Horizon Oil (HZN) is the best performing stock in the Uncapped 100 today as the Papua New Guinea (PNG) focused oil & gas junior enjoyed its best one-day gain in 4½-years.
News that drilling in the Tingu-1 exploration well has uncovered a significant gas and condensate find sent the stock surging around 11.8% to 35 cents.
The discovery potentially adds 100 million barrels of oil equivalent to reserves at its PRL 21 exploration zone.
The news will be welcomed by investors as the stock has been under a cloud since its surprise $53.5 million equity raising in August, which raised questions about whether the sale of a stake in its project to Osaka Gas may have hit a snag.
Brokers polled on Bloomberg are still bullish on Horizon’s prospects as most rate the stock a “buy” with a price target of 46 cents. The raising was done at 33 cents a new share.