NG Energy Corp (TSXV: GASX) is about to begin exploring what it views as one of its strongest assets. The firm this morning revealed that drill mobilization has begun at it’s Sinu-9 property in Colombia as part of a multi-well drill program.
The current program will see the equipment first mobilized to what the firm refers to as Magico-1 at the Sinu-9 property. The company had originally planned to drill this target first on the property, prior to plans changing in fall 2021, wherein they intended to target the northern portion of the gas field. The drill plan however has since reverted back to focusing on Magico-1 following a new seismic evaluation that was conducted.
The seismic review conducted identified the presence of multiple class three bright spots at this region, along with the discovery of new evidence that points to the potential for deeper prospective zones. Those zones are expected to possibly have higher production rates. Locals in the region also support this, with rights of way already provided and local hiring already well underway, leading to faster drill times.
Following the completion of the drill program at Magico, the firm will move to areas that include Hechizo, Hechicero, and Milagroso. The company currently has permits to drill up to 22 wells on the property.
In terms of the current state of mobilization, construction of the pad for drilling is in progress, with the road to the platform now complete. The first set of drill equipment needed for drilling is also said to be mobilized, leading to drilling of the property expected in the near term.
NG Energy last traded at $1.70 on the TSX Venture.
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