REG - Arrow Exploration - Arrow Announces the Spud of the CNB HZ-1 Well

Arrow ExplorationAnnouncement

16/05/2024 07:00

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RNS Number : 6315O  Arrow Exploration Corp.  16 May 2024

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ARROW ANNOUNCES THE SPUD OF THE CNB HZ-1 WELL

CALGARY, May 16, 2024 - Arrow Exploration Corp. (AIM: AXL; TSXV: AXL) ("Arrow"
or the "Company"), the high-growth operator with a portfolio of assets across
key Colombian hydrocarbon basins, is pleased to announce the spud of the
Carrizales Norte B pad Horizontal Well 1 ("CNB HZ-1") on the Tapir Block in
the Llanos Basin of Colombia.

The CNB HZ-1 well will develop the Ubaque formation which has been
successfully delineated by the CN Q1 2024 well program.  The CNB HZ-1 well is
expected to be drilled to a true vertical depth of 8,400 feet and have a
horizontal length of 1,800 feet.

Once CNB HZ-1 is on production in June, Arrow plans to drill a water disposal
well and three more horizontal wells from the CNB pad.  Following further
drilling during the second half of 2024 at Baquiano and Matteguafa, the
Company expects to drill additional horizontal wells at the CNB pad towards
the end of the year.

The Baquiano pad and road construction are now complete and the RCE-1 well has
been successfully converted to a water disposal well.  The process of
converting the CN-4 well to a water disposal well has begun, which is
estimated to take up to four months.

Arrow is also in the initial planning stage for a 3D seismic program in the
southern end of the Tapir block where the intent is to further develop the
Icaco and Macoya Este leads.

The Company continues to have a strong balance sheet with US$12.4 million cash
and no debt as of May 1, 2024.  Arrow expects to release Q1 2024 results at
the end of May.

Marshall Abbott, CEO of Arrow commented: "Spudding Arrow's first horizontal
well at the CNB pad is a significant milestone in Arrow's development plan for
the hydrocarbon dense Ubaque reservoir.  After the Carrizales Norte
discovery, we determined that the Ubaque reservoir could be developed most
efficiently using horizontal drilling technologies and the successful spudding
is a result of a year of preparation and geological, seismic, engineering and
simulation work."

"The Q1 2024 well program has helped determine the extent of the Ubaque zone,
both proving that the sands are continuous, thick and permeable, and adding to
reserves at the Carrizales Norte field. Arrow believes the horizontal wells at
Carrizales Norte will be transformative for the Company, resulting in a step
change in production, and that the technology will be effective in other
prospects on the Tapir block."

"I want to thank everyone at Arrow for their dedication and hard work over the
last year which has enabled us to progress Arrow to the next level."

For further Information, contact:

 Arrow Exploration
 Marshall Abbott, CEO                                    +1 403 651 5995
 Joe McFarlane, CFO                                      +1 403 818 1033

 Canaccord Genuity (Nominated Advisor and Joint Broker)
 Henry Fitzgerald-O'Connor                               +44 (0)20 7523 8000

 James Asensio

 George Grainger

 Auctus Advisors (Joint Broker)
 Jonathan Wright (Corporate)                             +44 (0)7711 627449
 Rupert Holdsworth Hunt (Broking)

 Camarco (Financial PR)
 Andrew Turner                                           +44 (0)20 3781 8331
 Rebecca Waterworth

About Arrow Exploration Corp.

Arrow Exploration Corp. (operating in Colombia via a branch of its 100% owned
subsidiary Carrao Energy S.A.) is a publicly traded company with a portfolio
of premier Colombian oil assets that are underexploited, under-explored and
offer high potential growth. The Company's business plan is to expand oil
production from some of Colombia's most active basins, including the Llanos,
Middle Magdalena Valley (MMV) and Putumayo Basin. The asset base is
predominantly operated with high working interests, and the Brent-linked light
oil pricing exposure combines with low royalties to yield attractive potential
operating margins. Arrow's 50% interest in the Tapir Block is contingent on
the assignment by Ecopetrol SA of such interest to Arrow. Arrow's seasoned
team is led by a hands-on executive team supported by an experienced board.
Arrow is listed on the AIM market of the London Stock Exchange and on TSX
Venture Exchange under the symbol "AXL".

Forward-looking Statements

This news release contains certain statements or disclosures relating to Arrow
that are based on the expectations of its management as well as assumptions
made by and information currently available to Arrow which may constitute
forward-looking statements or information ("forward-looking statements") under
applicable securities laws. All such statements and disclosures, other than
those of historical fact, which address activities, events, outcomes, results
or developments that Arrow anticipates or expects may, could or will occur in
the future (in whole or in part) should be considered forward-looking
statements. In some cases, forward-looking statements can be identified by the
use of the words "continue", "expect", "opportunity", "plan", "potential" and
"will" and similar expressions. The forward-looking statements contained in
this news release reflect several material factors and expectations and
assumptions of Arrow, including without limitation, Arrow's evaluation of the
impacts of COVID-19, the potential of Arrow's Colombian and/or Canadian assets
(or any of them individually), the ability to complete exploration and
development work as expected, the prices of oil and/or natural gas, and
Arrow's business plan to expand oil and gas production and achieve attractive
potential operating margins. Arrow believes the expectations and assumptions
reflected in the forward-looking statements are reasonable at this time, but
no assurance can be given that these factors, expectations, and assumptions
will prove to be correct.

The forward-looking statements included in this news release are not
guarantees of future performance and should not be unduly relied upon. Such
forward-looking statements involve known and unknown risks, uncertainties and
other factors that may cause actual results or events to differ materially
from those anticipated in such forward-looking statements. The forward-looking
statements contained in this news release are made as of the date hereof and
the Company undertakes no obligations to update publicly or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, unless so required by applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

This Announcement contains inside information for the purposes of the UK
version of the market abuse regulation (EU No. 596/2014) as it forms part of
United Kingdom domestic law by virtue of the European Union (Withdrawal) Act
2018 ("UK MAR").

 

 

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