Pacific Energy Development has quadrupled its production rate on the Loomis well in Colorado.
The recently completed 2-1H horizontal well in Weld County tested at an initial rate of 576 barrels of oil per day (bopd) and 630,000 cubic feet of gas.
Frank Ingriselli, chairman and chief executive, said: “We are very pleased with the initial production rate from our first two of three Loomis wells, as it not only validates our improved completion techniques and value of this acreage, but also more than quadruples our current daily net production.
“We look forward to announcing initial production rates from the third Loomis well within the next several days, which results we anticipate will be consistent with these wells, further significantly increasing our net production.”
It is the second of three wells from a single pad completed by the company.
The news comes as the firm confirmed it was notified by the NYSE MKT LLC that it is not in compliance with certain of the Exchange’s continued listing standards as set forth in part 10 of the NYSE MKT Company Guide.
To maintain its listing, the Exchange has asked Pacific Energy to submit a plan of compliance by February 9, 2015 addressing how it intends to regain compliance with Section 1003(a)(iii) of the Company Guide by July 8, 2016.
If the plan is accepted, the company may be able to continue its listing, but will be subject to periodic reviews by the Exchange.
Mr Ingriselli added: “Although the recent trends in the market for oil and gas have negatively impacted our revenues and cash flow, and caused our stockholders’ equity (net of non-controlling interest) to dip below the $6 million NYSE MKT threshold, we plan to take action in the first quarter of 2015 which we believe will enable us to meet the stockholders’ equity requirement before the deadline set forth by the Exchange and further plan to prepare and file the Plan with the NYSE MKT which we anticipate will be satisfactory and accepted.”
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