Well test results ahead of expectations, with additional areas identified
Calgary, Alberta–(Newsfile Corp. – June 27, 2022) – Arrow Exploration Corp. (AIM: AXL) (TSXV: AXL) (“Arrow“or the”Company“) is delighted to announce the results of the Rio Cravo Sur-1 (“RCS-1“) well testing on the Tapir Block in the Llanos Basin in Colombia.
The RCS-1 well was emplaced on May 23, 2022. RCS-1 targeted a three-lane fault-bounded structure with multiple high-grade reservoir targets on the Tapir Block in the Llanos Basin in Colombia. The well was drilled to a total measured depth of 8,656 feet (true vertical depth of 8,105 feet) and encountered six hydrocarbon-bearing intervals totaling 55 net feet of oil production.
Specific production test rates for new isolated areas (shallow to deep) include:
Test results are not necessarily indicative of long-term performance or ultimate recovery.
After the C7B test performance, the decision was made to put the C7B into production. Arrow decided not to test the upstream C7 and Gacheta C zones as they were proven to contain oil in RCE-2. The Gacheta B zone test was cut short due to formation water production.
Marshall Abbott, CEO of Arrow, said:
“We are encouraged by the material results from RCS-1, the third well on the Tapir Block. RCS-1 has identified new areas for further mining with smooth results that are better than expected.
“We are currently completing the C7B area, aiming to be in service this week. This increases Arrow’s production and reserves. The company intends to slowly commission RCS-1 and increase production to better manage the oil reservoir.
“Current production from Arrow is providing positive cash flow to the company in an environment of high commodity prices. Continued high production rates from existing linked wells, combined with encouraging results from new drilling in Colombia, support the Company’s goal of achieving a production rate of 3,000 boe/d within 18 months of AIM listing (completed October 2021). These are exciting times for Arrow, and we look forward to provide further updates on our progress.
Costs for the RCS-1 well were under budget.
For more information, contact:
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 (Designated Advisor and Co-Broker)
+44 (0)20 7523 8000
Auctus Advisors (Joint Broker)
Jonathan Wright (Company)
Rupert Holdsworth Hunt (brokerage)
+44 (0)7711 627449
Camarco (financial PR)
+44 (0)20 3781 8331
About Arrow Exploration Corp.
Arrow Exploration Corp. (operating in Colombia through a branch of its wholly owned subsidiary Carrao Energy SA) is a publicly traded company with a portfolio of prime Colombian oil assets that are underutilized, underexplored and offer growth potential raised. The company’s business plan is to increase oil production from some of Colombia’s most active basins, including the Llanos, Middle Magdalena Valley (MMV) and Putumayo Basin. The asset base is primarily operated with high working interests, and Brent light oil price exposure combines with low royalties to generate attractive potential operating margins. Arrow’s 50% interest in the Tapir block is subject to the sale by Ecopetrol SA of this interest to Arrow. Arrow’s seasoned team is led by an active management team supported by an experienced Board of Directors. Arrow is listed on the AIM Market of the London Stock Exchange and on the TSX Venture Exchange under the symbol “AXL”.
This press release contains certain statements or disclosures relating to Arrow that are based on its management’s expectations and assumptions made by and information currently available to Arrow that 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, that address activities, events, results, results or developments that Arrow anticipates or forecasts will, could or will occur in future (in whole or in part) should be considered forward-looking. research 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 press release reflect several important factors and Arrow’s expectations and assumptions, including, without limitation, Arrow’s assessment of the impacts of COVID-19, the potential of the Colombian Assets and/or or Canadian companies of Arrow (or any of them individually), oil and/or natural gas prices, and Arrow’s business plan to increase oil and gas production and achieve attractive potential operating margins. Arrow believes that the expectations and assumptions reflected in the forward-looking statements are reasonable at this time, but there can be no assurance that such factors, expectations and assumptions will prove to be correct.
The forward-looking statements included in this press release are not guarantees of future performance and should not be relied upon unduly. These 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 press release are made as of the date hereof, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required. by applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Bopd: barrels of oil per day
boe/d: barrels of oil equivalent per day
Declaration of the qualified person
The technical information contained in this announcement has been reviewed and approved by Grant Carnie, non-executive senior director of Arrow Exploration Corp. Mr. Carnie is a Fellow of the Canadian Society of Petroleum Engineers, holds a B.Sc. in Geology from the University of Alberta and has over 35 years of 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) as it forms part of UK national law under the Withdrawal from the European Union Act 2018 (“UK MARCH“).
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