fragile near-term supply assumptions remain.

Challenger Energy: Uruguay’s AREA OFF-3 Unveils Massive 980 Million Barrel Upside Potential

With shallow water and development-friendly reservoir depths, even modest discoveries would be commercially viable. A farm-out process is now underway as Challenger looks to accelerate momentum in one of the world’s most overlooked emerging basins.

Challenger Energy advances Uruguay exploration and exits Trinidad operations

Challenger Energy has completed the first phase of its technical work on AREA OFF-3 in Uruguay, identifying multiple new anomalies with estimated recoverable resources of up to 980 million barrels.

Challenger Energy delivers strong progress, maintains solid cash position

Challenger Energy has published its Interim Results for the six months to 30 June 2025. The period saw progress in Uruguay, with Chevron assuming operatorship of the AREA OFF-1 block and preparations advancing for 3D seismic acquisition, while technical work on AREA OFF-3 was largely completed ahead of a farm-out process.

Challenger Energy completes sale of Trinidad and Tobago operations

Challenger Energy Group has finalised the sale of its entire business in Trinidad and Tobago to Steeldrum Ventures Group. The $1.75 million deal, now fully approved by regulators, has been adjusted so all remaining payments will be made in cash. The company said the sale enables it to focus on its core exploration assets in Uruguay.

European measures stir new currents in oil markets

European shipping restrictions on Russian crude are reshaping supply routes and prompting investors to rethink energy allocations.

Search

Search