Hurricane Energy's shares recorded their biggest daily rise since 2017 on Thursday, jumping more than 13% after the group upped its production guidance for 2020 on positive results from its so-called fractured basement reservoirs in Britain.
Hurricane specializes in recovering oil from fractures in hard and brittle rock known as fractured basement reservoirs, which some see as a risky way to obtain crude. It hit first oil at its Lancaster field off Scotland last month.
"From 2020, target production guidance envelope is increased from 17,000 barrels per day (bpd), which remains the base case, to an upper target of 20,000 bpd," Hurricane said in a statement.
At $60 a barrel, Hurricane expects to make operating cash flow of $60 million this year and $200-$240 million next year.
(Reporting by Shadia Nasralla Editing by Edmund Blair)