SRT Marine Technology in the News

27th May 2010 - Chart Breakout

Two speculative opportunities for investors who like a gamble

Software Radio Technology has
given shareholders a roller coaster
ride since the 2006 flotation.
This reflects the contrasting fates
of its two businesses. One has
gone bust necessitating write-offs
that almost wiped out the group
balance sheet, hence the share
price crash, while the other is

"Interest from authorities in mandating
AIS has continued to grow.
China, Turkey, India, the EU and
USA have all announced mandates
of varying sizes. As with
many government projects, the
timing of implementation is difficult
to predict, however as the
world's leading provider of AIS
solutions, SRT Marine stands to
generate significant revenues
when these mandates take effect.'

trading well and prospects look
increasingly promising, hence the
recovery.

The business that went bust
was a radio communications company
and the write-offs cost some
£11 m wiping out most of the
group's asset base. Fortunately
the AIS (Automatic Identification
System) business for identifying
and tracking vessels is growing
apace with revenues for the six
months to end September 2009 up
122 per cent to £2.1 m and losses
reducing sharply from £402,000 to
£31,000.

Countries around the world are
actively implementing or planning
for the implementation of AIS
devices on 100s of thousands of
vessels. As these mandates take
effect they should present strong
growth opportunities for the company.

Chariot OIL & Gas is an exploration
company looking for oil and
gas in Namibia. The company
controls a very large acreage on
which there are prospects, which,
if successful, could transform the
company. The 8.5bn barrels of
unrisked oil resources represented
these assets.

Based on existing seismic data
the group says it has a five per
cent chance of exploration success.
However as more seismic
data is developed the odds should
improve to between 10 and 20 per
cent. This is still a gamble but an
exciting one.

Meanwhile the company is also
looking for lower risk opportunities
to generate income , while it
makes plans to go for a major
drilling success.

The group says that based on
its seismic data it is seeing plenty
of interest from potential partners.