Arrow Exploration Corp. (AIM: AXL; TSXV: AXL) has announced record total corporate production exceeding 7,000 barrels of oil equivalent per day (BOE/D), driven by results from its IC-HZ9 horizontal well at the Icaco field on the Tapir Block in Colombia's Llanos Basin. The IC-HZ9 well, brought on production on 6 November 2026, is currently producing at a restricted rate of approximately 2,400 BOPD gross. The company also confirmed a cash balance of over US$35 million as of 1 November 2026, and disclosed that a follow-up well, IC-HZ10, was spud on 8 November 2026.

Key Points

  • Arrow Exploration Corp. (AIM: AXL; TSXV: AXL) is a Colombia-focused oil producer operating in the Llanos, Middle Magdalena Valley, and Putumayo Basin
  • IC-HZ9 is producing at a restricted rate of approximately 2,400 BOPD gross (1,200 BOPD net) from the Carbonera C7 formation, with a 26% water cut and 30° API oil quality
  • Total corporate production has surpassed 7,000 BOE/D, a new company record; estimated cash balance exceeded US$35 million as of 1 November 2026
  • Investors should watch the IC-HZ10 well results targeting the Ubaque formation, and the outcome of Tapir Block extension negotiations with Colombian regulators

IC-HZ9 Well Results: Carbonera C7 Horizontal Delivers 2,400 BOPD Gross at Restricted Rate

The IC-HZ9 well was spud on 13 October 2026 and reached total depth on 20 October 2026, drilled to a measured depth of 11,630 feet and a total vertical depth of 6,448 feet. The well was completed with 950 feet within the Carbonera C7 horizontal pay zone. Arrow holds a 50% beneficial interest in the Tapir Block, meaning net production attributable to the company is approximately 1,200 BOPD. The company noted the well is continuing to clean up and that the ultimate flow rate will be determined in the first few weeks of production. The announcement cautions that initial production results are not necessarily indicative of long-term performance or ultimate recovery.

Record 7,000 BOE/D Corporate Production and US$35 Million Cash Balance Underscore Icaco Momentum

Arrow confirmed that total corporate production has exceeded 7,000 BOE/D, which the company describes as a new record high reflecting recent drilling successes from the Icaco pad. The announcement states that as of 1 November 2026, Arrow's estimated cash balance stood at over US$35 million. The company attributes its strong balance sheet partly to what it describes as a high oil price environment and strong field prices. Arrow's assets are linked to Brent pricing, and the company benefits from low royalties across its Colombian portfolio, which the announcement suggests contributes to attractive operating margins.

IC-HZ10 Spud Targets Ubaque Formation as Arrow Plans Further Horizontal Drilling Through 2027

The follow-up well, IC-HZ10, was spud on 8 November 2026 and targets the Ubaque formation — a different reservoir to the C7 targeted by IC-HZ9 — illustrating the multi-zone nature of the Icaco field. Following IC-HZ10, Arrow plans to drill additional C7 and Ubaque horizontal wells at Icaco. The announcement states Arrow has achieved five discoveries at an 85% exploration success rate, which have generated 55 development wells. The multi-zone quality of Icaco has, according to the company, outperformed management expectations in both production rates and estimated ultimate oil recoveries.

Tapir Block Extension Negotiations and Colombia's Regulatory Environment Remain Key Watch Points

Arrow highlighted that it is continuing to engage Colombian regulatory bodies regarding an extension of the Tapir Block, describing this as a priority. The company states it has exceeded all work commitments under the Tapir Association Contract, through which it holds a 50% beneficial interest via rights agreed with partner Ecopetrol S.A. The announcement also references a recent Colombian presidential election, noting that the new administration is characterised as pro-business and supportive of expanding oil and gas development. Regulatory and political risk in Colombia remains a company-specific factor that investors in AXL may continue to monitor closely.