Arrow Exploration Corp. ("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."