Eagle Ford Shale-focused Lonestar Resources US Inc. is calling initial results from a pair of wells “highly encouraging” after the duo flowed at record rates.

The Fort Worth, Texas-based independent reported June 24 average test rates of about 2,500 barrels of oil equivalents per day (boe/d) for its Horned Frog F #A1H and F #B1H in La Salle County, Texas.

Drilled to a depth of 22,534 ft with a lateral length of 12,461 ft, Horned Frog F #A1H recorded a test rate of 2,387 boe/d on a three-stream basis, while Horned Frog F#B1H recorded a test rate of 2,607 boe/d. The latter was drilled to a total depth of 22,391 ft with a lateral length of 12,170 ft, Lonestar said in the news release.

Both had more than 40 stages with proppant concentrations greater than 2,300 pounds per foot.

Analysts with Seaport Global described the rate as “eye-popping” and noted the record bested 2018 offset wells by 26% on a per foot oil rate.

“The strong well results reaffirm our positive view of LONE, which we believe is on track to generate 13% debt-adjusted production growth through 2021 from within cash flow while trading at an attractive 3.2x EV/EBITDA multiple (vs. its peer average at 3.9x),” Seaport Global said in a note.

Lonestar also delivered an update on its Horned Frog #4H and #5H wells, which went onstream in April. The #4H well produced a Max-30 rate of 1,426 boe/d on a three-stream basis. The #5H well produced a Max-30 rate of 1,481 boe/d.

“Our four new 2019 Horned Frog wells have been outstanding performers thus far, and continue a streak of highly productive Eagle Ford Shale wells in our 2019 capital program, which is currently generating a new production record for the company each month,” Lonestar CEO Frank D. Bracken III said in a statement. “Our 2019 program is expected to generate outstanding returns for our shareholders and yield significant increases in production and EBITDAX while establishing cash flow self-sufficiency.”

Onshore