Nostra Terra Oil & Gas Company PLC Permian Basin Twin Well Production & Oil Sales (9878F)
27 February 2018 - 6:02PM
UK Regulatory
TIDMNTOG
RNS Number : 9878F
Nostra Terra Oil & Gas Company PLC
27 February 2018
27 February 2018
Nostra Terra Oil and Gas Company plc
("Nostra Terra" or the "Company")
Permian Basin Twin Well Production & Oil Sales
Nostra Terra (AIM:NTOG), the oil and gas exploration and
production company with a portfolio of assets in the USA and Egypt,
is pleased to announce that its recently completed Twin Well
located in Mitchell County, Texas, within the Permian Basin (the
"Twin Well"), has produced an average of 52 barrels of oil per day
("bopd") from the Clear Fork Formation, over the most recent 12-day
production period.
The Twin Well was drilled to a total depth of 3,200 feet,
encountering more than 113 feet of gross oil pay in aggregate
across multiple prospective zones, with oil currently being
produced from the Clear Fork Formation. Nostra Terra owns a 53.25%
Working Interest in the 120 acre lease which has two additional
drill ready locations, one of which is now being permitted.
The Twin Well was put into production earlier this month. During
the initial flow from the well, the existing tank battery required
some minor upgrades due to increased flow rates. This resulted in
approximately 60 hours of shut-in time over the initial ten days'
production. Since then, average oil production for the last 12 days
has been 52.30 bopd, which is above pre-drill estimates, based on a
24-hour average production rate. The Company considers this time
period to be of sufficient length to gain an appropriate assessment
of the well's gross initial production rate.
Nostra Terra is in "pay status" with respect to the Twin Well,
meaning that the Company receives revenue paid monthly from its
share of oil produced. 495 gross barrels of oil have been sold from
the Twin Well's lease so far in February 2018.
Matt Lofgran, Chief Executive Officer of Nostra Terra,
commented:
"We are delighted with the results from the Twin Well, which
have surpassed our expectations. By putting the Twin Well into
immediate production and with it being in pay status, this has made
an immediate and significant contribution to the Company's cash
flow generation.
Overall, we went from acquisition and permitting to producing
and receiving revenues in less than four months. This highlights
the transformational potential our Permian Basin strategy has for
Nostra Terra. With 24 drill ready locations and funding in place,
we can now move forward confidently onto our next drilling
location."
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
For further information, visit www.ntog.co.uk or contact:
Nostra Terra Oil and Gas
Company plc
Matt Lofgran, CEO Tel: +1 480 993 8933
Strand Hanson Limited
(Nominated & Financial
Adviser and Joint Broker)
Rory Murphy / Ritchie Balmer
/ Jack Botros Tel: +44 (0) 20 7409 3494
Smaller Company Capital
Limited (Joint Broker)
Rupert Williams / Jeremy
Woodgate Tel: +44 (0) 20 3651 2910
This information is provided by RNS
The company news service from the London Stock Exchange
END
DRLLQLLLVLFLBBZ
(END) Dow Jones Newswires
February 27, 2018 02:02 ET (07:02 GMT)
Nostra Terra Oil And Gas (LSE:NTOG)
Historical Stock Chart
From Apr 2024 to May 2024
Nostra Terra Oil And Gas (LSE:NTOG)
Historical Stock Chart
From May 2023 to May 2024