(Alliance News) - Nostra Terra Oil & Gas Co PLC on Tuesday said it has spud the Grant East-1 well in the Permian Basin, Texas on Friday last week.
Shares in the oil & gas firm were 12% higher at 0.72 pence on Tuesday in London.
Nostra Terra holds a full working interest in the Grant East lease. The Grant East-1 well is the first of three locations to be drilled to date. Drilling is expected to reach a total depth of 3,500 feet and is expected to take seven days to complete.
The main objective is the Clear Fork formation with the secondary objective being the up-hole San Andres formation, both of which are productive in offset wells.
Once the well is drilling, completion operations will start once the well is logged and evaluated.
"This is a significant development for the company. More than just the Grant East-1 well, we now have a 100% working interest in a prolific area with permits to drill up to 3 new wells in 2022. The Grant East Lease provides NTOG with a long-life, low-cost production opportunity with multiple drilling locations. Most importantly, like Grant East-1, all future wells are forecasted to be funded internally, without the need for further dilution," said Chief Executive Officer Matt Lofgran.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Nostra Terra (NTOG)