Photo by: Bloomberg
PERTH (miningweekly.com) – The share price of ASX-listed Austin Exploration jumped more than 9% on Tuesday after the company announced an oil discovery at its well in Colorado, in the US.
MD and CEO Mark Hart said that the early flows were significant, with drilling at the well intersecting a large, naturally fractured and over-pressured oil reservoir.
The discovery was made at 4 500 ft.
This was the first well that Austin had attempted to produce oil from, and Hart said that the company had taken the decision to drill slowly to intensify the engineering design focus for future well design efficiency.
Austin controls some 11 000 acres in Colorado, and has an interest in 5 000 acres in Texas.
The company’s shares were trading at a high of A$0.013 a share on Tuesday, up from an opening price of A$0.012 a share.