Terrace Energy report early results from its first horizontal well on its recently acquired STS Project in Texas.

The well was drilled to a measured depth of 13,302 feet, including approximately 4,100 feet of horizontal section, and was successfully fracture stimulated in 14 stages.

After less than 10% load recovery, the well continues to strengthen and is currently flowing at a rate of approximately 564 BOPD (barrels of oil per day) and 1.2 MMCFD (million cubic feet per day) of liquid rich gas. There can be no assurance that the flow rate will stabilize at current or higher levels over time.

Dave Gibbs, the Company's President, commented: "We are very pleased with the results at this early stage of the project's development. The current flow rate of our first well is greater than anticipated, which bodes well for the long-term successful development of our acreage position."

Tags: Terrace Energy