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Northcote meets production milestone

Oklahoma-focused Northcote Energy has reached its 100-barrel-per-day oil production target five months ahead of schedule
May 17, 2013

Northcote Energy (NCT) is rapidly growing oil production from a small base in Oklahoma but adverse market sentiment is steadfastly driving the share price lower. The junior oil and gas sector has lost an eighth of its value over the past four months, according to data from Bloomberg, and Northcote's share price is down about the same since our buy advice (1.50p, 11 Apr 2013).

IC TIP: Buy at 1.3p

That's despite Northcote reaching its 12-month production target of 100 barrels of oil equivalent per day (boepd) five months ahead of schedule, thanks to successful fracking activities and the completion of a pipeline. In fact, the company now expects to hit 250 boepd before July next year.