TIDMAXL
RNS Number : 1884W
Arrow Exploration Corp.
14 April 2023
NOT FOR RELEASE, DISTRIBUTION, PUBLICATION, DIRECTLY OR
INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO OR FROM THE UNITED
STATES, AUSTRALIA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER
JURISDICTION WHERE TO DO SO MIGHT CONSTITUTE A VIOLATION OF THE
RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.
ARROW ANNOUNCES RCE-5 RESULTS AND OPERATIONS UPDATE
RCE-5 now on production
CALGARY, April 14, 2023 - Arrow Exploration Corp. (AIM: AXL;
TSXV: AXL) ("Arrow" or the "Company") is pleased to provide an
update on the drilling activity at Rio Cravo Este ("RCE") on the
Tapir Block in the Llanos Basin of Colombia and is providing an
operations update.
RCE-5
The RCE-5 well was spud on March 19, 2023, and reached target
depth on March 29, 2023. RCE--5 was the sixth well drilled into the
RCE field and results from this well have further confirmed the
high potential of the field. The well was drilled to a total
measured depth of 10,200 feet (8,100 feet true vertical depth) and
encountered six hydrocarbon bearing intervals totaling 90 net feet
(measured depth) of oil pay.
The well was completed in the upper part of the Carbonera C7
formation. A submersible pump has been inserted. The well is being
choked back and it is flowing with a 27/168 choke. In the last 24
hours, although it is still unloading the completion fluid, it has
produced at a rate of 680 BOPD gross (340 BOPD net) of oil at 28.9
API and with a 12% water cut. The Company will provide further
updates on production rates in due course.
Initial production results are not necessarily indicative of
long-term performance or ultimate recovery.
Operations Update
RCE-4
The RCE-4 well is flowing at 944 BOPD gross (487 BOPD net) while
being choked back currently with a 24/128 choke. Water cut is now
at 0%.
RCE-3
The RCE-3 well is producing at 852 BOPD gross (426 BOPD net)
with a 25/128 choke. Water cut is less than expected at 15%.
Carrizales Norte
The 1500 HP drilling rig is being moved from the pad at RCE to
the Carrizales Norte (CN) prospect. CN is located on trend with the
highly productive Carrizales oil field. With success at this
location an additional two wells may be drilled.
Capella Field
The Capella field continues to be shut in and discussions
between the government, protesters and the operator are ongoing.
The Company hopes for a quick resolution of the protesters'
concerns. Further updates will be given once the field is back on
production.
Tapir 3D Seismic Program
The Tapir 3D seismic acquisition program was completed on April
10, 2023. Management expects that a final processed data set will
be available within four to six weeks.
Corporate Update
Current corporate production with the Capella field shut in is
approximately 2,635 BOPD. With the Capella field at full
production, we estimate an additional 300 BOPD would be added to
corporate production for a total of 2,935 BOPD. The Company expects
production numbers will improve once the RCE-5 well has reached
equilibrium. On April 1, 2023, the Company's cash balance was
US$12.1 million.
Marshall Abbott, CEO of Arrow commented:
"Initial production from the RCE-5 well has exceeded
expectations. In addition to the thick pay zones encountered on the
Carbonera C7 formation, additional pay zones currently behind pipe
may provide further opportunities for production and reserve
increases. Drilling and completion costs came in on budget and
within the time frame expected."
"The RCE-4 and RCE-3 wells are currently producing better than
expected and the Company is choking the wells back in an effort to
manage the reservoir and discourage premature water production.
Arrow has engaged the pumps on RCE-3 and RCE-4 and is slowly
increasing production as the wells are more stable."
"Arrow is now moving the rig to the Carrizales Norte pad to
begin drilling the CN-1 well towards the end of April. This is an
exciting time for Arrow, and we look forward to providing further
updates on our progress."
For further Information, contact:
Arrow Exploration
Marshall Abbott, CEO +1 403 651 5995
Joe McFarlane, CFO +1 403 818 1033
Brookline Public Relations, Inc.
Shauna MacDonald +1 403 538 5645
Canaccord Genuity (Nominated Advisor
and Joint Broker)
Henry Fitzgerald-O'Connor
James Asensio
Gordon Hamilton +44 (0)20 7523 8000
Auctus Advisors (Joint Broker)
Jonathan Wright + 44 (0)7711 627449
Rupert Holdsworth Hunt
Camarco (Financial PR)
Georgia Edmonds +44 (0)20 3781 8331
Rebecca Waterworth
Billy Clegg
About Arrow Exploration Corp.
Arrow Exploration Corp. (operating in Colombia via a branch of
its 100% owned subsidiary Carrao Energy S.A.) is a publicly traded
company with a portfolio of premier Colombian oil assets that are
underexploited, under-explored and offer high potential growth. The
Company's business plan is to expand oil production from some of
Colombia's most active basins, including the Llanos, Middle
Magdalena Valley (MMV) and Putumayo Basin. The asset base is
predominantly operated with high working interests, and the
Brent-linked light oil pricing exposure combines with low royalties
to yield attractive potential operating margins. Arrow's 50%
interest in the Tapir Block is contingent on the assignment by
Ecopetrol SA of such interest to Arrow. Arrow's seasoned team is
led by a hands-on executive team supported by an experienced board.
Arrow is listed on the AIM market of the London Stock Exchange and
on TSX Venture Exchange under the symbol "AXL".
Forward-looking Statements
This news release contains certain statements or disclosures
relating to Arrow that are based on the expectations of its
management as well as assumptions made by and information currently
available to Arrow which may constitute forward-looking statements
or information ("forward-looking statements") under applicable
securities laws. All such statements and disclosures, other than
those of historical fact, which address activities, events,
outcomes, results or developments that Arrow anticipates or expects
may, could or will occur in the future (in whole or in part) should
be considered forward-looking statements. In some cases,
forward-looking statements can be identified by the use of the
words "continue", "expect", "opportunity", "plan", "potential" and
"will" and similar expressions. The forward-looking statements
contained in this news release reflect several material factors and
expectations and assumptions of Arrow, including without
limitation, Arrow's evaluation of the impacts of COVID-19, the
potential of Arrow's Colombian and/or Canadian assets (or any of
them individually), the prices of oil and/or natural gas, and
Arrow's business plan to expand oil and gas production and achieve
attractive potential operating margins. Arrow believes the
expectations and assumptions reflected in the forward-looking
statements are reasonable at this time, but no assurance can be
given that these factors, expectations, and assumptions will prove
to be correct.
The forward-looking statements included in this news release are
not guarantees of future performance and should not be unduly
relied upon. Such forward-looking statements involve known and
unknown risks, uncertainties and other factors that may cause
actual results or events to differ materially from those
anticipated in such forward-looking statements. The forward-looking
statements contained in this news release are made as of the date
hereof and the Company undertakes no obligations to update publicly
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, unless so required by
applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Glossary
API: A specific gravity scale developed by the American
Petroleum Institute ( API ) for measuring the relative density of
various petroleum liquids, expressed in degrees.
Bopd: barrels of oil per day
boe/d: barrels of oil equivalent per day
Qualified Person's Statement
The technical information contained in this announcement has
been reviewed and approved by Grant Carnie, senior non-executive
director of Arrow Exploration Corp. Mr. Carnie is a member of the
Canadian Society of Petroleum Engineers, holds a B.Sc. in Geology
from the University of Alberta and has over 35 years' experience in
the oil and gas industry.
This Announcement contains inside information for the purposes
of the UK version of the market abuse regulation (EU No. 596/2014)
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