Arrow Exploration Corp (TSX-V:AXL, AIM:AXL, OTC:CSTPF) shares climbed Wednesday, gaining nearly 10% to 23.88p, after it told investors that the Icaco-1 exploration well in Colombia has encountered multiple hydrocarbon-bearing intervals, giving the company another Tapir Block target to move into production testing.
The AIM and TSX-V-listed operator said the well was spudded on May 5, and reached target depth four days later.
It was drilled on time and under budget to a total measured depth of 7,800 feet. Log analysis identified 30 feet of pay in the Carbonera C7 formation, 15 feet in the Gacheta formation and 26 feet in the Ubaque formation.
Arrow plans to test all three formations over the coming weeks, with results to follow after testing and well clean-up.
Chief executive Marshall Abbott said the initial drilling results were “better than we anticipated” and would help indicate “the magnitude of the discovery”.
Arrow holds a 50% beneficial interest in the Tapir Block, where it said five successful exploration wells have so far led to 40 development wells.