(Sharecast News) - Texas-focussed oil and gas explorer and developer Nostra Terra announced on Monday that the Grant East 1 well in the Permian Basin of west Texas has reached total depth.
The AIM-traded firm said that, following the spud, the well reached a total depth of 3,200 feet on 3 May, just below the Clear Fork formation.
It said log analysis showed the well encountered the Upper Clear Fork at about 2,560 feet, and the Lower Clear Fork at around 2,806 feet, with 24 feet of gross reservoir section in the Upper Clear Fork and 108 feet of gross reservoir section in the Lower Clear Fork.
The company said the well compared "favourably" with the Nostra Terra-operated wells on an adjoining lease to the west, at the Grant 5 and 6 wells.
It said the well was cased and cemented through both pay intervals, with the perforations selected and the fracture stimulation programme designed, and scheduled to take place later in the week.
Construction of the tank battery had also started, and following completion, the well would be put into production.
Nostra Terra owns a 100% working interest in the well, and is the operator.
"We're pleased with the successful drilling and logging at our first well on the new Grant East Lease, which was performed ahead of schedule and under budget," said chief executive officer Matt Lofgran.
"We're looking forward to completing the well and updating shareholders on its production performance in due course."
At 1229 BST, shares in Nostra Terra Oil and Gas Company were down 4.44% at 0.6p.
Nostra Terra (NTOG)