Shares in Corcel jumped over 12% on Thursday morning as the company reported positive drilling results from its part-owned site in Angola.
Drilling in the TO-14 well, which is part of the onshore KON-11 block, confirmed oil throughout, the company said in an update.
These mirrored drilling results from the TO-13 well and effectively confirm production can be reactivated on the potentially significant hydrocarbon deposit, Corcel added.
“We’ve confirmed that the same formations are contiguous between both wells, and data indicates that these zones contain movable oil throughout the reservoir,” executive chairman Antoine Karam said.
“Given the historically wide well spacing of the field, there appears to remain substantial areas both undrained and now potentially re-charged since the original field was shuttered.”
KON-11, in Angola’s Kwanza Basin, was developed by Petrofina between the 1960s and 1970s and has been inactive since the late 1990s.
Now operated by Sonangol and 20% owned by Corcel, the pair anticipate more could be produced at the site through the use of modern technology. Shares in Corcel climbed 12.55% to 0.66p.
