Edge Resources announces rise in oil output

Edge Resources shares rose Wednesday after the company reported an increase in oil production at its Asset East licence in Western Canada.

Edge Resources shares rose Wednesday after the company reported an increase in oil production at its Asset East licence in Western Canada.

In an update on the first well of the spring drilling programme in Asset East, the company said production increased to 90 barrels of oil per day (bopd) compared to the previous 60 bopd announced on April 2nd.

The well encountered 8.0 metres of net pay and is being tested to assist with the production of formation sand alongside the oil.

It achieved an average rate of 50 bopd during the first month of testing despite initial erratic production that is typical with CHOPS (cold heavy oil production with sand).

"We are delighted with the early stage production from this well," said President and Chief Executive Officer, Brad Nichol.

"Other than a couple of minor hiccups early on, we have not experienced many of the typical heavy influxes of sand that normally disrupt the initial few months of a typical CHOPS producer."

He added that the company made progress on the development plan for the three new, large oil pools discovered at Asset East, with detailed geophysical plans existing for 12 of the first 20 drilling locations.

"We look forward to the large drilling runway ahead of us in Asset East and believe there is a substantial resource to be developed."

RD

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Here’s why you really should own at least some bitcoin
Bitcoin

Here’s why you really should own at least some bitcoin

While bitcoin is having a quiet year – at least in relative terms – its potential to become the default cash system for the internet is undiminished, …
16 Sep 2020
Will a second wave of Covid lead to another stockmarket crash?
Stockmarkets

Will a second wave of Covid lead to another stockmarket crash?

Can we expect to see another lockdown like in March, and what will that mean for your money? John Stepek explains.
18 Sep 2020
Central banks want politicians to take charge – but what will they do?
US Economy

Central banks want politicians to take charge – but what will they do?

The US Federal Reserve has come to the end of the road in terms of what it can do to accelerate any recovery, says John Stepek. It's over to the polit…
17 Sep 2020