Arrow Exploration Share Discussion Threads

[eaglehaslanded] 26/2/2024 08:42

HATYou are probably right, my mistake

[here and there] 26/2/2024 08:39

When did MA say they would RNS on Monday?

I understood that they were expecting/hoping to get CN-5 producing today but I didn't glean anything about RNSing it.

Remember they made it clear they weren't going to RNS every well detail as per the last one which was more of an Ops update.

[rockyride] 26/2/2024 08:38

Buffy I agree and I am sure AXL are more interested in selling a larger 2P number in 18 to 24 months than producing hard now. I think my views are corroborated with the reply I received to a recent question about AXL's stance on hedging:-'We discuss hedging quite a bit and review Brent pricing every day.With the current forward curve losing almost 10% in 14 months we would be forced to accept a lower price than we are currently receiving on our crude with a hedge.As well, the EIA and OPEC are both calling for oil shortages in 2024 and 2025. There is the potential for Brent prices to climb.'

[buffythebuffoon] 26/2/2024 08:33

“The wells in Llanos basin can be drawn very Hard with huge rates but it will eventually be a bad thing for the field in medium to long term.“

Bear in mind we are looking to sell this on.

Investors often forget the asset has to work for the buyer as well! Creating a win win situation is an important facet in the armoury of a successful serial entrepreneur.

Buffy

[royalalbert] 26/2/2024 06:54

C2 second that.

[royalalbert] 26/2/2024 06:52

Well you learn something everyday, if peeps wish to see how the valves work and the difference between them.

[rockyride] 25/2/2024 23:05

Hey EHL, dont ask matey I was only kidding.

[chessman2] 25/2/2024 22:18

Many thanks from me to all you fellow investors who contribute so much to increase our knowledge.

Tomorrow or the early part of the week could be very interesting!!

[mount teide] 25/2/2024 22:02

EHL - thanks.....as always, a very quick response from Joe.

krall - thanks for the info ref:Frontera - one of Colombia's largest independents, with over 40,000 bopd of production.

Frontera slashes capex, eyes Colombia production ramp-up - 15th Feb 2024 - BN Americas

'Frontera Energy plans to invest US$272-335mn this year, down from a midpoint estimate of US$420mn in 2023, the South America-focused company said on Thursday.

Upstream activities will account for US$230-280mn, including US$35-45mn for exploration, while US$40-50mn will be allocated to Colombian infrastructure works.

"Our 2024 capital and production plan is fully funded, protected by a prudent hedging program, and leans into the most productive and profitable assets within our portfolio," Frontera CEO Orlando Cabrales. '

Frontera has modified its 2024 Colombian production development programme to drill its most productive and profitable assets first.

[eaglehaslanded] 25/2/2024 22:00

RRLet us first see tomorrow as MA said Monday RNS will come on CN-5.

[rockyride] 25/2/2024 21:42

Hey EHL, can you ask Joe if he's finished writing this weeks RNS re CN5? Exciting times and hopefully another leg up the re-rate ladder before the end of the month.

[krall] 25/2/2024 21:37

That is correct , one zone at a time. Sometimes they do dualstrings to produce from two at the same time, dont think Axl will do that. Its expensive.

My point was more on the cautious note. Be careful what you wish for, The wells in Llanos bssin can be drawn very Hard with huge rates but it will eventually be a bad thing for the field in medium to long term.

[eaglehaslanded] 25/2/2024 21:22

Sorry. Krall

[eaglehaslanded] 25/2/2024 21:21

Kroll Interesting. Joe have told me before they can only drill and produce from one formation per well. Most unfortunate but that is how it is. I hope I have understood this correctly.

[krall] 25/2/2024 21:10

AXL management has been very clear and wise saying they will flow the wells carefully to maximize recovery.

Rancho Hermoso is located just to the west in the next block. CNE is not known to be the most careful operators in Colombia but very good at NR´s with huge test rates. Same zones.

