Nostra Terra Oil and Gas Company PLC (AIM:NTOG, OTC:NTOGF) CEO Paul Welch talked with Proactive's Stephen Gunnion about the company’s strategy to scale up production and drive growth from its existing base of operations in East Texas and West Texas.
Welch explained that Nostra Terra is currently focused on the Pine Mills field, a long-life, shallow onshore field with low operating costs and consistent profitability. “It's been an exciting field for the last 75 years and we expect it to be an exciting field for the program for the next 20 to 30 as well,” he said.
Since taking over as CEO around nine months ago, Welch has led the company to profitability by cutting costs and increasing production. He highlighted two successful well workover programs that have effectively doubled production.
A key highlight is the Fouke area, where new drilling, including the upcoming Fouke-3 well, could deliver significant volumes. Welch pointed out that these wells can initially produce around 120 barrels per day—compared to the average of 6 to 10 barrels from the Pine Mills wells. If enhanced recovery schemes are implemented, the output could potentially double.
Welch reaffirmed the company’s ambitious growth target: “This is a company that's going to be making 5,000 barrels a day in the next 3 to 5 years.”
The focus remains on building from a solid, profitable base, with production costs in the Fouke area as low as $3 to $4 per barrel, ensuring resilience across various oil price environments.
