Coastal Energy shares leap on 'outstanding' result

Coastal Energy Company, an oil and gas firm, has cheered its investors with news of an 'outstanding' result at the Songkhla A-10 well in Thailand.

The well was drilled to a depth of 7,400 feet and encountered 213 feet of net pay in the Lower Oligocene with 20% porosity. The gross oil column in the well was approximately 550 feet thick.

Randy Bartley, President & Chief Executive Officer, said: "The A-10 well result is outstanding. This well encountered a record amount of net pay for the Songkhla basin with some of the best reservoir characteristics we've seen in the Lower Oligocene interval.

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"We estimate that this doubles the volumetric estimates for this particular fault block. Production will be tied in from this well shortly. The next well will test the fault block immediately to the north and, if successful, could warrant an additional production facility in this location to develop these two fault blocks."

The share price rose 10.36%, or 107.50p, to 1,145p.

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