28th Nov 2024 11:32
(Alliance News) - Arrow Exploration Corp on Thursday said it was planning for another year of growth as it realised strong on-year improvements in key performance metrics.
Arrow Exploration is an oil exploration company with a portfolio of Colombian oil assets. It operates in some of Colombia's most active basins including the Llanos, Middle Magdalena Valley and Putumayo basins.
For its third-quarter, the Calgary, Canada-based firm said pretax profit grew by 62% to USD11.0 million from USD6.8 million the prior year.
This was supported by year-on-year revenue growth of 37% for oil and natural gas to USD24.0million from USD15.9 million, with this growth supported by an increase in production owed to the successful drilling of the first three horizontal development wells in the Carrizales Norte field.
Average corporate production in the third-quarter grew by 64% to 4,124 barrels of oil equivalent per day from 2,518 barrels of oil equivalent per day the prior year.
Its shares were up 3.7% at 23.84 pence on Thursday morning in London.
The firm said it its focus for the rest of 2024 is on the low-risk exploration well at the Alberta Llanos prospect, with the firm expecting to have both drilling and log results before the end of the year.
For 2025, Arrow said it is planning for "another year of growth", expecting to drill up to 23 wells on the Tapir block. The firm added that total capital expenditure for next year is expected to reach USD50 million, but with it anticipating "significantly higher" levels of production as a result.
The firm's cash position for the end of the third-quarter grew 29% year-on-year to USD16.5 million from USD12.8 million.
Chief Executive Marshall Abbott said: "The third-quarter of 2024 was the best quarter on record for Arrow. Compared to the same quarter last year, corporate production grew by 64% and revenue grew by 53%.
"The highly successful horizontal well program at Carrizales Norte is ongoing with the completion of HZ-7. This program has also demonstrated that the Carrizales Norte reservoir extends further than originally thought and the plan is to exploit the reservoir extension with additional horizontal wells.
"Arrow is looking forward to 2025 with an approved budget that will see up to 23 wells drilled on the Tapir block. "
By Christopher Ward, Alliance News reporter
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