Arrow Exploration Corp (TSX-V:AXL, AIM:AXL, OTC:CSTPF) reported initial production from its latest horizontal well at the Carrizales Norte project, with the CNB HZ-5 well flowing over 2,700 barrels of oil per day (BOPD) gross.
That equates to 1,350 BOPD net to Arrow. Arrow’s fourth horizontal well is expected to have a short pay-back period – estimated at around two months – like the other three.
In all, Arrow’s production is now flowing at around 5,835 barrels oil equivalent per day, driven by the new volumes from the horizontal wells.
Further growth is forecast, with two more horizontal wells on the slate before the end of this year.
"The horizontal wells at the CNB pad continue to surpass expectations,” chief executive Marshall Abbott said in a statement.
“Arrow's focus for the remainder of 2024 will be the completion of the six well horizontal well program at Carrizales Norte as well as a low-risk exploration well at the Baquiano prospect.
"Arrow has begun the planning and construction of roads and pads in the Tapir block in order to accelerate the 2025 capital program which is expected to include the drilling of low-risk exploration wells at Mateguafa Oeste, Capullo, and Mateguafa Attic.”
Abbott added: “In 2025 the company is also targeting further horizontal Ubaque and vertical C7 development drilling at Carrizales Norte, and Baquiano.
“The company is also planning to drill further development vertical wells at Rio Cravo Este, commencing at the end of 2024 and continuing in 2025 with a second drilling rig."
"Arrow continues to improve drilling metrics on both horizontal and vertical wells, using internally generated development drilling and completion strategies."