Shares of Extraction Oil & Gas have risen by almost 20%.
The surge comes after the firm became the first producer to launch a US IPO this year.
Stocks increased by 19.7% as crude prices held above $50 per barrel.
Extraction Oil is offering 33.33million shares at $19 each in a bid to raised about $633million.
Oil and gas companies had been holding on initial public offerings this year, after being discourage by weak crude prices.
The outlook for oil has improve in recent weeks following the proposal by OPEC to curb production.
Extraction Oil, founded by Mark Erickson and Matthew Owens in 2012, is backed by Yorktown Partners LLC, BlackRock Inc and Neuberger Berman Group, among others.
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