Nostra Terra Progresses Pine Mills Upgrades, Plans Fouke 3 Well
Why we think this is neutral
The RNS provides a mixed outlook for Nostra Terra. While there are positive developments, such as the partner approval for the Fouke 3 well and encouraging results from the waterflood restart, the company is currently facing operational challenges that are impacting production levels. The need for significant infrastructure upgrades and the fact that current production is below field capacity raise some concerns about the company's near-term performance.
Key Points
- Partner approval for Fouke 3 well, with planning ongoing and operational work likely to commence in Q3 2025
- Four of the five Pine Mills Phase 2 well workovers now complete
- Total company oil production currently averaging ca.130 bopd net
- Production from Pine Mills expected to increase to 100-135 bopd net on completion of field electrical upgrades in a fortnight
- Encouraging results from the waterflood restart in the north of the Pine Mills field
Summary
Nostra Terra Oil and Gas Company is pleased to provide an update on its operations, including partner approval for the Fouke 3 well, progress on the Pine Mills Phase 2 workover program, and encouraging results from the waterflood restart. However, the company is currently facing operational challenges that are impacting production levels, with the need for significant infrastructure upgrades. The company expects production from Pine Mills to increase to between 100 and 135 bopd net on completion of field electrical upgrades in a fortnight. The Fouke 3 well is targeted to be drilled in Q3 2025, subject to rig availability.