Arrow Exploration production, revenue and earnings all rise

Arrow Exploration Corp (TSX-V:AXL, AIM:AXL, OTC:CSTPF) said first-quarter production, revenue and earnings rose as higher output from Colombia’s Tapir block underpinned a stronger start to 2026, before a post-period exploration discovery at Icaco added a fresh drilling catalyst.

Average production increased to 4,715 barrels of oil equivalent per day from 4,085 boe/d a year earlier, driven by additional crude volumes from the Mateguafa Attic field. Revenue net of royalties rose 21% to US$23.5 million, while adjusted EBITDA climbed 22% to US$14.1 million.

Net income increased to US$5.2 million from US$2.7 million in the same period last year. Arrow ended March with US$14.2 million of cash, which had increased to US$24 million by 1 May, while the company said it continued capital expenditure and drilling activity.

Post-period activity included the Icaco-1 exploration well, which Arrow said resulted in a discovery across three oil-bearing sands. The company has since spudded Icaco-2, an appraisal well intended to help delineate the pool and determine initial volumes and areal extent of each producing zone.

Chief executive Marshall Abbott said the Icaco discovery “could become a major production platform with a material impact on the Company”. Arrow expects Icaco-2 to be put on production over the coming weeks, followed by additional Icaco development wells and recompletions at Mateguafa Attic during the second quarter.