(Sharecast News) - SDX Energy announced the successful drilling of the KSR-21 well on Thursday, achieving its target vertical depth of 1,955 metres, or 1,966 metres when considering the measured depth.
The AIM-traded firm said the significant drilling activity was directed at a prospect within the Hoot formation - a primary producing formation in the region.
Following the drilling, SDX confirmed through wireline logging data the presence of gas-charged sands within the targeted reservoir section.
The discovery of the sands indicated the potential for increased regional production and profitability.
Further assessments would determine the new find's exact volume and commercial viability.
"The drilling rig will now be moved off location and the reservoir interval perforated to undergo a short testing period before being brought onto production to supply existing gas off-takers," the board said in its statement.
At 1458 BST, shares in SDX Energy were up 6.93% at 4.01p.
Reporting by Josh White for Sharecast.com.
SDX Energy (SDX)