Canadian Overseas Petroleum Limited (LSE:COPL, CSE:XOP) has announced first oil production from the Frontier 1 sands at its Cole Creek Unit in Wyoming.
COPL said it is the first successful Frontier 1 completion at Cole Creek since it was initially identified as a prospect in 1943.
The well, 11-27-35n-77w, is pumping 125-135 barrels daily of fluid, with gasified light oil cuts of up to 86% observed late last week, said the statement.
A well clean-up operation is continuing, said COPL, which expects to convert its Frontier 1 acreage to contingent resources and ultimately reserves as additional producing wells come online.
COPL added it had identified an "Oil Down To" elevation for Frontier 1 at Cole Creek with an area of approximately 8,000 acres.
Arthur Millholland, chief executive, noted: "The result from the Frontier 1 11-27 recompletion is a gamechanger for our company as the defined oil-bearing reservoir currently covers a large area at Cole Creek with evidence it extends further down dip on the east flank of the anticline.
“These results have also confirmed our internal evaluation of Frontier 1 after the drilling and evaluation of our 14-30 exploration well last year.“
Cole Creek is an asymmetrical anticline approximately nine miles in axial length with about 2,500 feet of structural/stratigraphic closure.
Five known conventional oil reservoirs are present at Cole Creek: Lakota, Dakota, Frontier 2, Frontier 1 and the Shannon.
COPL holds a 100% working interest in the Cole Creek Unit rights below the Shannon.