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Stonehorse Energy clocks 25,000 barrels of oil equivalent in Canada

ASX News, Materials
ASX:SHE      MCAP $7.529M
13 November 2023 11:00 (AEST)

Source: Stonehorse Energy

Stonehorse Energy (ASX:SHE) has reported its Certus Caroline well in Canada has produced over 25,000 barrels of oil equivalent (BOE) in 21 days.

The well is one of two operating wells Stonehorse will boast by late Q4 CY23.

The 21 days of initial production from Certus reflect 1193 BOE per day.

Stonehorse’s 26.25 per cent holding in that asset awards it to sales of some 330 BOE per day.

Dual oil & gas production

The same well also tested at rates of 9000 million cubic feet of gas per day (mcfd).

The daily gas volume production metric sits at 3412 mcfd and 445 barrels of natural gas liquids.

It is not uncommon for a well to be both oil and gas producing – for a long time, gas was seen as a waste byproduct of oil production.

Better than expected

Ultimately, production volumes remain higher than Stonehorse’s early geotechnical predictions.

The company noted strong commodity prices in its overall assessment the Alberta acreage reflects a strong portfolio constituent.

Stonehorse added the well is currently being artificially restricted in terms of output.

Meanwhile, the company expects its Grypthon Wapiti well, also in Alberta, to start producing oil in early December.

First oil production in Dec

Drilling of Wapiti concluded with a total depth of 3280 metres on November 4.

The company has cased the well with cement and fracking operations are set to commence shortly.

The well was first spud in late October.

Stonehorse was previously involved with Brookside Energy (ASX:BRK) on-site the latter’s SWISH ‘area of interest’ (AOI) in the US.

Shares last traded at 1.6 cents.

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