Caza Oil & Gas hit a 52-week high after revealing that production rates at its 3H horizontal Bone Spring well in New Mexico have been increasing on a daily basis.
Caza currently has a 45% working interest (35.213% net revenue interest) before payout and a 58.75% working interest (45.972% net revenue interest) after payout in the Caza Ridge 14 State No. 3H well at the Copperline Prospect in Lea County.
"This is an exceptionally good result for Caza's first operated horizontal Bone Spring well," claimed Michael Ford, the Chief Eecutive Officer of Caza.
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"In addition to creating development opportunities associated with the Copperline Property, this result has de-risked a large portion of our Bone Spring acreage in Lea County. Production from the Caza Ridge well should significantly increase Caza's oil to gas production ratio, while adding additional cash flow and reserve value to the company," he added.
The group said it is now drilling the horizontal section of its operated Forehand Ranch test well in Eddy County, also in New Mexico. This should reach its targeted depth within the week, after which a fracture stimulation date will be set.
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