Highlands Natural Resources (LON:HNR) shares rallied on Thursday, after the company updated the market on progress at its East Denver Well.
The natural resource exploration company said in a statement that East Denver:
“reached a combined flowrate of 1,022 BOE per day from the Wildhorse and Powell Wells, measured during the 24-hour period ending at 10:00pm (MST) on 15 November. These figures reflect a 37.7% increase in the production rate since the prior market update on 10 November.”
They added: “Highlands notes that oil and gas production volumes and fluid percentages continue to rise steadily and remain in-line with expectations, and the Company will announce a definitive Initial Production (“IP”) result in the coming weeks once production rates stabilize.
Back in October, the London-listed company announced that it had commenced flow back operations at the Wildhorse and Powell wells at its East Denver Niobrara oil and gas shale project in Colorado.
Highlands Natural Resources has been operating since November 2014, with a listing on the London Stock Exchange as of March 2015.
Its core US assets alongside its East Denver project, are DT Ultravert technology and Helios 2 in the state of Montana, which is primarily concerned with helium and natural gas development.
Back in June, the company announced that it had secured its first patent in the United States for the DT Ultravert well services technology.
At the time of the announcement, Highlands said the patent would significantly better its strategic marketing position, securing its status as the sole provider of the DT Ultravert process for well protection.
The company remained optimistic that additional patent applications would also be subsequently confirmed.
Shares in the company are currently up 10.89 percent as of 11.38AM (GMT).