Northcote Energy advances on positive well frac

AIM-listed onshore US oil and gas exploration and production company Northcote Energy has reported initial positive results from the successful fracture stimulation of its Big Hill No. 1 well at the Horizon Project in Osage County, Oklahoma.

AIM-listed onshore US oil and gas exploration and production company Northcote Energy has reported initial positive results from the successful fracture stimulation of its Big Hill No. 1 well at the Horizon Project in Osage County, Oklahoma.

Testing at the well, in which Northcote has a 51.75% working interest, comprising a 41% net revenue interest, reported an open flow rate of up to 1,210 thousand cubic feet per day (Mcf/day) of natural gas, the group said.

This represented 215.5 barrels of oil equivalent per day (boepd) gross, 88.4 net to Northcote, representing a 1,200% increase on the three month average production prior to stimulation, the group said.

The group reported that the average since completion of the frac of 16 barrels gross of oil per day, where previously the well had not been an oil producer, provided further encouragement that the fracture stimulation had enabled the well bore to open up unexploited reservoir.

At open flow, inclusive of the oil production, the group reported that the well had demonstrated the potential to produce up to 231.5 boepd (net to Northcote 95boepd).

Randy Connally, Chief Executive Officer of Northcote, said: "We are delighted by the initial performance of the Big Hill No. 1 well which has the potential, once the choke is increased, to significantly increase production above the pre-frac levels. The success of the Big Hill No. 1 represents a big step towards meeting our 100 barrels of oil equivalent per day (boe/d) 2013 target."

Northcote Energy's share price was up 6.06% to 1.75p at 08:52.

MF

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

Most Popular

The FTSE 100 is set for a makeover with an influx of new tech stocks
UK stockmarkets

The FTSE 100 is set for a makeover with an influx of new tech stocks

The FTSE 100 – the dullest index in the world – is about to reinvent itself as a host of new firms list on the market. The change is long overdue, say…
24 Jan 2021
Why we won’t see a house-price crash in 2021
House prices

Why we won’t see a house-price crash in 2021

Lockdown sent house prices berserk as cooped up home-workers fled for bigger properties in the country. And while they won’t rise quite as much this y…
18 Jan 2021
Think Tesla is a bubble? This might be the best way to bet on it bursting
Oil

Think Tesla is a bubble? This might be the best way to bet on it bursting

The huge rise in Tesla’s share price means that, by market value, it’s now the sixth-largest company in the US and and the world’s biggest car-maker. …
25 Jan 2021