Stonehorse Energy has announced plans to expand its drilling program in the Drumheller development in Alberta, Canada.
The company has committed to a continuous four-well development campaign alongside its joint venture partner. The program’s momentum stems from the exceptional performance of Drumheller #1.
Brought online in late 2025, the well continues to outperform budget expectations, delivering a net production rate to Stonehorse of 123 barrels of oil equivalent per day (BOEPD). With the first well proving the potential of the Ellerslie Reservoir, the partnership is now moving at pace.
The second well, Drumheller #2 reached a total drilling depth of 4,494 metres, while drilling is currently underway at Drumheller #3, with a target depth of 4,405 metres. Once well number three completes drilling, the rig will move to another pad location and spud well number four, targeting a depth of approximately 4,200 metres.
To streamline operations, the company confirmed that Drumheller #2 and #3 will be completed back-to-back.
Furthermore, the drilling of the fourth well will occur simultaneously with the completion works on its predecessors, ensuring a rapid path to first sales.
Under the terms of the agreement, Stonehorse is investing C$1.85 million per well to secure a 35 per cent working interest. The new wells are being drilled from existing pads, allowing for immediate connection to infrastructure. Production is expected to commence early in the second quarter of 2026.
Stonehorse Executive Chairman Robert Gardner expressed high confidence in the Western Canadian strategy.
“We are excited to participate in these three new wells to follow up a previous success that exceeded expectations,” Gardner said.
“These development wells support our strategy to partner with a basin expert and grow value through increased oil weighted production in Western Canada.”
With the operator identifying over 80 potential locations and market conditions remaining favourable, Stonehorse holds the option to extend the agreement, signalling further drilling activity later this year.