"A completion string is currently being run to place the Ubaque reservoir, which tested at a gross rate of
8,122 bopd (2,030 bopd net), on permanent production."

hxxps://canacolenergy.com/site/assets/files/3315/cne-20110224-nr.pdf

Canacol Energy Ltd. Tests 7,220 BOPD Gross From the Los Cuervos - Barco and C7
Reservoirs for Combined Total of 26,286 BOPD Gross From the Rancho Hermoso 10
Well in Colombia

CALGARY, ALBERTA- (February 24, 2011) Canacol Energy Ltd. (“Canacol̶1; or the “Corporation”) (TSX VENTURE:CNE.V) (BVC:CNE.C) is pleased to provide an update of its development drilling program at its operated Rancho Hermoso Field located in the Llanos Basin of Colombia. The Corporation has completed four production tests in the recently drilled Rancho Hermoso 10 (“RH 10”) well. The Corporation previously tested a combined rate of 19,066 barrels of oil per day (“bopd”) from the Ubaque and Guadalupe reservoirs. The RH 10 well encountered 110 feet (“ft”) of net oil pay within 5 different
reservoir intervals, which include, from top to bottom, the C7, Mirador, Los Cuervos–Barco, Guadalupe,
and Ubaque.

[krall] 25/2/2024 20:39

AICD are used in Colombian fields. PTAL studied and used Fronteras Quifa och CPE-6 producing fields as analogs before they started to use it. A good guess is that Ecopterol also uses it in Rubiales field. All fields are in the Llanos basin.

Autonomous inflow control devices (AICDs) are widely used to delay the influx of water into the wellbore.

ICD - inflow control device.

dont know the difference but for sure google can sort that out :)

[eaglehaslanded] 25/2/2024 20:26

And here is your answer MT:I am unfamiliar with AICD valve technology. We are familiar with ICD technology. These internal devices/valves sit in the horizontal section of the well and are able to turn off production once they are introduced to water. This is done using pressure differentials. We have been talking to a few suppliers of ICDs and are very interested in the devices. They are very expensive and we are not expecting to use them in the first horizontal well. Once we have been able to drill and monitor the first horizontal well we will determine if ICD can be helpful in future follow up wells. ThanksJoe

[eaglehaslanded] 25/2/2024 20:21

KSHere is the answer from Joe:Arrow owns the mineral rights over the Tapir block, however we do not own all of the surface rights. This is a process very similar to Canada and the US where we negotiate for and acquire surface rights. Before any new pad is built or licenses are granted for new wells, we are required to perform environmental and archaeological studies. We monitor local animals, water sources, reptiles, etc. These are both very standard steps that take place all over the world for the oil, gas and mining industries. Hope that clears things up.Joe

[mount teide] 25/2/2024 19:45

O/T - RA - PTAL - took a profit on some of my initial holding. After the management then deftly navigated some challenging social/political issues to position the company well for the future, elected to retain the remaining holding, as the risk/reward over a 2-3 year outlook now looks as good as at any time I've been a shareholder.

[royalalbert] 25/2/2024 15:58

Off topic, nice to see you have PTAL MT good divi payer, with growth potential.

[eaglehaslanded] 25/2/2024 15:46

J1Joe is confident in extension of OP, I see it as an option that may not materialize. We can only hope. Joe has said they have good relationships with ANH, so that is a plus.I also think HZ wells will be a game changer. And I think they will be able to produce well, however the company act as good stewards so maybe they choke the wells, who knows.

[j1m1e] 25/2/2024 15:30

Yes very interesting re the Mateguafa Oeste slide on page 29 of the presentation. I can see on their map this field lies close to the South West boundary of the North Tapir block and maybe the field extends (I assume significantly) beyond their current acreage.

The prospects for the company continue to improve and its incredible to see how far they have come since the original strategy outlined in the admission to Aim documents.
If I can remember they only had a few wells planned for Carrizales Norte targeting the C7!

MT- I can't wait for the results from the horizontal wells they could be hugely significant for the company if they far exceed expectations. The success of CN-5 and proving up a huge additional reserve and a couple more horizontals would really be the icing on the cake. I know one of the criticisms of Arrow were its meagre reserves compared to its peers however this looks to be improving continuously and hopefully the Baquiano and Mateguafa turn out to be sizeable reserves.

Its a shame the Oso Pardo extension has taken so long. Does anyone know if they are any closer to a decision on granting it?

I've got a feeling 2024 will be the year for Arrow. 2023 really laid the groundwork even if the stock performance was somewhat underwhelming in its response to the companies progress.

[mount teide] 25/2/2024 13:49

EHL - Thanks - I've been a Petrotal shareholder for circa 4 years.

[eaglehaslanded] 25/2/2024 13:00

MTI forwarded your comments to Joe and requested an answer if possible.Nice find!