Business
Arrow Exploration Corp. Announces Operational Update, New Promissory Note Terms and the Appointment of a New Director
Arrow Exploration Corp. Announces Operational Update, New Promissory Note Terms and the Ap...
About this update from Arrow Exploration Corp.
[{"type":"text","content":"\n\n\n\nArrow Exploration Corp. Announces Operational Update, New Promissory Note Terms and the Appointment of a New Director\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, Aug. 1, 2019\n\n\n\nCALGARY, Aug. 1, 2019 /CNW/ - ARROW Exploration Corp. (\"Arrow\" or the \"Company\") (TSXV: AXL) is pleased to announce an operational update as well as revised terms of its $5 million Promissory Note with Canacol Energy (\"Canacol\") and the appointment of a new board member to fill an existing vacancy.\nOperational Update\nArrow's current corporate production is approximately 1,800 boe/d consisting of 1,700 bbl/d of oil production in Colombia which receives Brent-linked pricing and 100 boe/d from the Company's legacy natural gas assets in Alberta. The Company's Rio Cravo Este well (\"RCE-1\") is currently producing approximately 400 bbl/d of 28.5-degree API oil on a gross basis (200 bbl/d net to Arrow), as limited by water handling capacity. Arrow is currently implementing a water handling solution which is expected to reduce RCE-1 operating costs by approximately 30% and increase production from the RCE-1 well. The improved water handling solution is anticipated to be operational during the first half of August, 2019 and Arrow intends to release second quarter financial results on or before August 29, 2019.\nRevised Promissory Note Terms\nArrow is pleased to announce that on July 31, 2019, Arrow and Canacol entered into a Second Amended and Restated Promissory Note (the \"Note\") to revise the terms of the April 29, 2019 Amended and Restated Promissory Note. The amendments provide a deferral of principal payments to commence on October 1, 2020 and which shall be paid in six monthly instalments such that all Note obligations are paid in full on or before March 1, 2021. The amendments also provide that the Company will repay all interest accrued to July 31, 2019 (totaling $628,767) by December 31, 2019, and that commencing on September 1, 2019 the Company will make monthly interest-only payments on the principal sum then outstanding plus the outst...