Indonesia Energy Corp (AMEX:INDO) shares are soaring Tuesday after the company announced that it discovered a potential natural gas bearing reservoir while drilling its Kruh 28 well.
During the drilling process, Indonesia Energy said it unexpectedly found evidence of a potential natural gas bearing reservoir between 976 and 1,006 feet interval with 25 feet of net thickness. The initial evidence was supported by both wireline logging and geologic logging data.
If this zone turns out to be a natural gas discovery, it could add significant value to the expected oil discoveries anticipated at the Kruh 28 well. Indonesia Energy will continue to drill the well towards the expected oil zone at 2,836 to 2,964 feet and expects to report final results when the well is anticipated to be completed in the coming weeks.
Indonesia Energy also announced that the current rate of production from its existing 5 production wells at Kruh Block and the current price of oil have resulted in the company operating at positive cash flow operations.
Indonesia Energy is an oil and gas exploration and production company focused on Indonesia.
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INDO Price Action: Indonesia Energy has traded between $86.99 and $2.61 over a 52-week period.
The stock was up 48.8% at $8.63 at press time, according to data from Benzinga Pro.
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