Arrow Exploration Corp's (TSX-V:AXL, AIM:AXL, OTC:CSTPF) first quarter results show revenue more than doubled year-on-year to $14.4 million from $6.9 million.
It follows a campaign of successful well drilling in Colombia, and the profile promises to step up again in the coming months as Arrow moves to horizontal well drilling – which will yield greater volumes.
Production for the quarter averaged 2,730 barrels of oil equivalent, up 139% compared to the same quarter a year ago. It noted that its ‘netback’ price was $56.27 per barrel.
Arrow reported a net income of $3.2 million in the first quarter, up from $3 million, whilst earnings (adjusted EBITDA) more than doubled to $10 million from $4.4 million.
At the end of the quarter, Arrow had $11.6 million of cash and it highlighted operating cash flows of $8.6 million for the quarter.
"In [the first quarter], Arrow experienced its strongest quarter to date for production and EBITDA,” chief executive Marshall Abbott said in a statement.
Operationally, the company noted that it drilled four development wells at Carrizales Norte during the quarter, contributing to the rise in production and reserves. So far in the current quarter, it has spudded its first horizontal well, from the Carrizales Norte B pad.
“The [first quarter] wells drilled, at the Carrizales Norte discovery, explored the extent of the C7 and Ubaque reservoir and gathered further data for the horizontal drilling program,” Abbott added.
“Horizontal wells have been determined as the best way to develop the Ubaque reservoir and are expected to thrust Arrow to the next level for production and stability."