Arrow Exploration Corp (TSX-V:AXL, AIM:AXL, OTC:CSTPF) shares were on the front foot after the latest Mateguafa appraisal well moved into production, adding 564 barrels of oil per day gross as the company advances its Colombian drilling programme.
The Mateguafa HZ12 well, or M-HZ12, was drilled on time and under budget to a total measured depth of 13,824 feet and encountered multiple hydrocarbon-bearing intervals. Arrow said the well was put on production on April 16 from the Carbonera C9 formation, where it encountered around 30 feet of net oil pay.
During clean-up, M-HZ12 reached a maximum rate of 668 BOPD gross, or 334 BOPD net, before settling into its current restricted rate of around 564 BOPD gross, or 282 BOPD net. The well is producing 32° API oil with a 60% water cut, while testing indicates it is capable of higher rates.
Arrow also encountered around 15 feet of net oil pay in the Carbonera C7 formation. Including the restricted contribution from M-HZ12, total gross corporate production is now around 5,000 boe/d.
The rig has moved to the Icaco pad, where the Icaco 1 exploration well was spudded on May 5. Arrow said it had US$24.2 million of cash as of May 1 and no debt.
In London, Arrow Exploration shares climbed 4.46%, changing hands at 20.63p