It comes after COPL shares resumed trading in London in the wake of its reverse takeover to acquire production assets in Wyoming, and, told investors that those assets are performing ahead of expectations.
Oil production from the assets is up some 80% measured at 2,200 barrels per day up from 706 barrels since April 1, the effective date of the transaction, and volumes are expected to rise further.
Millholland in an interview with Proactive highlighted the opportune timing of the acquisition.
“Last year, people went running or the hills and we went out looking for opportunities. We could see an opportunity here that would never have been for sale had last year not happened. So, we bought at the right time,” he said.
“From our standpoint there’s an awful lot of upside here.
“We’ve got just under 50,000 acres, a big block of leases here, and it’s reinvented us because we’re, we’re in the right moment and we’ve got a great team of people.”
Volumes have been supported by gas injection, with 1bn cubic feet (60% natural gas, 40% butane/propane) pumped in and the beginning of a well re-completion programme with two of twelve well operations to date.
New drilling is underway to expand the Shannon asset and open-up a potential new field development.
The company noted that it expects oil production will continue to rise as surface facilities are enhanced to handle the higher volumes and associated pressures.
“With the oil price and our assets performing ahead of expectation, the company is in a very good position for both the short and medium term,” Millholland said in a statement.
He added that COPL is continuing to review other potential value-enhancing acquisitions in Wyoming as it builds a material exploration and production company.