Arrow Exploration's Mateguafa HZ7 Well Exceeds Production Forecasts on Colombia's Tapir Block
Arrow Exploration Reports Strong Results from Mateguafa HZ7 Appraisal Well
Arrow Exploration Corp (TSX-V:AXL, AIM:AXL, OTC:CSTPF) has reported that its Mateguafa HZ7 (M-HZ7) appraisal well in the Tapir Block, Colombia, has exceeded production expectations. The successful drilling and appraisal results were announced following the completion of the well, which is 50% owned by Arrow Exploration.
Operational Success and Key Metrics
The M-HZ7 well was initiated, or spud, on November 22, 2025, and successfully reached its target depth just over two weeks later on December 4, 2025. The company confirmed that the operation was executed "on time and on budget," demonstrating efficient project management in the challenging operational environment of the Tapir Block.
- Target Depth: The well was drilled to a measured depth of 14,253 feet.
- Hydrocarbon Intervals: Drilling encountered multiple hydrocarbon-bearing intervals, confirming the prospectivity of the reservoir.
- Ownership: Arrow Exploration holds a 50% interest in the M-HZ7 well.
The primary trigger for the positive market reaction is the confirmation that the M-HZ7 well's initial production forecasts have been surpassed. While specific flow rates were not detailed in the initial announcement, the qualitative assessment of exceeding expectations signals a material improvement in the economic viability of the well.
Market Impact and Forward Outlook
The successful appraisal of the M-HZ7 well is a significant development for Arrow Exploration, which focuses on oil and gas exploration and production in Colombia. Successful appraisal wells that exceed expectations typically lead to upward revisions in reserve estimates and future production guidance, which can positively impact the company's valuation.
The Tapir Block is a core asset for the company, and the positive results from M-HZ7 suggest strong potential for further development and exploitation of the Mateguafa field. The ability to drill the well to 14,253 feet and encounter multiple pay zones while staying within the allocated budget underscores the technical competence of the drilling team.
The M-HZ7 well was drilled, on time and on budget to a measured depth of 14,253 feet and encountered multiple hydrocarbon-bearing intervals. The appraisal results indicate that the M-HZ7 well has surpassed initial production forecasts, marking a significant achievement for Arrow Exploration.
This operational success provides a strong foundation for Arrow's production growth strategy in Colombia. Investors will now look for detailed production testing results and updated guidance on how this successful well will contribute to the company's overall output in the coming quarters. The focus will shift to the long-term sustainability of the flow rates and the potential for similar success in future drilling campaigns within the Tapir Block.
