(Sharecast News) - Texas-focussed oil and gas exploration and production company Nostra Terra announced on Tuesday that the Cypress farm-out well at its Pine Mills oil field had now spudded.
The AIM-traded firm said drilling was permitted to a total depth of 6,000 feet, and was estimated to take about 10 days.
It said the primary target formation was the prolific Woodbine Sand, while the well would also evaluate several other known overburden formations.
Nostra Terra owns a 32.5% working interest in the planned well, which includes a 25% carried working interest.
Drilling would be followed "promptly" with logging, and then completion.
"We continue to be pleased with the progress made by our partner," said chief executive officer Matt Lofgran.
"The result of this well can have a significant impact for the company in terms of cash flow as well as an increase in reserves, also leading the way to additional development in Pine Mills.
"Additionally, we continue progressing our portfolio further with the recent farm-in to the Permian Basin acreage, with the acquisition of the Caballos Creek asset, and assessment of other potential opportunities in line with our previously stated goals."
At 1532 GMT, shares in Nostra Terra Oil and Gas Company were up 14.29% at 0.4p.
Nostra Terra (NTOG)16 Jan 2024 17:35
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