UPDATE 1-Fairborne Energy shares rise on Alberta gas find
(Adds closing share price.)
CALGARY, Alberta, Aug 18 (Reuters) - Fairborne Energy Ltd (FEL.TO: Quote, Profile, Research) shares rose 14 percent on Monday after the company detailed a prolific natural gas discovery in Alberta.
Shares of the junior oil and gas producer climbed C$1.42 to C$11.61 on the Toronto Stock Exchange. Volume was 1.87 million shares, more almost four times the 90-day average.
The shares have risen 62 percent over the past 12 months, against an 11 percent gain for the exchange's main energy index for the same period.
Fairborne said a horizontal well drilled at its Harlech property in Alberta produced up to 13 million cubic feet of gas per day while being tested and would be tied into infrastructure by the end of September.
The company said the well's production rate was more than 10 times greater than the norm for vertical wells drilled into the same geological formation.
A horizontal well runs laterally through a formation, while a vertical well taps just one small area.
Fairborne produced 59.5 million cubic feet of gas a day during the second quarter, as well as 3,116 barrels of oil and natural gas liquids a day.
($1=$1.06 Canadian) (Reporting by Scott Haggett; editing by Rob Wilson)
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