Sunday, August 24, 2025

Latest

Canaccord: NG Energy Has “One Of The Largest Onshore Discoveries From The Last Few Years”

On October 20, NG Energy (TSXV: GASX) announced that it had been successful drilling the Brujo-1x well at their Sinu-9 block in Colombia, under an agreement with CleanEnergy Resources.

The company said it drilled the well to a final depth of 8,019 feet in the Lower Magdalena Basin, hitting 680 feet of net gas bearing zone in the Cienaga de Oro formation and 103 feet in the Porquero formation, for a total of 783 feet of net gas pay.

As a result, the company said it would start testing seven zones within the Brujo-1x well starting on October 24th. The company’s CEO, Serafino Iacono, commented, “We are very excited by the potential magnitude of these results. This will allow the Company to redefine the expectations of the full block potential. The Company looks forward to providing further updates on well testing as this work progresses.”

NG Energy currently has two analysts covering the stock with an average 12-month price target of C$2, or an upside of 145%. The street-high price target currently sits at C$2.60 from Beacon Securities and represents an upside of 218%.

In Canaccord Genuity Capital Markets’ note on the news, they reiterate their speculative buy rating and C$1.40 12-month price target, saying that they are impressed with the results.

They believe that these results would indicate that Brujo-1X is “one of the largest onshore discoveries from the last few years.” They compare this to Aguas Vivas 1, a well drilled next door by Canacol Energy, which was Canacol’s thickest encounter in their history and only had a net pay of 412 feet, producing 35.5 MMSCFPD.

Lastly, Canaccord adds that last week’s news of a three year sale agreement is expected to add roughly US$3 million in EBITDA a quarter through 2026 as they expect gross production from the Maria Conchita of ~20MMcf/d.


FULL DISCLOSURE: Canacom Group, the parent company of The Deep Dive has been compensated to provide coverage on this company. The company has been compensated to cover this story on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.

Video Articles

G Mining Q2 Earnings: Costing Gone Wild

Aya Gold Q2 Earnings: Production Slips Amid Ramp Up

i-80 Gold Q2 Earnings: Better, But Not Great

Recommended

Emerita Resources Expands El Cura Drill Program By 10,000 Metres As Deposit Remains Open For Expansion

ESGold Signs MOU For Tailings Project In Colombia With Grades Up To 42 g/t Gold, 280 g/t Silver

Related News

BMO Launches Coverage On Beyond Meat With $68 Price Target

Beyond Meat (NASDAQ: BYND) gained its 21st analyst coverage at the beginning of February. BMO...

Saturday, February 5, 2022, 01:11:00 PM

Microsoft: Earnings Estimates For Q1 2022

Microsoft (NASDAQ: MSFT) will be reporting its first quarter financial results on the 26th after...

Monday, October 25, 2021, 04:01:00 PM

Stifel: “A Lot Continues To Go Right For Eguana”

On March 1st, Eguana Tech (TSXV: EGT) reported its first fiscal quarter of 2022. The...

Saturday, March 5, 2022, 05:10:00 PM

GAGE Cannabis: PI Financial Reiterates Their Street High Target, Lowers 2021 Estimates

On August 24, Gage Growth Corp. (CSE: GAGE) announced their second quarter financial results. The...

Saturday, August 28, 2021, 11:13:00 AM

Trulieve Sees Consensus Price Target Tumble After Cutting Guidance

Trulieve Cannabis (CSE: TRUL) reported its second quarter financial results on Wednesday. The company announced...

Thursday, August 11, 2022, 04:39:00 PM